Ameritech Financial Discusses Why College Dropout Rate Linked to High Student Loan Debt, Low GPA in High School
ROHNERT PARK, Calif., July 10, 2018 (Newswire.com) - Colleges have assumed high SAT scores equaled successful students for many years. Yet, a recent report indicates high GPAs are the key to predicting college dropouts. Excellent SAT scores but only average GPAs have a 39 percent graduation rate. Average SAT scores but high GPAs predict a higher rate of 62 percent. Students who do not get a degree often cannot find a job that pays well enough to pay down their loans. These borrowers have other options that could lower their monthly payments. Ameritech Financial, a document preparation company, helps borrowers of all backgrounds apply for income-driven repayment plans (IDRs) offered by the Department of Education.
“Student loans help set up students for a successful future. At least, that's the goal. When students don’t end up with a degree, those loans can do the opposite,” said Tom Knickerbocker, executive vice president of Ameritech Financial. “Going back to school is one way to get back on track — although it might be scary for borrowers who may fear dropping out again with even more loans.”
Student loans help set up students for a successful future. At least, that's the goal. When students don't end up with a degree, those loans can do the opposite.
Tom Knickerbocker, Executive Vice President of Ameritech Financial
Bill Gates is one of the most famous college dropouts. Yet he is also a strong advocate of students finishing their degrees. He discovered poor, minority students who don't finish their degrees could live pennilessly. He admires schools like Georgia State University with no achievement gap. This means all races and backgrounds succeed at an equal rate. GSU is also different than other colleges because it accepts at-risk students. Students who face high student loan debt should consider researching income-driven repayment plans. It could offset their monthly finances.
Why do so many students drop out of college? One study points to income. The numbers show rich students have a high chance of graduating. While low-income families earning $35,000 or less have only a 5.88 percent chance, students who come from poor backgrounds do as well as their peers when teachers treat them better. A professor discovered that by changing his course, low-performing students improved. He offered smaller classes and put course material online. The graduation rate at his university jumped 14 percent in less than four years. This happened because his college adopted his practices. Students from poor backgrounds need better support to graduate. If they dropped out, returning to school may be a good way to increase their earnings in the long run and improve their financial situation. Alternatively, they could consider other student loan repayment options.
The Department of Education offers a variety of repayment plans for borrowers with federal student loans. Income-driven repayment plans (IDRs), for example, base payments on income and family size and can end in forgiveness after 20 to 25 years of enrollment. Borrowers may see reduced payments through such plans, which can help them improve their financial situation.
“At Ameritech Financial, we help borrowers understand and apply for IDRs,” said Knickerbocker. “We strive to ease their financial stress.”
About Ameritech Financial
Ameritech Financial is a private company located in Rohnert Park, California. Ameritech Financial has already helped thousands of consumers with financial analysis and student loan document preparation to apply for federal student loan repayment programs offered through the Department of Education.
Each Ameritech Financial telephone representative has received the Certified Student Loan Professional certification through the International Association of Professional Debt Arbitrators (IAPDA).
Ameritech Financial prides itself on its exceptional customer service.
Contact
To learn more about Ameritech Financial, please contact:
Ameritech Financial
5789 State Farm Drive #265
Rohnert Park, CA 94928
1-800-792-8621
media@ameritechfinancial.com
Source: Ameritech Financial
Related Media
