In the United States, few topics are more visible online than the new student loan forgiveness program. This program has the potential to impact millions of former students, giving them new opportunities and a brighter future after years of lost hope and frustration.
With graduates and former students getting a huge boost, universities have the perfect opportunity to generate revenue by helping professionals to reinvest in upskilling. In this article, we will take a closer look at how student loan forgiveness will make it possible for students to invest in themselves.
1. The Debt Forgiveness Program Will Have a Huge Impact on Finances
The debt relief program that is designed to offer forgiveness is no small promise, with many student debt holders receiving anywhere from $10,000 to $20,000 or more—with some getting both relief and refunds for recent payments. According to the current status of impacted loans, 37 million people have the opportunity to receive relief from a substantial part of their debt [1]. In fact, some people will have their debts wiped out entirely with this change.
2. Graduates Will Have More Income Available to Learn and Seek Job Growth
It is a well-known fact that many students have felt buried under the pressure of their high-interest student loans for many years, a pressure influencing former students of all ages. With this new shift, a significant number of people are going to receive relief from a looming debt that they have been paying on for years.
All across America, the average person only has a few hundred dollars in savings due to high debt levels [2]. This greatly limits job mobility, leaving many people trapped in low-paying and unfulfilling careers simply because they must pay their bills. With monthly student loan payments disappearing, more Americans will have money to contribute towards their savings and to invest in new skills that can help them to gain better jobs.
3. The Time to Offer New Learning Opportunities Is Here
Universities have always been leaders in enabling economic advancement, and the shift in student loans presents a new opportunity. With more workers gaining the ability to focus on enhancing their careers, the need for credible learning programs that can build credible skills is more important than ever. In fact – in March of 2021, the U.S. Department of Labor awarded Arizona State University $8M grant to upskill workers across the country to fill the gap of high-demand jobs [3].
The Takeaway
Universities need dedicated programs that support the interests of their students and graduates, and the time for these programs is now. At Amesite, we provide out-of-the-box and scalable learning platforms that allow universities to help students to continue their education well after they leave, including both subscription and standalone packages. To learn more about how we support universities, explore our recent work with Wayne State University’s Warrior TechSource, a completely custom learning platform to support alumni and students.
[1] https://www.cnbc.com/2022/09/06/all-we-know-so-far-about-bidens-student-loan-forgiveness-plan-.html
[2] https://www.epi.org/unequalpower/publications/worker-mobility-in-practice/
[3] https://news.asu.edu/20210322-university-news-asu-will-lead-effort-upskill-reskill-workforce-through-8m-grant
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