By Marcia ShetlerIn a month or two, commencement ceremonies will take place at colleges and graduate schools across North America. Can you imagine graduates walking across the stage and receiving another slip of paper besides their diploma? That document would be their student loan bill.
According to US News & World Report, in recent years seventy percent of US students graduated with student loans. So for every ten graduates you see filing past you, seven of them would receive that piece of paper. The Globe and Mail reports similar statistics for Canada, where four students out of ten might have no student debt. What might the numbers on those papers look like? In 2016, the average Canadian graduate had more than $25,000 in debt. In the US, it was more than $37,000.
Student debt creates many challenges:
- The University of Toronto reports that students who took out more student loans were more likely to have poor mental health in early adulthood;
- Time Magazine says that student debt can delay major life events such as buying a home, getting married, or having children;
- Time also says that graduates with debt may work more than they wish, including taking a second job;
- and MarketWatch reports that those who took out loans to pay for higher education but did not complete their degree have the most difficulty repaying their loans.
But student debt doesn’t have to be part of your new normal. There are things you can do to avoid it. And if you’re challenged by student debt, there are ways to make it more manageable.
This month, the COMPASS Initiative will look at these two sides of the student debt challenge:
- Get great insights every week on this blog and on our Twitter feed and Facebook page.
- Grab your lunch or a cup of coffee and join us for a Live Chat with Darryl Dahlheimer, Program Director for LSS Financial Counseling—a partner of Everence—on Thursday, April 20, 12:30 p.m. Eastern time, 11:30 a.m. Central time, 10:30 a.m. Mountain time, and 9:30 a.m. Pacific time. Darryl will tell us about new student loan repayment options and share stories of experience and hope about this challenging issue.
Student debt can be a burden that affects our ability to live the life to which God has called us. It impacts how we steward what God has given us to manage and our freedom to be generous. Whether we are considering how to finance education or deal with the financial ramifications afterward, the key is seeking God’s guidance and choosing wisely. I hope the information shared this month will help you conquer your Student Debt Challenge!
About the Author
Marcia Shetler is Executive Director/CEO of the Ecumenical Stewardship Center. She holds an MA in philanthropy and development from St. Mary’s University of Minnesota, a BS in business administration from Indiana Wesleyan University, and a Bible certificate from Eastern Mennonite University. She formerly served as administrative staff in two middle judicatories of the Church of the Brethren, and as director of communications and public relations for Bethany Theological Seminary in Richmond, Indiana, an administrative faculty position. Marcia’s vocational, spiritual, and family experiences have shaped her vision and passion for faithful stewardship ministry that recognizes and celebrates the diversity of Christ’s church and the common call to all disciples to the sacred practice of stewardship. She enjoys connecting, inspiring, and equipping Christian steward leaders to transform church communities.
This blog is a component of the Ecumenical Stewardship Center’s COMPASS Initiative to engage young adults in conversations about faith and finances. Like what you see and want to know/do more? Visit the COMPASS web page, follow us on Twitter, and join the COMPASS community on Facebook.
Photo credits: pixabay.com