The student loan bubble, time to bail out the banks again

[halik]

Exactly, College in America is nothing but a scam now.

God forbid you're allowed to enter a contract to buy education. Those damn colleges and their predatory education! They MADE me get that $100K law degree from an unaccredited school.

I'm perpetually amazed at your grip on reality.


<- incidentally 40K in debt from grad school. Worth every single penny.

 

[WhipperSnapper]

Halik! I'm looking at your avatar and wondering how you could do something like that to that poor wench!

Source of Halik's and El Fenix's Avatar: http://www.GetOnMyHorse.com

 

[halik]

Halik! I'm looking at your avatar and wondering how you could do something like that to that poor wench!

Source of Halik's and El Fenix's Avatar: http://www.GetOnMyHorse.com

Sometimes people just need to shut up and get on my horse. ...

 

[StageLeft]

College degrees are still necessary but in Canada when a person goes to most schools for a grad degree tuition is low, like under $10k last I checked and here in the US for a similar caliber school it is multitudes of that. I know it's more heavily subsidized in Canada but I'm not sure to what degree. One way or the other it is total lunacy for people to be coming out of school in the US with some toilet paper degree and a hundred K in debt. I think most people are better off than that, but it does happen.

 

[classy]

I'll go on record right now, you will not see another bailout, especially for student loans. Ain't gonna happen.

 

[jhbball]

This is Obama's fault, clearly.

 

[Wreckem]

"There is an estimated $730 billion in outstanding federal and private student-loan debt, says Mark Kantrowitz of FinAid.org, a Web site that tracks financial-aid issues -- and only 40% of that debt is actively being repaid. The rest is in default, or in deferment, which means that payments and interest are halted, or in "forbearance," which means payments are halted while interest accrues."


Is that really true? 60% of the student loans out there arent being repaid? That's an absolutely astronomical figure.

Key word is deferment. A large precentage of student loan debt is defered because people are still in school.

 

[Wreckem]

College degrees are still necessary but in Canada when a person goes to most schools for a grad degree tuition is low, like under $10k last I checked and here in the US for a similar caliber school it is multitudes of that. I know it's more heavily subsidized in Canada but I'm not sure to what degree. One way or the other it is total lunacy for people to be coming out of school in the US with some toilet paper degree and a hundred K in debt. I think most people are better off than that, but it does happen.

It depends. State schools graduate tuition is pretty cheap $9-12k tuition per year. That said in the US you shouldn't be in academic graduate program unless you have full funding + ta stipend. You SHOULD NOT take out loans to complete and academic graduate degree.

 

[Wreckem]

Subsidized student loans are a feedback loop which increases the price of schooling forcing more people to seek out loans which increases the price of school.

FIGHT!

Most increases to the cost of education are directly related to cuts on higher ed by state governments.

 

[Wreckem]

Tell that to the woman that owes more than $550,000 and will be paying till she is 70.

What is she 45?

IBR prevent everyone from paying on federal student loans more than 25 years, 10 years if you work in some form of quasi public service(there is a broad definition) for 10 years.

IBR caps your payments at 15% of discretionary income. Soon to be lowered to 10% by Obama.

I'll have around $100k in debt when Im finished with school. I won't even cover the interest accrued over 10 years under IBR.

 

[Hacp]

Most increases to the cost of education are directly related to cuts on higher ed by state governments.

Mainly to pay the janitors and bureaucracy's over bloated union salaries. You have janitors making more dough than many adjunct teachers. Tell me something isn't wrong with this?

 

[Wreckem]

Mainly to pay the janitors and bureaucracy's over bloated union salaries. You have janitors making more dough than many adjunct teachers. Tell me something isn't wrong with this?

In what state? California?

Here in Texas it is not like that. Most non falculty staff at the University I went to made less than $50k, with bulk of them making in the $20-35k range. Those that made more are upper level managment people. Janitors make around $8 a hour there. Texas universities have had tuition skyrocket do to deregulation and because of the state not spending/cutting spending. Tuition at Texas universities will likely go up atleast 5% next year and 5% the following year.

 

[Zargon]

they offered to hold my wifes on 0&#37; since she started grad school but we are still paying anyways

you dont have to pay them while in school, so nothing is going on though you owe $$$

and most will halt payments when you enroll in graduate level stuff, so the numbers are deceiving

 

[Carmen813]

What is she 45?

IBR prevent everyone from paying on federal student loans more than 25 years, 10 years if you work in some form of quasi public service(there is a broad definition) for 10 years.

IBR caps your payments at 15&#37; of discretionary income. Soon to be lowered to 10% by Obama.

I'll have around $100k in debt when Im finished with school. I won't even cover the interest accrued over 10 years under IBR.

More info for what he is talking about:
http://www.finaid.org/loans/ibr.phtml

Frankly, I think this is a good policy. It allows individuals, such as myself, who are going into public service or health oriented fields that don't pay extremely well to fund our educations. For example, I'm in Clinical Mental Health Counseling, a field which maxes out at around 50k a year.

 

[nick1985]

Tell that to the woman that owes more than $550,000 and will be paying till she is 70.

Did someone put a gun to her head and force her to borrow over a half a million dollars? If so, was it a republican?

Ever thought of putting the blame where it belongs?

Hint: The borrower

 

[TruePaige]

It depends. State schools graduate tuition is pretty cheap $9-12k tuition per year. That said in the US you shouldn't be in academic graduate program unless you have full funding + ta stipend. You SHOULD NOT take out loans to complete and academic graduate degree.

MIT Sloan is about 40k a year for graduate tuition. You'd be a fool not to go if you can get in the program. The doors a degree from MIT Sloan opens are worth every penny. Same goes for Darden, Darthmouth, Kellogg, and Wharton for starters.

