Student loanzzzzz

[Skibo]

I was just listening to the radio and heard of a recent college graduate that has over $55,000 in student loans and is making $35k per year now. Ouch. I graduated in '88 with $11,500 in outstanding loans which was a lot less than my starting salary.

I'm wondering what the average college graduate enters the world owing for their education. Does anyone have any estimates. That $55k sounded outrageous to me.

[ph4ever]

actually it's fairly accurate from my estimates. My son went to MMI and the 14month course there is 16k. That's not including housing or extra tools. I can't remember what his loan amount is cause I've got one for it too. On top of that MMI basically lied about how much he'd make when he got out.

[PIA]

I was just listening to the radio and heard of a recent college graduate that has over $55,000 in student loans and is making $35k per year now. Ouch. I graduated in '88 with $11,500 in outstanding loans which was a lot less than my starting salary.

I'm wondering what the average college graduate enters the world owing for their education. Does anyone have any estimates. That $55k sounded outrageous to me.

Well im paying about $20,000 a year at Penn State...in-state tuition...we have the highest tuition in the big ten...and they want to raise it next semester and tack on an extra $200 activity fee...whatever that means...i already pay an extra $100 to use the gyms...

i dont want to see my loans until i graduate...

[buffettbride]

I think it is outrageous also.

For a student who has to pay for college completely with loans, using University of Colorado as an example, here is what one year looks like for a resident...

Tuition and Fees
$6,635

On-Campus Room and Board (Required for Freshman)
$9,088

Books/Supplies
$1,698

Estimated Total
$17,380

Multiply by 4 and you've easily exceeded the $55k considered the average. So, even with some savings or partial scholarships, it's still easy to close in on that $55k.

[SchoolGirlHeart]

$55k could be a low estimate for kids starting now.... it's insane....

[buffettbride]

$55k could be a low estimate for kids starting now.... it's insane....

Not to mention a person trying to FINISH college as a non-traditional student.

[docandjeanie]

$55k could be a low estimate for kids starting now.... it's insane....

In my business (residential mortgage loans) this is not uncommon at all , and sometimes much higher

[LIPH]

I graduated from law school in 1994. I paid cash for the first year and borrowed for the last 2. I owed $39,000 when I graduated and paid it off in January, 2006.

[Salukulady]

I know my niece graduated (4 year) from a private women's college $80,000 in debt. My kid's will all be attending the local Junior College with jobs on the side.....

[Skibo]

I know my niece graduated (4 year) from a private women's college $80,000 in debt. My kid's will all be attending the local Junior College with jobs on the side.....

Wow. That is steep, my alma mater's tuition is more than triple when i was there. It was in the top 5% in price then and still is. The GSL limit when I started was $2500 a year, it increased to $4000 my senior year. I can't imagine owing $80k before starting to work.

[ejr]

This site (http://www.finaid.org/loans/), which is not the government site, but a private one, has lots of information about average debt for college students.

Having been on the college end of this for many years, one of the problems is that while the philosophy of admissions and access is that everyone should be able to get into and go to college, the philosophy behind the federal financial aid programs is that college should involve some sacrifice on the part of the family. Federal and government programs have not been funded to the level needed to keep up with the rise in college costs (just as our pay raises do not begin to cover the rising price of food and gas), and colleges, in most cases, cannot pick up the rest of the cost, causing loan debt to rise.

An increasing number of colleges, especially some very selective private schools (see Harvard, Princeton, Stanford, Pomona, Grinnell, etc) have recently responded by eliminating loans entirely, or eliminating loans for lower and middle income families.

Part of this response by the colleges is also a response to an increased scrutiny of college endowments, which are always untouched, with the college using some of the interest towards their budgets, but never touching the principle, which, for an increasing number of schools, is over $1 billion.

[z-man]

All I know is I have two daughters who have graduated and two more who will graduate in the next year. We have paid for all of it, and look forward to paying off the second mortgage that will have paid for four degrees.

[Conolulu]

Thank God for Florida's PrePaid Plan, and Bright Futures Scholarships!

