Current student loan news for the week of November 22, 2021

Ohio State University (OSU) has announced plans to eliminate student loan debt for undergraduates over the next decade, with the goal of launching the debt-free pilot program in fall 2022. Here’s what you need to know about this week’s trends and how they might impact your student loans.

1 current trend in student loans for the week of November 22, 2021

1. OSU will eliminate student loans for undergraduate graduates within a decade

Late last week, Ohio State University (OSU) launched the Scarlet & Gray Advantage Program, a decade-long plan to eliminate undergraduate student debt. Over the next 10 years, OSU plans to raise $ 800 million for scholarships to replace student loans in student financial aid programs. It will also expand work opportunities for students on and off campus.

To take advantage of this opportunity, OSU undergraduates will need to participate in financial literacy programs and commit to graduating in four years. The university plans to continuously expand this program over the course of a decade, starting with a small pilot program in the fall of 2022.

“Scarlet & Gray Advantage will distinguish itself in higher education by engaging students in securing their own financial destiny,” President Kristina M. Johnson said in a speech. “By teaching our students to manage their finances successfully, we will deliver much more than a debt-free degree – we will energize the next generation of change makers. “

How it affects student loans

Debt-free programs of this magnitude are generally limited to private institutions. Once finalized, the Scarlet & Gray Advantage program will be one of the largest debt-free higher education programs in the country, with all new OSU undergraduates from all campuses welcome to join us.

While the program is not a student loan forgiveness or free college, the expansion of scholarships and work opportunities could help many students avoid long-term student loan debt, which the school estimates on average. at about $ 27,000. If the OSU program is successful, it could pave the way for more public universities to pursue similar ideas.

For more information about the program, including a comprehensive FAQ section and how to contribute financially, visit the OSU website.

Key to take away

Ohio State University aims to deliver a debt-free undergraduate degree over the next decade through its Scarlet & Gray Advantage program.

Here’s how to prepare

Whether you are new to the area of ​​student loans or are already in advanced repayment, it is wise to stay on top of how your student loan rates might change. As 2021 continues, more opportunities for cheaper loans or loan cancellations may open up; Keep an eye on the Bankrate student loan news center for the latest trends.

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