In the generation we are living in sometimes life gets hard. Some of us cannot escape getting the most basic of an education without debt. In their quest to acquire more knowledge most students who cannot acquire bursaries or scholarships tend to get a loan to finance their studies. Whereas it is not a guarantee that after studying for a number of years on loan you will get a job immediately the interest rate on the loan tends to accrue as the years go by if the loan is not paid. Since it is usually the government idea to give loans to people who want to further their education they should also come up with ways to help people repay the loans. In this article we are going to delve into the reasons why it is important for the government to give student loan forgiveness.
It motivates them to keep working hard. We should be aware that there is a big difference between having a loan discharged and having a loan forgiven. Forgiveness of a loan means that you should have actually paid the loan but you are freed from the duty of paying it especially because you are working on areas with harsh conditions. When you are freed from the duties of paying a loan it gives you confidence even when you are doing your work as you are no longer working to pay a loan.
As much as it sounds contradicting giving students loan relief encourages them to pay their loan more. If the policy of giving loan relief is on the basis of how consistently somebody plays back their loan or on the installments agreed then it motivates the students to pay their loan even more to ensure that they benefit from the loan relief. The government benefits from the repayment of loan from the students as there are minimal deferred payments as well as bad debts. . When loans are repaid it makes it possible for the government to give more loans to other students who might be wanting to further their studies yet they do not have the capital.
If a person is interested in receiving student loan forgiveness or relief they should ensure that they are conversant with the laws governing student loans in their country and how they can or how they cannot acquire student relief. This works to ensure that they do not get into trouble especially when they do not repay their loan on time. The government should also take the responsibility of training the public concerning student loans borrowing and all the repayment plans that are available to help them make a sound decision.
