$1,750,000,000,000

That’s the total US student loan debt as of 2022.

If that doesn’t completely blow your mind, you didn’t read that number correctly. Students, seeking an education, accrued $1.75 trillion in debt. That’s crazy. 

What are student loans? A student loan is money you borrow from the federal government or a private organization to pay for higher education, and you have to pay it back after graduation with interest.

So if you’re thinking about college, there is undoubtedly a burning question in the back of your mind, unconsciously brewing: should you take on student loans?

It’s complicated. I’m writing this for the current generation of students going into college when it’s the most expensive it has been in decades. Our system is pressuring students to take our loans in order to afford even the most basic education. It’s a complicated process, so here’s what you need to know about student loans, with helpful tips to guide you if you decide to take them on, or if you don’t.

Look for scholarships and grants. That’s the number one thing you should do before considering student loans. There are over 1.7 million scholarships awarded every year in the United States, with a total value of over $7.4 billion—that is a lot of potential money that doesn’t need to be repaid. Few students earn full-ride scholarships, but almost all students can earn some scholarships. Your college counselor will have more information about scholarships, and they should be your primary source for loans and grants.

If you are considering taking out loans, there are a couple of things you should know. First of all, federal student loans have lower interest rates than private student loans. Federal loans also come with more benefits, such as no interest accrual while you’re in school, a guaranteed 6-month grace period after you graduate, and so many others. 

Also, before you take out any loans, think about how much debt you can handle post-graduation using the US Department of Labor’s handbook. If you already know what you’re going to do in college, and even after graduation, and even if you don’t, be wary of how much money you borrow because remember, student debt counts towards your credit score. It can affect future purchases (houses, cars, etc). After researching potential future jobs, you should calculate your monthly income in comparison to your monthly payment. Your payment should not keep you from basic expenditures like a mortgage, rent, or food. Finally, if you’re planning on going to graduate school for a medical degree, for example, it wouldn’t be advisable to take out loans for an undergraduate degree. So these decisions require long-term vision.

Basically, it’s complicated. But if you’re doubting your decisions, here’s Samara Bean’s advice: “It’s the system we live in, where it’s actually necessary for people to take out loans. You’re forced to. Sometimes it’s unavoidable. So just be wary.” Use the steps outlined in this article, along with second opinions, to guide your decision-making. Education can be your gateway to the future, but it's a fine line between that and carrying a burden of insurmountable debt for the rest of your life.