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Many students across US are being forced to take a hard decision as they find themselves unable to finance their higher education. This is due to a drastic and sudden increase in the cost of education in almost all colleges and universities.

The recent global recession has made private and federal loans dearer and students are unable to find a solution by which they can finance the ever rising cost of tuition, board and room. The next few years are set to be quite challenging for both current students as well as freshmen who will have to really struggle to meet their financial obligations.

The rise in tuition fee in itself surpasses the family income rates. This is especially so for students who come from the lower and middle income bracket. As is the trend the past few years, the rate of rise in tuition fee is more than double of the increase in family income. Students are forced to take the help of part time jobs and take loans on very high interest rates in order to make their ends meet.

There are many cases where students are unable to complete four year program courses even in six years predominantly due to financial distress. They are then forced to opt for private loans taking on a heavy burden. Private loans offer lesser protection towards the end of the loan period and also come with strict penalties for default. Even if students are willing to take the risk, the ongoing credit crunch has made these loans dearer too.

The last couple of years have seen lenders too closing their doors on borrowers following in the footsteps of the mortgage loan system collapse. Private lenders who are still hanging on have made their conditions stricter and also raised their rates of interest. A lot of prospective students find the money lenders denying them the much needed loan.

With no other option available, many middle and lower class families are unable to send their children to colleges and universities. Unless the whole system is revamped, America will soon find its student population not equipped enough to fill in professional jobs.

An ‘Campaign for America’s Future’s compilation of a series of national and state reports states that the rate of tuition fee rise is much higher than the inflation. There is shrinkage in federal assistance offered to students, cutting back of institutional support by state and stagnating real wages, many students are forced to drop out or forego college education rather than incurring huge debts.

Even as the government cut down on aid for needy students and low interest loans, lawmakers are trying hard to combat the soaring higher education costs. If the education scenario in the country has to improve, then immediate powerful reforms have to be implemented both in states as well as nationally. The country is in need of affordable education or at least student loans on low rates of interest to enable the emerging youth population to educate themselves.