Main Aspects of International Students Bankruptcy - Essay Example

International Bankruptcy International studying in the United s face a number of challenges, some of which have an enormous impact on their academic performance. One of the problems that international students face include financial problems. Students who fail to get financial aid experience financial challenges since there are high tuition fees that they have to pay, as well as high expenses in the United States compared to their home country. In addition, the fees for international students may not be subsidized by the government as is the case for local students. The disparities between the exchange rates of the United States dollar and the currencies of the respective countries from where the students come from also contributes to financial problems among the international students. This essay highlights the problem of bankruptcy among international students in the United States. In addition, the essay will assess how students can avoid the problem of bankruptcy. In the recent past, the United States has experienced an influx of students from foreign countries and this has led to an increase in the number of international students. The American education system accommodates students from various parts of the world and is regarded as one of the best education systems. While studying, international students have more financial problems compared to local students. This is because they have no access to loans since they are not American citizens. As a result of financial difficulties, most foreign students have been forced to file for bankruptcy. As such, they cannot pay for any loans that they could have gotten from their fellow students or even take more loans since they are bankrupt (Kaplin and Barbara 675). International students experience difficulties in acquiring work permits; in fact, most of them do not work for more than 20 hours in a week. Most of the jobs available in campus are only offered to students who study under the federal program. With the many restrictions, international students in the United States continue to experience endless financial problems whose solution does not easily come by. Since they have few options, the students choose to file bankruptcy and this shields them from being held legally accountable for any amounts they might have borrowed whether in their home country, or in the United States (Lipson 268). Although the education and loan policy in the United States does not give international students an opportunity to get loans, there are students who are still eligible for loans. Based on statistics, it is evident that most overseas students do not repay the loans they took while studying on the pretense that they ran bankrupt. This leaves universities with debts, some of which are even several decades old. According to statistics, about five universities in the regions of Staffordshire and Midlands have students owing them debts amounting to 6.46 million pounds. With such debts, the universities are unable to carry out development activities and this affects learning in the institutions (Qianru and Terry 4). The problem of bankruptcy among international students in the United States is mostly caused by extravagance among the students. When foreign students go to the United States, some of them tend to be carried away by the luxury life. Thus, they end up becoming bankrupt and this leads to immense financial challenges. The standard of life in the United States is higher compared to other nations. This implies that expenditure in the U.S surpasses the financial ability of foreign students. As a result, they end up becoming bankrupt and cannot manage to afford necessities and other essential needs while studying in the United States. If they had the opportunity to survive with the same amounts of money in their respective home countries, they can make it but doing so in the United States becomes a challenge. Therefore, poor financial management has significantly contributed to bankruptcy among international students. Most of them do not prioritize and indulge in activities that are not academic related even before paying school fees (Jih-Hsuan et al 422). Challenges in the home countries of the international students have also contributed significantly to bankruptcy among the students. Since most of the students are from developing nations, there are many challenges such as famine, earthquakes, and poverty in their home countries. Thus, getting education loans from their home countries becomes a challenge and they mainly rely on scholarships from American universities, as well as financial aid from well-wishers. Since their respective governments focus on solving the immediate challenges, financial aid from home government is not possible and thus the students end up becoming bankrupt. Political instability also affects the students studying abroad. Since most of them cannot get loans from their home governments, they become bankrupt and cannot even manage to repay the small debts they owe the universities where they study (Kaplin and Barbara 677). In order to avoid bankruptcy, there are several measures that the students can take and manage their finances properly. One way of avoiding bankruptcy is evaluating the ability of students to finance education abroad. Before attending a university in the United States, it is essential for international students to consider whether they can afford to pay for the fees required. If they cannot manage to raise the fees required, then it would be wise to study in their home countries since going abroad will eventually lead to financial challenges such as bankruptcy. Another strategy that the students can employ to avoid bankruptcy is seeking scholarships from various institutions that offer such services. With scholarships, the students will have an opportunity to spend little of the money they have on school fees since the scholarships will cover the money needed for school fees. As a result, they will have money for personal expenses and avoid becoming bankrupt (Jih-Hsuan et al 426). Another way in which international students can avoid bankruptcy is through prioritizing their needs and covering the immediate needs with the little money they have. Setting priorities is crucial for any student who wishes to succeed while at the university. It is essential for students to plan properly and know what to do first and how their needs should follow each other. With an appropriate plan, it is rare for a student to become bankrupt. There are some expenses such as school fees that should be settled first by international students while the others should come later. Thus, planning and prioritizing is a sure way to avoid bankruptcy among international students in the United States (Qianru and Terry 8). International students can also avoid bankruptcy by seeking employment within the campus. Although there are regulations that international students cannot work for more than 20 hours per week, the students can still work for these hours and still make some money. Moreover, international students can still seek for employment within the campus during holidays, as well as during the weekends. Some of the jobs that the students might do in the campus include working in the bookstores, or even in the university cafeteria. With the small earnings from such jobs, a student will have money for personal expenses and will rarely become broke or bankrupt. Apart from working in the campus, there can also be off-campus employment whereby the student works outside the campus. This mostly happens in the case whereby there is collaboration between the University and other outside bodies such as charitable institutions. In such a case, the student may work for a charitable organization, which instead of paying them, sponsors their education, either partially or wholly (Kaplin and Barbara 680). Bankruptcy can also be avoided by seeking bursaries from the University. Most American universities provide bursaries to international students who are from poor backgrounds, but are bright. An international student who performs well can apply for a scholarship from the same university they are studying. They can sponsored either partially or wholly depending on their performance and ability to sustain high performance. With a scholarship, the students can save and avoid becoming bankrupt. Reducing expenditure is another way of avoiding bankruptcy among international students studying in the United States. This can be done by preparing a personal budget to determine the monthly expenses and decide the expenses that should be cut by the student. International students should avoid unnecessary expenses since they are a major contributor to bankruptcy (Lipson 274). In conclusion, it is worth noting that bankruptcy among international students in the United States has been a major issue. Most of the international students who come to the United States may end becoming bankrupt and this hinders their ability to repay debts. Bankruptcy may be caused by financial challenges in their home countries, as well as the inability of students to access loans and financial aid from the United States. High expenditure whereby the international students tend to live beyond their means has also contributed to bankruptcy. There are several steps that international students can take in order to avoid bankruptcy. First, they should evaluate whether they can cope with life in the United States and if they are unable to afford paying for education, then they should study in their home country. Secondly, they can look for jobs, either in the campus or outside campus to get an income that can help them cover their expenses. Works Cited Jih-Hsuan Lin, Wei Peng, Mijung Kim, Yeun Sung and Robert, LaRose. “Social networking and adjustments among international students” New Media and Society 14.1 (2012): 421-440. Print. Kaplin, William A, and Barbara A. Lee. A Legal Guide for Student Affairs Professionals. Hoboken: John Wiley & Sons, 2009. Print. Lipson, Charles. Succeeding As an International Student in the United States and Canada. Chicago: University of Chicago Press, 2008. Print. Qianru, She and Terry, Wotherspoon. “International student mobility and highly skilled migration: a comparative study of Canada, the United States, and the United Kingdom.” SpringerPlus 2.1 (2013): 1-14. Print. Read More