My daughter just graduated, and neither her father, or I, had to pay anything for 5 yrs...(She changed majors 2 times)....I did the PrePaid thing for 4 yrs + Room and Board...and she didn't need the Room and Board the last 3 yrs so it rolled over in to the plan.....She also got the 75% Bright Futures Scholarship the State offers so it was applied first , then the remainder, and books, came out of the PrePaid...

If it hadn't been for those 2, there is no way I could have afforded College for her for 5 yrs...She would have had to get a Student Loan...Don't other states have the PrePaid?

[phjrsaunt]

Virginia has the pre paid plan also. I bet my parents wish it had been around when my siblings and I were in college! God love 'em, somehow they put all three of us through college (we were allowed to go to any school we wanted, as long as it was a state-supported college in Virginia ) and they paid the whole thing.

I was the youngest (by a lot!)...practically the MINUTE I graduated from college, the folks sold the house and moved to cushy golf resort to spend the rest of their days on the edge of the fairway of Course 14 at Pinehurst, NC.

[OceanCityGirl]

As a non-traditional student with three kids in college, yep average. After considerable help from us and a decent amount of scholarships daughter graduated five year dual degree with 24,000 in debt and she's definitely on the low end of her group of friends.
Senate just increased the amount students can borrow under guaranteed student loan program to 40,000 dependent, 56,000 independent or those whose parents are unable to get plus. This in my experience is often the amount of debt kids take on before their parents start assuming plus loans. This is good news for kids whose parents can't help enough to cover rising tuition costs but increased loan amounts make it easier for colleges to raise tuition. I think this increase was meant to co-inside with a federal cut in aid to higher education causing another tuition increase.

[comemonday]

Pittsburgh developed "The Pittsburgh Promise"--- after any state or federal grants are obtained, ANY high school student (NOT based on income) with at least a C average will receive up to $5000 per year (for 4 years) to help with tuition. They have sort of a 'sliding scale' -- where next year I think you have to have a 2.5 GPA, but they're also planning on increasing the GRANT amount to $10,000 per year (for 4 years). It's a great concept-- I think this year's graduating seniors will be the first class:

http://www.pps.k12.pa.us/14311051715526 ... .05.07.pdf

[OystersandBeer]

After nine years of school my wife now owes $122, 000. After only four years of school I owed $21, 000. Mine will be paid off in 2013. My wife's...when she dies.

[bubba phan]

I just gotta toot my daughter's horn here........

My daughter just graduated (a semester early) in December having attended college on full academic scholarships and has not one penny of debt. That is allowing her the funds to go on to grad school in the fall, which will cost her nothing if she gets the assistantship she has applied for, which will also pay her a small salary. She was required to carry at least a 3.50 gpa in order to maintain her scholarships and she ended up one of two students in her class who graduated Summa Cum Laude. She's already talking about her PhD, saying that being a professional student is pretty fun if it isn't costing a boatload of money. I couldn't agree more.

[OystersandBeer]

I just gotta toot my daughter's horn here........

My daughter just graduated (a semester early) in December having attended college on full academic scholarships and has not one penny of debt. That is allowing her the funds to go on to grad school in the fall, which will cost her nothing if she gets the assistantship she has applied for, which will also pay her a small salary. She was required to carry at least a 3.50 gpa in order to maintain her scholarships and she ended up one of two students in her class who graduated Summa Cum Laude. She's already talking about her PhD, saying that being a professional student is pretty fun if it isn't costing a boatload of money. I couldn't agree more.

Your daughter is one lucky girl. My wife graduated undergrad with a 3.9. Recieved Master's with 4.0. Then went back and recieved a Specialist's with a 4.0. Not one school gave her anything. She left highschool with a ten thousand dollar scholarship which paid her first year of undergrad and then the rest had to be on her own.

[live2ski]

Wow!!! My $5 per credit sounds really good right now............














My wife is a professor. Spouses get to take classes for $5 per credit. After tonight I am finished with my second Bachelors degree. I want to take a semester off and then start my masters.