The cost of earning a college education has been a concern for many families for years. A new report reveals that this concern should be increasing because the average amount of debt that a student graduates with has also been increasing.
According to the New York Times, the Project on Student Debt reports that the average college senior graduated in 2009 with $24,000 in debt. This is up six percent from 2008.
The unemployment rate for recent college graduates has also increased since 2008. It is now 8.7 percent, which is the highest annual rate on record.
What can students do in this sticky situation? It’s important to have a college education, but is it important enough to dig yourself into debt, especially when a degree doesn’t guarantee you a job?
Lauren Asher, president of the Institute for College Access & Success, thinks that choosing the correct type of loan can be an important factor in this process.
“You should take out federal loans first, because federal student loans come with far more repayment options and borrower protections than other types of loans,” Asher said.
So what do you think? Is the cost of an education getting out of hand? Is that little piece of paper really worth $24,000 in debt after graduation? Or are there better alternatives to the traditional, four-year education path? Share your thoughts with us!
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