| Too Much Student Loan Debt |
|
|
|
|
|
eron1027
First Time Poster
Cash: $ 0.25
Posts: 1
Joined: 20 Feb 2008
|
| Too Much Student Loan Debt |
 |
|
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.
|
Wed Feb 20, 2008 2:20 am |
|
|
oldguy
Senior Member
Cash: $ 751.85
Posts: 3656
Joined: 21 May 2006
Location: arizona
|
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.
|
|
Wed Feb 20, 2008 6:25 pm |
|
|
cbass1017
Contributing Member
Cash: $ 4.95
Posts: 37
Joined: 18 Jan 2008
Location: PA
|
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.
|
|
Fri Feb 22, 2008 4:52 am |
|
|
pf101
Senior Member
Cash: $ 62.25
Posts: 311
Joined: 12 Sep 2007
Location: Portland, OR
|
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
|
|
Fri Feb 22, 2008 8:01 pm |
|
|
pf101
Senior Member
Cash: $ 62.25
Posts: 311
Joined: 12 Sep 2007
Location: Portland, OR
|
quote:
Originally posted by coaster
But what if it's a great party school? 
I don't know any party that's worth $100k in debt. 
And any school can be a good party school! 
Personal Finance 101
|
|
Fri Feb 22, 2008 10:25 pm |
|
|
aika
Contributing Member
Cash: $ 5.90
Posts: 28
Joined: 29 Feb 2008
Location: Las Vegas
|
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 )
|
|
Fri Feb 29, 2008 7:36 am |
|
|
Greg Orlando
Full Member
Cash: $ 12.50
Posts: 60
Joined: 07 May 2009
|
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.
|
|
Tue May 19, 2009 8:34 pm |
|
|
|
