The second, although easier and likely to be effective, is very controversial. Keep track of debt. Two thirds of the schools responding to our questionnaire do not produce annual reports on the level of student indebtedness. Most schools would be helped by the basic step of regularly compiling data and tracking the borrowing trends among their students. 2. Make loans harder to get.
Students are less likely to borrow if it is inconvenient to do so.
Other schools require students to project their future income, expenses, and debt payments before approving a loan. Although such homework assignments may not discourage most borrowing, they do provide the student with a heightened awareness of the future impact of loans. 19 Experts always recommend financial planning and counseling, such as the future budget projection mentioned above, as the best way to control indebtedness. If the planning and counseling begin before the student enters the theological or rabbinical school, the student's finances can be projected through the entire course of study and beyond, into the first years of congregational service and loan repayment. The projections would include the total the student and financial aid officer believe would need to be borrowed and managed.