An opportunity or an obligation: The role of student debt in college decisions

An opportunity or an obligation: The role of student debt in college decisions

The ideology of pursuing a college degree, and accordingly, setting yourself up for a more successful career has been a large aspect of what many people call “The American Dream.” For many young Americans over the last 15 years, especially those of a college age (18-24), the drastic increase has become a deterring factor in deciding whether or not to seek a higher education. For so many, the decision to attend college is heavily influenced by their financial situation, and the availability of financial aid. In order to cover the costs of not just tuition, but room and board, meal plans, and other common expenses, prospective students are turning to taking out student loans to pay for the difference. While student loans have become the primary source of funding higher education, they have also represented a significant long-term financial obligation that can impact a borrowing student’s career choices, financial stability, and in some extreme cases, quality of their life after graduation. This study seeks to examine the impact of student loan debt on college enrollment decisions by exploring key questions related to financial aid, affordability, and personal awareness of student debt. Through surveys and interviews with students and literature review by financial aid professionals, this research will analyze how financial concerns influence whether students choose to attend college, which institutions they select, and how they navigate repayment of their loans.