Canadian schools may be cheaper but globally US schools put out the most competitive grads.

The only grad school in Canada for business that is worth it's salt is Rotman and that is a second tier school.

London Business School is good when you go international though.

But if you want to pay 30-40k a year to go to a crap school you are a sucker.

I set my goals a long time ago to ensure proper use of my money. Tier 1 Undergrad and doing everything I can to ensure a future at a Top Ranked Grad School. Every dollar of investment in myself I can be sure is a good investment.

 

[Wreckem]

God forbid you're allowed to enter a contract to buy education. Those damn colleges and their predatory education! They MADE me get that $100K law degree from an unaccredited school.

I'm perpetually amazed at your grip on reality.


<- incidentally 40K in debt from grad school. Worth every single penny.

Just to make a slight correction. Unaccredited law schools really only exist in California as they are the only state that has Bar that accepts non ABA schooled applicants. Unaccredited schools in Cali typically go for less than $20,000 for the entire degree.

You probably meant to say $200k in loans on some tier 3/4 private law school like Cooley, Regent, etc etc. They are accredited by are huge scams that prey on people that didn't do enough research/bought into their BOGUS employment claims.

 

[Wreckem]

MIT Sloan is about 40k a year for graduate tuition. You'd be a fool not to go if you can get in the program. The doors a degree from MIT Sloan opens are worth every penny. Same goes for Darden, Darthmouth, Kellogg, and Wharton for starters.

Canadian schools may be cheaper but globally US schools put out the most competitive grads.

The only grad school in Canada for business that is worth it's salt is Rotman and that is a second tier school.

London Business School is good when you go international though.

But if you want to pay 30-40k a year to go to a crap school you are a sucker.

I set my goals a long time ago to ensure proper use of my money. Tier 1 Undergrad and doing everything I can to ensure a future at a Top Ranked Grad School. Every dollar of investment in myself I can be sure is a good investment.

I made no mention of Professional Degrees. People have no buisness taking out loans to get grad degrees in History, Biology, etc, etc. Unless of course they are required to get a masters to continue on being certified as a teacher. To put it plainly to get a PhD in an academic field on your own dime(loans) is incredibly stupid. And thats all I was saying. Its a worse investment than going to a 4th tier law school.

To put it plainly to get a PhD in an academic field on your own dime(loans) is incredibly stupid. And thats all I was saying. Its hard to say who has worse job prospects a 4th tier law grad or an academic(atleast until the dinosaurs die off in the next 15-20 years).

 

[TruePaige]

I made no mention of Professional Degrees. People have no buisness taking out loans to get grad degrees in History, Biology, etc, etc. Unless of course they are required to get a masters to continue on being certified as a teacher. To put it plainly to get a PhD in an academic field on your own dime(loans) is incredibly stupid. And thats all I was saying. Its a worse investment than going to a 4th tier law school.

To put it plainly to get a PhD in an academic field on your own dime(loans) is incredibly stupid. And thats all I was saying. Its hard to say who has worse job prospects a 4th tier law grad or an academic(atleast until the dinosaurs die off in the next 15-20 years).

HEY! A professional degree is part of a graduate academic program.

You didn't clarify, don't get uppity with me.

 

[EagleKeeper]

I remember that. My wife has a few small Canadian student loans left and one of them in the last several months was given a lifetime 0% interest rate, backed by the newfoundland gov. I simply have no motivation at all to pay it off, so I'm just going to make minimum until I get tired of writing checks.

In doing so, you may be depriving other Newfies of an education.
The government may have a limited pool and relies on honest Canadians (ex pats or not) to keep the pool liquid.

 

[jhu]

Halik! I'm looking at your avatar and wondering how you could do something like that to that poor wench!

Source of Halik's and El Fenix's Avatar: http://www.GetOnMyHorse.com

I want the 3 minutes of my life back

 

[halik]

MIT Sloan is about 40k a year for graduate tuition. You'd be a fool not to go if you can get in the program. The doors a degree from MIT Sloan opens are worth every penny. Same goes for Darden, Darthmouth, Kellogg, and Wharton for starters.

Canadian schools may be cheaper but globally US schools put out the most competitive grads.

The only grad school in Canada for business that is worth it's salt is Rotman and that is a second tier school.

London Business School is good when you go international though.

But if you want to pay 30-40k a year to go to a crap school you are a sucker.

I set my goals a long time ago to ensure proper use of my money. Tier 1 Undergrad and doing everything I can to ensure a future at a Top Ranked Grad School. Every dollar of investment in myself I can be sure is a good investment.

It will most certainly open doors for you. IMHO going to a worse school to save money is probably the worst decision you can make as far as investment goes. It can be fixed with a good Grad program, but your undergrad will limit where you can go.

 

[halik]

Just to make a slight correction. Unaccredited law schools really only exist in California as they are the only state that has Bar that accepts non ABA schooled applicants. Unaccredited schools in Cali typically go for less than $20,000 for the entire degree.

You probably meant to say $200k in loans on some tier 3/4 private law school like Cooley, Regent, etc etc. They are accredited by are huge scams that prey on people that didn't do enough research/bought into their BOGUS employment claims.

I think there are several unaccredited law schools in Mass. The case of the 60 some year old lady's 100K law school debt getting discharged comes to mind.

 

[halik]

I want the 3 minutes of my life back

It's less than a minute and then it loops :-D

 

[TruePaige]

It will most certainly open doors for you. IMHO going to a worse school to save money is probably the worst decision you can make as far as investment goes. It can be fixed with a good Grad program, but your undergrad will limit where you can go.

It's true, you have to ask yourself if saving 10 grand now is worth the opportunities you will forfeit later.