A student taking a loan can be a blessing and also a burden at the same time. Most of the students were able to finish university by taking a loan; that was the only way they could sort their payment for accommodation, books, and other expenses. The problem always comes when it is time to repay the loan; there is always an interest. Some people spend decades and years trying to clear the debt.
One thing about loans is that there is always an interest to pay, and any time you miss the interest, it will keep accumulating, okay? Let's take, for instance, the government or a philanthropist deciding to clear off outstanding student loan debt. It will be the best news this student will hear. Someone clearing their debt allows them to focus on personal development and supporting their families, rather than worrying about debt repayment.
Here comes the problem: what if clearing every loan by the student means increasing the tax? It will be so painful, and people will do so pitifully because they are paying off money that they never use. Just for instance, someone who never attended university will end up paying more taxes to fund debt relief.
Asking if that will be fair, on the other hand, education benefits the society at large. Society that has a lot of educated citizens will contribute more to the economy and create new ideas; they will provide essential services just like doctors, teachers, lawyers, and so on. In a way, helping a graduate pay off their loan debt seems like an investment in the country’s future.
The big question I keep asking myself is if canceling student debt will solve the deeper problem. With the way the economy is going, to be honest, if education still remains this expensive, students will take loans in years to come; society will find itself having to pay off another loan.
Just like I said earlier, the government should get the solution, not the cancelling and existing debt for me. I think the best thing for the government is to make education very affordable by controlling tuition costs, providing scholarships, and so on.
Well, debt relief is also helpful, more especially for people who are struggling to pay back the loan. This is where transparency comes in; the government should be very transparent about paying the money and how much it will cost the society.
Here comes the big question: if cancelling student loans meant that everyone, including you, would pay higher taxes to clear off the debt, would you support it?
Drop your thoughts in my comment section.
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