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Too Much Student Loan Debt

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eron1027
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Too Much Student Loan Debt  Reply with quote  

I am in my second year at the University
of Arizona. I am paying out of state tuition solely through student loans,
most of which are private. My parents' income places me out of reach of many
government sponsored loans, grants, and scholarships but they will not pay for
my college expenses. They do cosign for my loans but the realization that I
will be near $100,000 in debt upon graduation has been weighing more and more
heavily on me. I am not sure of how unique my situation is but I
feel like I have a lack of options. I am very aware of scholarships and have
been pursuing several through sites such as Fastweb. What do I do? Do I have any other options? Thanks for any advice.
Post Wed Feb 20, 2008 2:20 am
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oldguy
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quote:
but the realization that I will be near $100,000 in debt upon graduation has been weighing more and more heavily on me. I am not sure of how unique my situation


Not unique. But the quality of your plan depends on your major. If you are majoring in social studies, english, music, etc - and your expected salary is between $30,000 and $40,000, then it is a big mistake to rack up a $100,000 loan. That is because your salary will not be a lot higher than it would be now w/o the degree so you have little extra money to repay the loan.

Conversely, if you are majoring in a high-pay 4-year program such as physics, engineering, math, statistics, accouting - and your expected starting pay is $60,000 to $80,000 then it makes sense. Your pay will be $30,000 above non-degreed pay so the extra $30k/yr can quickly retire the loan and the future extra earnings will be gravy.
Post Wed Feb 20, 2008 6:25 pm
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cbass1017
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I fully agree with old guy. My brother owes over $300,000 in school loans but he's a doctor. There's nothing wrong with coming out of college with $100,000 in debt as long as your profession can afford it. You definately need to research your career path to make sure you'll be both comfortable with your finances and happy with your job.
Post Fri Feb 22, 2008 4:52 am
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pf101
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Why are you going to an out of state school when you can probably get just as good of an education for 1/4 the cost at an in-state school?

I agree that it depends a lot on your degree, but having a "good" major doesn't guarantee a good salary so minimizing your debt is a good idea. Personally I'm a fan of Community College for the first 2 years then finishing in state. I don't see a reason to attend an out of state school unless your program is so specific that only a few schools offer it and none are in your state.

What about looking into a work-study program to supplement your loans so you don't have to take out as many.

Personal Finance 101
Post Fri Feb 22, 2008 8:01 pm
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coaster
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quote:
Originally posted by pf101
I don't see a reason to attend an out of state school .
But what if it's a great party school? Laughing

~Tim~
Post Fri Feb 22, 2008 10:06 pm
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pf101
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quote:
Originally posted by coaster
But what if it's a great party school? Laughing


I don't know any party that's worth $100k in debt. Smile

And any school can be a good party school! Wink

Personal Finance 101
Post Fri Feb 22, 2008 10:25 pm
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aika
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maybe if you have some money to start up a business, like a hot dog stand, etc. At least it will help lessen your school expenses. ( Just an advice ) Smile
Post Fri Feb 29, 2008 7:36 am
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Greg Orlando
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Try to do something else which will help you to earn more so that you don't need to go for student loan or any other loan.
Post Tue May 19, 2009 8:34 pm
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