While preparing for college—an exciting and important time—future students must consider their plans in regard to taking student loans and eventually repaying them. Viewing a college degree as an investment can prove to be reassuring as professionals can find new career opportunities with a degree. According to a new report from the Georgetown University Center on Education and the Workforce (CEW), “adults with a bachelor’s degree earn an average of $2.8 million during their careers, $1.2 million more than the median for workers with a high school diploma” (Forbes, 2021).
As there are tens of millions of citizens who contribute to over $1.5 trillion in student debt, borrowers have become large proponents of student loan forgiveness and have called upon President Joe Biden and the federal government to initiate such a process. In short, student loan forgiveness means that a student is no longer obligated to make certain loan payments. Lynne Baker, Managing Director of Communications of Illinois Student Assistance Commission, said, “There may be forgiveness programs for those who follow a certain career path…it’s good to know what the requirements for those are before you get started. If you take a public service position, you might be eligible to sign up for the Public Service Loan Forgiveness Program (PSLF).”
In the case of the government devising a forgiveness policy, recent graduate of DePaul University Bill Marinis said, “In my opinion, federal student loan forgiveness probably won’t happen because student loan debt incentivizes people to immediately enter the job market and is keeping them from exploring other options, but it can be done with a stroke of a pen.”
Interestingly, President Biden and his administration decided to cancel a portion of student debt by September 2022. So far, “the administration has approved more than $26 billion in targeted cancellation for over 1.3 million borrowers -- more than under any other president”(CNN, 2022). Whether student loan debt is canceled or not, it remains important to consider the financial impact of earning a degree and keep informed about any future updates regarding this issue.