At this time of year, it is understandable that people get excited about the upcoming academic year or the opportunity to develop their skills alongside their classmates. We may still be on the summer break with respect to colleges and universities but it won’t be long until these institutions are back up and running. All of which means that people are starting to put plans in place for the new school year but there will also be people looking further ahead.

It makes sense for students to think about their future and it could be that the educational choices you make now will impact on the career you have. There is also a lot to be said for the impact that the financial decisions you make now will have on later years. Graduate debt is becoming an ever more pressing problem for students across the country and recent reports have been driving home how serious a matter graduate debt can be.

The Money Charity has released figures which state that graduate debt is likely to be at a level higher than one third of the average mortgage in the UK. This should get people’s attention because this means that this year’s graduates are expected to owe a minimum of £41,000. This is a large sum of money that can negatively impact on a person’s ability to move forward in their life after they have finished their students.

Dealing with graduate debt

The Government doesn’t agree with these figures and they have been at pains to suggest the current set-up is of a suitable standard. They say that the current loans system for students is sustainable and fair while engaging in higher education provides students with the chance to improve their employability while positively impacting on their earnings.

A lot of the debate around graduate debt has evolved from the changes in tuition fees. For students who began their career in 2012 or later have had to pay £9,000 a year. This is something that causes considerable problems, as well as preventing some people from gaining access to further education.

There is a need for students to determine what sort of debt is acceptable for them to develop their career. If there is going to be no tangible benefit from investing time and money, it has to be asked whether a student should become a student? This is a question that many students will have a difficult time in answering.