How You Can Avoid a Student Loan Crisis

Financing a college education can be challenging and too expensive. Most students resort to taking out student loans, which they end up paying for most of their adult lives. In 2021, the average American graduate was $37,062 in debt. With 43 million borrowers, Americans now owe more than $1.6 trillion in student debt. Therefore, knowing how to avoid a student loan crisis is essential.

5 Tips to Avoid a Student Loan Crisis

Below are some tips on how you can avoid a student loan and complete your education without falling into a financial crisis.

Hybrid Learning

After the 2019 Covid pandemic, colleges around the globe have adopted a unique hybrid learning scheme, where students can spend half the time learning on campus and the other half learning. The biggest advantage of online education is its affordability.

Since you will require fewer on-campus resources, you will not have to pay as much. Moreover, you can cut down on miscellaneous expenses such as transport. This can help you avoid a student loan as your education becomes more affordable.

Work Part-time

Most colleges would allow their students to work part-time while continuing their studies. However, it is not wise to work full shifts as you will be drained as is from your studies. You must work at least 15 to 20 hours weekly to avoid a student loan.

You can also choose to work on campus. Your advisor can help you find part-time work on campus, and the money will be cut from your tuition.

Choose a College in Your Budget

While it is a pity that you can lose out on opportunities because of your financial burden, choosing a college in your budget is still a better choice to avoid student loans. While you do not have to choose a school based on the tuition fee alone, it can help. Moreover, you can still focus on building up your skill set and experiences in your field even if you do not attend a prestigious university.

Transfer Credits

Starting at a community college can be a great way to avoid a student loan. Once you have completed a semester or year in a community college, you can transfer to another college and complete your education at the institute of your choice. However, transferring requires appropriate planning since not all your credits can transfer. Therefore, you must do your research for a school you are interested in.

Apply for Scholarships

Many universities offer financial aid to help you with your studies. You can fill out the financial aid form to get all the help you can. You must still apply even if you think the chances of getting a particular aid are low. There are several different types of scholarships that you can apply for, either from the school or the state.

Get Help with Your College Funding

College Funding of Tampa Bay aims to help students fund their education and avoid student loans. We can design a financial plan through value-based financial planning to help you with your aspiration. We also provide different forms of funding, including:

• FAFSA
• Grants
• Military Aid
• Scholarships
• Work Study
• And more

Call us at (813) 755-6834 for a free consultation, or fill out our form online to get an agent to contact you.