<p>At my senior awards ceremony, I was one of the students who received the Superintendent’s Scholars Award. Inside the little box they gave us, there was a $15,000 pre-approved auto-loan. On the back were the terms which stated that “If the auto loan is less than $15,000, the difference may be used for student related needs not to exceed $2,500”, “Loan to value must not exceed 100% if the automobile’s NADA value”, “The interest rate will be 8% or less, if the parent’s credit score dictates a lower rate”, and “Program expires August 31,2010”.
So, I’m not too sure I understand what I quoted above. Especially about the expiration date. Does that mean I have to use it before that time and that’s when payments begin, or does that mean I have to have everything paid off by that date or something else?</p>
<p>I don’t like this.</p>
<p>What kind of school gives an “award” that includes an offer of an auto loan?</p>
<p>I agree, it sounds more like a slick gimmick that is essentially just asking you to assume 15K in loans, be it auto or something else. Not a good idea for a new graduate (especially if you are a HS graduate!).</p>
<p>I think this school should be ashamed of itself and if my kid got something like that I would be contacting every news agency to have this broadcasted across the county to embarrass the heck out of them.</p>
<p>Is the award a pre-approved auto loan? WOW!!! </p>
<p>Or was there something else in box plus this offer?</p>
<p>This sounds scary - a new way to lure the young into numbing debt. Shameful. Do you attend a private school and is somone on the board also the owner of an auto dealership?</p>
<p>No, I went to a public high school. The Superintendent Scholars Award was a county wide award. It wasn’t distributed by my school.</p>
<p>^^^^^ I am not sure what else was in the box, but I (and am sure most of the other parents in this forum) would strongly advise you from buying a car and taking a loan unless absolutely necessary. Your objective (especially if you are one of the top students in the county) is to get a good college education and graduate with minimum debt. Also, if you have to buy a car, there is no need to spend $15,000. And by no means should you take cash out for other expenses as you have to pay them back. </p>
<p>I going to assume that you are going to college and have already accepted an offer? Does the college you are going to need you to commute? If yes then try and buy a good yet inexpensive car (look around). If you do not need a car, tear the offer up.</p>