Los Angeles, CA (PRWEB) June 20, 2013
A growing number of college students are grappling with more than just student loan repayment issues. Poor financial decisions made by students involving alcohol, drugs, or shopping addictions not only have a negative impact on the individual, but on the overall economy as well.
Loans.org reached out to actual borrowers that faced multiplying debts due to various addictions. One such borrower saw her monthly balance soar due to her shopping addiction.
A former student, who has since co-founded her own publicity firm, said that during her undergraduate program at DePaul University, she spent part of her student loans on her shopping addiction. After being introduced to private lenders and credit card companies on her college campus, and being lured with “incentives, gifts and promises that would make any broke college student happy,” she began to use her newfound credit.
That year, her “living expenses” stretched to a $300 pair of boots.
As she pursued her education, obtaining a Master’s Degree from Pacific Oaks College, her vice became more of a problem.
“I had learned so many bad habits … I actually started to spend my check before getting it and I remember having to borrow money from family to cover tuition,” said the former student.
Instead of finishing her undergraduate and graduate schools with a simple combined total of $35,000 in debt, she ended up having $120,000 in student loan debt by the end of her graduate program.
This graduate said she thought her educational choices were positive, but she failed to “read the small print” about interest rates and her ability to consolidate her debt.
“It really is a regret in my life,” she said.
Consumers with addictions, such as drugs, alcohol and shopping are impacted immediately, but later down the line the economy is negatively affected as well.
“The impact extends into affecting the development of competent, productive future employees to feed the workforce,” Dr. Ravi Chandiramani, the medical director for Journey Healing Centers, told loans.org in the article.
For the full interview and discussion, please read the article at http://loans.org/student/articles/college-financing-new-gateway-addiction.
Additional articles, interviews, news and frequently asked questions about the student finance industry are available at http://loans.org/student.
loans.org is a leading lending authority website that covers financial news, produces informative articles, and answers frequently asked questions. In addition to providing lending-related information, loans.org also hosts a variety of free online application forms for prospective borrowers to use when applying for loans.
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