Student Loans : Should Outstanding Student Debt Be Cleared?

Student loans are basically designed to help the student who cannot afford to pay for their tuition fee at the university to pay for their education throughout their college or university. Recently in my country, the government started paying student tuition fees for those who are not capable of paying their school fees and are willing to go to school.

All fingers are not equal; definitely not everyone will be able to afford to pay school fees and some other fees that part of education. I could remember in my time, we were six in number in 300-level, and one of my friends dropped out because he couldn't afford to pay the school fees, and more of that has been happening in the past. But now things are a bit easier; the government brought a program called Nelfund. They help people to pay their tuition fees and also give them upkeep each month. This will definitely go a very long way. But the real question is. Should all outstanding student loans be cleared off? If doing so, will everyone have to pay higher taxes to cover the cost?

No doubt that education is very important, and taking loans from the government to go to school is not really a bad idea if the loan doesn't have too much interest, but too much interest can kill. Imagine someone who can't afford to go to school and is still given the person's interest on the loan they borrowed to go to school. The question is, what if they do not have a good job after they are now a graduate, and they have to pay the loan for the rest of their life? It would have sounded so great if they could only pay what they borrowed and there would not be any interest on it.

On the other hand, should the interest and the loan be cleared off and everyone pay the money via taxes? Well, this will not be a fair one because imagine some people borrow a loan and everyone has to pay, even those that didn't borrow. In this case it will not be a good one because, if things keep going like that, there are some people that will borrow excess money, and since they know that everyone will pay, they will not be bothered at all. This will put both the government and those that are not borrowing in a bad situation and will cause a big problem in the country.

However, in my opinion, the best I think can happen is that if the government can support people that don't have the ability to pay for their education and when it's the time to pay, they either pay the exact money or pay it with little interest. It doesn't make any sense when the interest keeps accumulating and the person owing cannot even afford a meal; in that case, why not stop the interest instead?

By stopping the interest, the borrower will be able to focus on the particular amount they have to pay. The point is that the government will have access to the individual that borrows this money and also know their financial abilities. This will help them to figure out how to collect back the loan.

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