According to a Sallie Mae report, nearly half of student loan borrowers are anticipating loan forgiveness.

• Nearly half of student loan borrowers are anticipating debt forgiveness in the future.
• Consumer advocates caution families against assuming they won't have to repay debt when borrowing, despite the availability of relief opportunities.

Almost half of student loan borrowers anticipate debt cancellation in the future.

According to Sallie Mae's annual report, many borrowers expect the government to forgive their student loans.

Ipsos, a global market research company, conducted online interviews with 1,000 undergraduate students and 1,000 parents of undergraduate students between April 8 and May 14.

Consumer advocates caution families against assuming they won't have to repay debt when borrowing, despite the availability of relief opportunities.

Last summer, the Supreme Court rejected President Joe Biden's plan to cancel up to $20,000 in student debt per borrower, leaving tens of millions of student loan borrowers without debt relief.

Harvard is once again the top "dream" school, while more colleges are introducing no-loan policies.

The upcoming presidential election also puts existing student loan forgiveness programs at risk.

As president, Trump advocated for the abolition of the U.S. Department of Education's current loan relief programs, including the widely used Public Service Loan Forgiveness initiative, which assists public sector workers such as members of the U.S. military, first responders, public defenders, prosecutors, and educators. Trump also proposed to drastically reduce the department's budget, and his administration put a hold on a regulation aimed at granting loan forgiveness to those who were deceived by their schools.

The Trump campaign did not respond to a request for comment from a spokesperson.

The Biden administration's affordable repayment plan, SAVE, is currently on hold due to legal challenges.

Financial experts caution against relying on loan forgiveness, as it may have unfavorable consequences.

According to Rick Castellano, vice president of Sallie Mae, borrowing for college can be a smart move for some families, but it's crucial to have a plan and approach it responsibly.

Tips to avoid overborrowing

Financial experts advise families to borrow carefully as the number of student loan borrowers with large balances increases.

Overborrowing can lead to a host of financial and psychological consequences.

According to Mark Kantrowitz's analysis of student debt data, approximately 80% of borrowers with a debt range of $130,000 to $139,000 experience high or very high levels of stress compared to about 25% of those with a debt balance of less than $10,000.

Borrowing excessively can limit the funds available for other important expenses, including purchasing a home, as Kantrowitz advised CNBC.

He suggested considering a job that pays better even if it doesn't align with your career goals.

Betsy Mayotte, president of The Institute of Student Loan Advisors, advised against borrowing more than you expect to earn as a starting salary.

The annual average income for a student's chosen major can be found on the U.S. Department of Labor's website.

Kantrowitz advises families to evaluate colleges based on their "net price," which refers to the total amount they'll need to pay, including savings, income, and loans, after factoring in non-repayable aid such as grants and scholarships.

It's crucial to consider that different years may have varying costs as some schools provide aid only for the initial years when calculating the four-year net cost of attendance.

By considering the total cost and any funds you plan to allocate towards your college bill, you will determine if the amount you need to borrow is reasonable.