There are a number of powerful advantages to getting scholarships. If you are able to get a scholarship that covers both your tuition, books, and primary living expenses, you can focus on completing your degree without having to take out loans or get a job to pay for your classes. However, scholarships are not easy to get. Unlike student loans, scholarships are not heavily advertised.
Getting a good scholarship can be challenging, and even frustrating. However, the rewards of getting the scholarship are worth the challenges. In this article, I want to go over some of the key advantages of getting scholarships. The first advantage of getting a scholarship is cost.
It isn’t much of a secret that the costs of education have continued to rise in the last 20 years. This has made it harder for students from low income families attend college, and some have even went as far as to say that this has caused a larger wealth gap in society, since those who are educated have a tendency to get better paying jobs. While most colleges and universities are quick to talk students into taking out loans to pay for their education, few of them will mention scholarships, unless students are shrewd enough to ask about them. There are a number of reasons why you will want to get a scholarship rather than a student loan.
Studies have shown that it takes the typical student 10 years to pay off their student loans once they’ve graduated from college with a bachelors, masters, or doctorate. This will generally be tens of thousands of dollars that will need to be paid back, plus interest. Over the long term, this is money that will be pulled out of the students pocket. With scholarships, the student doesn’t have to pay back anything. Once they graduate, start their careers, and begin earning money, they can keep the money they earn without having to repay it. Another key advantage of scholarships is that it allows students to avoid what I call the "school work dilemma."
The school work dilemma is something that many students from low income families are familiar with. Once these students graduate from high school, they must deal with how they can attend college while working to support themselves. Since the financial aid they may be given is not enough to pay for 100% of their tuition, some of these students may be forced to work 30 to 40 hours per week while trying to study at the same time. Because they are often tired after work, they fall behind on their studies, and some even leave college. Even if the student can finish college, the "school work dilemma" will put them in a situation where it takes longer for them to get their degree compared to a student who can pay for their classes up front without having to work a day job.
The "school work dilemma" isn’t limited to students from low income families. Students who come from wealthy families, but who have parents that refuse to fund their education, are also put in a situation where they have to deal with the school work dilemma. A student who is in either situation could benefit from getting a scholarship. They would be able to cover all the major costs of their education, and they could work maybe 10 to 15 hours per week, focusing on their studies. Most importantly, the money doesn’t have to be paid back.
Another powerful advantage of scholarships is their prestige. Because most scholarships require students to maintain good grades in order to keep them, it takes a great deal of responsibility to use them effectively.
Once a student graduates from college with a scholarship, potential employers will be very impressed with they read the resumes of these students. The reason for this is because the students showed responsibility and discipline by being able to get the loan. An applicant who obtained their education via a scholarship is highly respected in the eyes of most potential employers. Scholarships are not easy to get, and this is why they are so valuable. In contrast, student loans are much easier to get, but they will be much more costly over the long term. Scholarships are powerful financial tools that students must utilize if they wish to graduate without owing a great deal of money.