What Is Responsible Borrowing

Responsible borrowing sounds like a simple concept. We begin learning how to be responsible at a very young age by taking care of ourselves and our possessions, and we learn that borrowing something means that we will eventually have to return the item to the owner. With all of our experiences with responsibility and borrowing, why is so difficult to be responsible with our borrowing when it comes to student loans? The Iowa Financial Know-How Challenge: Senior Scholarship is one practical and meaningful way I have gained knowledge and become equipped to borrow responsibly. When deciding how much to borrow for college, I began by looking at the cost of the colleges I was considering attending. I decided that it was best for me to choose a lower cost option where I could qualify for academic scholarships. I know that I will need to continue to work hard in college so I will be able to continue to renew my academic scholarships, graduate in four years, and keep my cost lower. I am also going to continue to search and apply for new scholarships that may become available after I start college. …show more content…
I know that I need to choose a major that will lead to a job that will offer a salary that will cover my living expenses as well as my student loan debt. I know that it’s important for me to borrow less than my starting salary will be when I graduate from college. I am considering an elementary education or nursing major, and both have starting salaries that are above the $20,000 amount I am considering borrowing. Both of these careers also have an above average probability of graduates getting jobs, and they both are anticipating many openings in the year 2020, which is when I plan to graduate from