Students Turning to Crowdfunding to Cut College Loan Debt

NEW YORK (MainStreet) -- After working all summer at Dairy Queen, 18-year-old Kiana Neisig still found herself $8,000 short of her fall tuition despite her scholarships and student loans and was convinced that college was not meant for everyone.

Unbeknownst to Neisig, her friend, Araceli Martinez had been planning a crowdfunding page secretly to help her raise some of the tuition through GoFundMe, the San Diego personal fundraising site launched in 2010 which has 6,500 new campaigns started daily and charges a 5% fee on all transactions.

Strapped for cash and faced with a lack of access to more capital, more college students are turning to untraditional methods such as crowdfunding to pay for their classes. Sharing their stories through social media has helped many students pay for their classes, room and board and textbooks.

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