College Insists Students Work Instead of Taking Out Loans

Not looking for graduates crushed under debt

One college is taking an unusual approach to the problem of mounting student debt: It's no longer accepting applicants who need to take out loans.

The College of the Ozarks, a private, evangelical Christian school in Missouri, may be the first institution of higher education to take the step, Reuters reports.

The reason for banning loans? "Debt is a big problem all over the country," Jerry Davis, president of the four-year school, told Reuters. "Kids nowadays are not very sophisticated with money."

But many would say the bigger problem is the surge in education costs, prompting families and students to borrow money for earning a college degree.