College graduates may not be quite as shell-shocked by financial stress after receiving their degree thanks to a recent and significant drop in interest rates on student loans.
The lowered interest rates, which have dropped to 4.06 percent (the lowest in decades), are an attempt by the Bush administration, according to Secretary of Education Rod Paige, to "help students and their families finance college and career training."
A report last year from the Career College Association states that one of the top reasons high-school graduates choose not to attend college is that they simply cannot afford it. Cost is also a reason many college students choose to quit school and opt out of college altogether. In a study, Campus Progress found that between 2001 and 2010, an estimated 2 million academically qualified students won't be able to go to college because they can't afford it. And for those students who do choose to attend college: The average college senior is expected to graduate with at least $3,200 in credit-card debt alongside $18,900 in student loans. Add accumulated loan interest to this equation, and student debt becomes even higher.
The federal government should be applauded for its efforts to make a college education more affordable to all students, in any way possible. Though there will always be more that can be done to open the doors to a college education for every single student, lowering interest rates is a good first step in making education more affordable for those who wish to pursue a higher education.