About 100,000 Virginia residents are in debt to a Virginia college. Until debt is paid, they face huge problems.
The Virginia Poverty Law Center says that about 100,000 people who live in Virginia owe money to a college in Virginia. Students usually can’t get their college transcripts until the money is paid. This makes it hard for them to transfer to a cheaper community college or get a job to pay off the debt.
They are in a Catch-22 situation.
Monday, a House subcommittee killed a bill that would have made colleges give out transcripts in certain situations. 5 Republicans and 4 Democrats voted against Senate Bill 1110, which was led by Republicans.
It was the second year in a row that the bill, which was backed by Sen. Ghazala Hashmi, D-Chesterfield, passed the Senate but didn’t get enough support in the House, which is controlled by Republicans.
In the past few years, student debt has grown a lot, and many people are struggling to keep up with the rising cost of tuition.
This year, Hashmi changed the bill and made sure that the student had to meet certain requirements. The debt would have to be less than $500, or the student would have to pay it off in at least three monthly installments.
If the student needs the transcript to apply for a job, the college would have to give it to them. Hashmi said that the bill she put forward this year is a “toned-down version” of the one she put forward last year.
Jay Spear, the head of the Virginia Poverty Law Center, said that sometimes students drop out of school because they get sick or someone in their family does. Their loan or scholarship might not be enough to pay for all of their tuition, leaving them with an unexpected debt.
The Senate passed the measure unanimously.
Opponents say that colleges need a way to force students to pay back what they owe.
The law says that colleges must “aggressively” go after their debts, which can mean taking money from a student’s paycheck or suing them.