Volunteers know what it means to give their all for Tennessee — including their money.
Fifty-three percent of University of Tennessee graduates leave with some level of student loans, according to common data statistics from the 2013-2014 academic year. The university is the second highest in public Southeastern Conference schools in that category.
After this summer’s 6 percent increase of in-state tuition, UT has the highest tuition rate of public SEC schools, further complicating the financial situation for students who are forced to take out college loans.
The tuition increase, coming on the heels of major cuts in state funding, has obligated students and their families to shoulder more of a financial burden for their education.
However, Chris Cimino, vice-chancellor of finance and administration, said by email Thursday the net tuition, the amount paid after financial aid is applied, shows UT can still be competitive.
“For example, the highest quartile of family income for last year’s freshmen class on average paid only $3,160,” Cimino said. “The lowest quartile, those families with a combined family income of less than $48,000, on average received $5,800 back in excess financial aid. These are funds that may be applied to other costs of attendance.”
In 2012, the Federal Reserve Bank of New York found 30 percent of Americans were delinquent on student loans, while late payments on house mortgages, credit cards and automobiles had all fallen, as reported by the Pew Research Center in a May 2014 article.
The New York Fed also reported that in the same year, 39 million Americans collectively owed $988 billion in student loans, averaging about $25,000 per person.
UT has stayed just under this average, as 2013-14 graduates left with $23,729 in loans, making the school the fifth-lowest public SEC university for debt accrued upon graduation.
Tyler Prichard, a 2014 graduate in kinesiology, left with $35,000 in debt. However, Prichard said he is glad he chose UT because it gave him a quality education, if at a price.
“I relied on loans to pay for everything, to pay for tuition and a little bit extra,” Prichard said.
While losing his HOPE scholarship made him accrue more loans than most, Prichard is optimistic about paying off his loans.
“Hopefully I can knock it out in five, six years,” he said. “That’s a little ambitious, but hopefully less than 10.”
While it was announced this week UT fell to 50th in public universities in the country according to U.S. News and World Report, the ranking does not account for total debt accrued, or percent of students who leave with loans.
“Tennessee was ranked in 2013 as seventh amongst states with the lowest amount of student debt,” Cimino said. “While we are focused on excellence and quality, we don’t lose sight of the cost of attendance and affordability.”
Despite his substantial debt, Prichard left open the possibility of taking on more student loans if it means he can enter a master’s program. For now though, he is moving back to Johnson City to work retail so he can start repaying debt before the interest rate goes up.
“Sometimes you have to take the job you need and not the one you want,” Prichard said.
