Student Loans: Too Many People Can’t Pay Them Back
Jordan Sudberg wants people to imagine a young man graduating from high school with one big dream. “I want to be a Music Teacher!” Then the young man goes to a university and he discovers that it costs thousands of dollars he doesn’t have. What does he do? He applies for grants, scholarships and student loans. The grants and the scholarship don’t have to be paid back but the student loan does. He goes on to college and he graduated with his 4 year degree. Yay! Now he can finally get that job he has always wanted. Then he applied for his first job and he discovered that it is hard to get a job in the field that he went to school for. Sometimes he ends up working at jobs that have nothing to do with his degree just to be able to survive. He also discovers that its difficult to get the pay he wants. He is new to the field and he is at the bottom of the totem pole. Now he has built up his experience to get the higher paying job that he wants. He also has to pay his student loans back which take a large chunk of his check and seriously change his standard of living. His story is the story of over 42 million Americans who struggle to pay back student loans.
One way that the student loan crisis can be solved is to have more free colleges. The way that tuition free colleges work is they put the student to work on campus and use the money to pay the tuition. Another way to solve the student loan crisis is to expand the pell grant to cover more and change how they give it out. Interest rates on student loans tend to be too high for some families to pay back. One way to help solve the student loan crisis is to lower interest rates.
Jordan Sudberg is a pain management doctor from New York. He is the CEO and Medical Director of Spine and Sports Rehab in New York and completed his residency at North Shore Long Island Jewish Hospital. Most doctors get their student loans paid for by agreeing to work for a hospital on a contract for a short amount of time. If more employers would agree to help pay student loans back it would help solve the crisis. Sudberg also tries to write his student loans off on his taxes. Think about it for a second. Is your training considered a business expense? If you can use the expenses related to your job training as a business expense then it might be able to be claimed.
There have also been instances in history where people have successfully filed bankruptcy on their student loans. It’s more difficult to discharge a student loan into bankruptcy than other loans. The key to being able to get a student loan discharged into bankruptcy is the debtor has to prove that the loan payment is affecting his/her ability to maintain a minimal standard of living. The debtor also has to prove that he/she has made every effort to pay back the loan.