Published on Thursday, August 28, 2008 by
CommonDreams.org
Community College Students Need Not Apply: Our Reward for Bailing Out the Banks by Kesi Foster
The American Dream deferred - that's what national lenders announced recently when they told Americans they were significantly reducing their lending to students who attend community college. Education is the great equalizer, but there was no equality in their decision: they targeted community colleges for cuts while extending their lending programs at distinguished 4-year schools.
According to the New York Times (6/6/08), the following lenders have started turning away from community college students: Citibank, JPMorgan Chase, SunTrust, and PNC. In the case of Citibank, it has stopped offering loans to all community college students in the state of California. The banks' reasoning is that community college students are more likely to default and are taking out smaller loans, while the students at elite universities are more likely to take out bigger loans and to re-pay them, since they are expected to earn more in the job market. This might sound like solid reasoning were it not for the fact (duly pointed out in the article) that the government ensures all student loans up to 95%. Thus there is essentially no risk involved for the lending companies.
We've been told that a college degree will set a person on the path for success. Not everyone takes the same path, however. People enroll in community college for many different reasons. Some didn't get the grades in high school to qualify for a 4-year school, while others have to work full-time and need the flexibility that community colleges offer. Most simply cannot afford to enroll in a 4-year school. I am one of them.
After high school, I enrolled in St. John's University because I got decent grades in high school and I was expected to go to college. I had no understanding of what I wanted to be in life and didn't grasp the importance of the college experience and a higher education. I pretty much picked a major out of a hat and then spent my first two semesters skipping one too many a class. By the summer I decided not to enroll for the fall, and took a full-time job instead. It wasn't anyone's fault-in truth, I was not ready to attend college and made my decision accordingly. ......(more)
The complete piece is at:
http://www.commondreams.org/view/2008/08/28-0