Tuition costs keep rising year after year in public universities, many universities are doing their best to stop this but to no avail as costs continue to rise. This in turn is forcing students to continue to borrow more and more money, which is making them graduate with more and more debt each year. As seen in the table below the costs and loans keep increasing year after year.
The government is also trying to help as each year they try to increase the amount of aid allocated to education loans and financial aid, however it is not growing fast enough, therefore students are getting private loans ant higher interests rates which is damaging their financial status. This means that graduating students get out of college with considerable debts, which makes it harder for them to start a new life.
The net price at a college is also rising quicker than the overall inflation which means that it becomes harder for families and students to pay their way through college. Therefore each year the amount of families that can afford to pay a university without a loan will increase and the amount of families which simply cant afford to pay university will also increase. This will cause negative impact which will start to increase faster and faster unless something is done.
A possible solution might be to allow students to pay in other words rather than cash. Some students might consider working part time through college at a slightly higher salary if instead of being paid in money this is deducted from their tuition costs. This way the university could still get things done, keep most of their currency and help students. Of course not all students will be willing to do this work for this type of pay but still it might help some students
More information in:
http://www.msnbc.msn.com/id/21420361/ns/business-personal_finance/
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