Virtually everyone in America is aware of the national plight which comes in the form of student loan debt. This plight is not going away; as a matter of fact, the amount of student loan debt is on the rise each day. However, reports from The Hill affirm that Republican leaders are taking certain steps to combat the aforementioned plight.
An Overview of Student Loan Debt and the PROSPER Act
From an isolated fiscal or economical standpoint, the current state of student loan debt is problematic at best and terrifying at worst. According to Student Loan Hero, more than 44 million people in this country are afflicted with student loan debt. Moreover, the debt amounts to over $1.4 trillion dollars. To make matters even more dismal, individuals in debt only make average monthly payments of $351 and median monthly payments of $203.
However, House Republicans are looking to remedy the aforementioned problem. Their proposed solution comes in the form of the PROSPER Act. The ultimate goals of this GOP bill are to make the current system less complicated and restructure current payment plan alternatives. While Republicans may view the PROSPER Act as a step forward, other individuals believe the bill will backfire and make student loan debt even worse for college students and indebted Americans.
Moreover, the success of the PROSPER Act would prompt the end of the Public Service Loan Forgiveness program. This particular program absolves individuals of their debt if they work in certain fields which are deemed as significantly value to the general public.
Is College Truly Paramount to Achieving Economic Prosperity?
As student loan debt continues to ceaselessly enslave many Americans, some are questioning whether or not college is truly worthwhile or necessary. Granted, if a young person aspires to work as a doctor, lawyer, or engineer, the proper education and degrees are required. However, many young people who attend college are not aspiring to enter the aforementioned occupations.
Therefore, some Americans have noted alternatives to college. Such alternatives include trade school or the pursuit of work in the gig economy or freelance market.
The world of work is rapidly changing. Earlier reports from USA Herald affirm the mounting discount between employers and employees; moreover, the amount of self-employed individuals will presumably experience drastic surges by 2020. Even lawyers and soon-to-be lawyers are likely to face succession from artificial intelligence. Having skills to fall back on may prove to be beneficial; however, the college atmosphere may or may not be the best environment to hone said skills.
Nevertheless, the national plight of student loan debt remains quite prevalent. It will not be going away anytime soon.
Additional updates regarding the PROSPER Act will follow this report as new developments arise.