Monday, June 24, 2019

College Costs Are Out of Control. Here's What Can Be Done.

Many students graduate ill-prepared to earn a living and pay off the debt they've accumulated getting their degrees-40% of those who start college don't finish within six years.

Because federal loan money is handed out with little scrutiny as to the student's ability to pay it back, colleges have had free reign to raise prices at levels often double the inflation rate.

To pay for these ever-increasing costs, students are borrowing more money and taking on more and more debt.

With federal loans accounting for much of the $1.5 trillion in outstanding student loan debt and more than a million people defaulting on their loans, taxpayers are picking up much of the tab for this broken system.

The surest way to stop the sharp rise in both college tuition and student debt is to get the federal government out of the student loan business.

Restoring private lending will make the loan market more responsible and cause colleges to rein in costs, creating more affordable choices for students.

Such agreements allow students to obtain financing from their schools and pay it back based on a percentage of their income after graduation.

https://www.dailysignal.com/2019/06/24/college-costs-are-out-of-control-heres-what-can-be-done/

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