Students in the United States owe a collective $1.2 trillion in student loans.
One college in Michigan is doing its part to help students better manage their loans.
Adrian College, a small liberal arts institution in Adrian, Michigan, has offered to help pay for students loans if graduates can’t find a decent job after finishing their undergraduate program.
Adrian College has an enrollment nearly 1,700 students. Attendance costs approximately $40,000 per year with combined tuition, room and board.
Starting in the freshman class of 2014, the college promised to help pay back student loans on a sliding scale. Graduates who make less than $20,000 per year will be reimbursed for their full monthly student loan payments. Graduates earning between $20,000 and $37,000 will be reimbursed on a sliding scale.
The reimbursements continue until a student starts making more than $37,000 or they receive a total of $70,000 in reimbursements.
If a student goes on to earn a higher degree the reimbursement program begins after they complete that degree.
The Adrian College program also accommodates transfer students that have outstanding student loans and at least two years of college remaining to achieve their degree.
The average student loan debt at Adrian College upon completion of an undergraduate program is $17,000.