For Clemson alumni, student debt can be a post-graduation barrier

The sticker price of higher education has been a prominent issue at the state legislature so far this session (State legislators have since approved a freeze on in-state tuition for 2019-20). 

"The cost and debt associated with higher education is becoming a financial barrier for too many potential students and their families," Gov. Henry McMaster said in his budget proposal for the 2019-20 fiscal year. He reiterated the point in his State of the State address.

McMaster proposed a $36 million appropriation to colleges and universities if they freeze tuition costs for in-state students. 

For students considering attending Clemson University, tuition increases can add to an already high tab to attend college — a tab that can translate into more student loans. 

What is at stake in the tuition debate is not only whether students can afford to step on a campus in the first place, but also what they will have to do to pay for education in the long term.

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A recent study from Experian found that South Carolina's total student loan debt increased from $5.5 billion to $23 billion in the past decade. While some of that has resulted from more students going to college, it is also a byproduct of increasing tuition. 

Relative to the national average, Clemson has fewer borrowers, but those who borrow tend to graduate with a little more debt than the national average, said Chuck Knepfle, Clemson's associate vice president for enrollment management.

In 2014, 49 percent of Clemson students graduated debt-free, but the average student with debt owed $30,213, according to a presentation from the student financial aid office. 

Whitney Anderson, a South Carolina native, graduated from Clemson in 2011 with a degree in communication studies. Despite having the LIFE Scholarship, Anderson, a first-generation college student, still had to take out about $35,000 in loans to attend. She is still paying back the loans and expects to finish in around five years.

"I would love for it to be over tomorrow," said Anderson, who pays $250 a month toward loans.

Victor Callahan came to Clemson from Massachusetts and graduated in 2014. He graduated with about $70,000 in loans and is now down to $20,000.

“I try to throw as much money to student loans as I can,” said Callahan, a battery engineer.

As an 18-year-old, Callahan said he had "no idea" what he was getting himself into with loans.

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"The debt ties you down," he said. "I would love to travel the country, but that's not an option because I have student loans."

Although he does not regret attending Clemson, his recommendation to future out-of-state students is to establish residency in South Carolina so that you can eventually pay in-state tuition, and to think carefully about job prospects.

"Make sure you know what the hell you want to do and make sure there’s a job for it," he said.

Like Callahan, Anderson does not regret taking out loans—she sees them as an important investment in herself. At the same time, she suggests students spend time researching grants and applying for outside scholarships. 

"Try to find the grants and find the free money first," Anderson said. "Reach out to organizations, local churches. :leave no stone unturned."

LaRhonda Mabry graduated from Clemson in 2011 with about $40,000 in student loans. The electrical engineering major then returned to graduate school in part to defer her loans while trying to increase her potential pay.

The graduate degree brought her debt up to $92,000, but she was able to pay the amount off last year by funneling all of her sales commissions from her job toward loans. 

She said paying off the loans felt wonderful.

"Even as an engineer, half of my check would go to student loans," Mabry said. "I couldn't go out and have fun."

By repaying her loans, Mabry is in the majority. Knepfle said that 2 percent of Clemson graduates default on their loans. 

"At Clemson, the vast, vast, vast majority of our students go on and pay the loans back," Knepfle said. 

He suggests that students try to keep their loan debt to about the cost of a new car. 

"If a student keeps their loan debt at about what the cost of a new car is at the time, they will have manageable loan payments and be able to actually move out of mom's house," Knepfle said. "I'm not suggesting that's a good thing to have that much debt, but I think it's a tolerable amount of money."

Knepfle personally believes that university should be able to cap students' borrowing for their own good. When he tried to implement that at his last school, Miami University in Ohio, the backlash was swift. Parents did not want to be told what they could or could not afford for their kids.

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For those taking out loans, Knepfle advises against opting for the most expensive dorms and dining plans and instead looking for the cheaper options on campus. He also recommends students maximize federal loans before turning to the private market where interest rates can fluctuate more. 

"The best thing we can do for students is graduate them," Knepfle said. 

For Jason Toole, from the small town of Pelion near Columbia, the cost of attending Clemson was too high.

Toole started his college journey at Western Carolina University then transferred to Clemson in 2017.

He left Clemson in October 2018. After changing his major, his graduation date had been pushed back, which would have meant more semesters of loans.

"It wasn't worth it," Toole said. "It was going to be an extra $20,000 every year and it would just build and build." 

While his parents had set aside money for school, that only lasted for his first two years. He is now trying to transfer to the University of South Carolina so he can save by living at home.

Toole's advice to high school students is to worry about where you finish your degree, not where you start. 

"Go to a technical college for two years first," he said. "You'll save a humongous chunk and keep yourself a few thousand out of debt." 

Anderson wishes she had started at a technical college. 

"I am a big advocate for that now," she said. "Make sure you look into the smaller colleges in your hometown. Really look into those other avenues as far as cost-saving opportunities. That four-year school will still be there."