<p>Shout out to Hawk15 for posting this in the FA forum:</p>
<p>
[quote] I'm Graduating From A College I Cant Afford</p>
<p>I've just started my senior year of college, and if things go as planned, this spring I will proudly accept a diploma that I've paid a lot of money for. Well, I haven't paid for it quite yet. Actually, I owe $88,718.75 to various lenders--a sum I expect will take more than 20 years to repay. It's a daunting prospect, but I tell myself that it's a worthwhile investment. Fingers crossed! </p>
<p>How does a 21-years-old end up with such an enormous debt? For me, it was simply because I wanted to go to the best college I could, and, at the time I made the decision, I really didn't fully understand the burden I was taking on. </p>
<p>As a senior in high school, I'd considered a range of colleges: I looked at some State University of New York schools, other state universities, and a few less expensive private colleges. But, in my heart of hearts, I really wanted to go to the best college I could possibly get into. I had it hard in high school, taking challenging classes and studying hard so I could earn good grades. I'd played soccer and joined after-school clubs to show community involvement. I'd practiced taking the SATs for months so I would score competitively. </p>
<p>I applied early decision to New York University, and the offer of admission came on a rainy November afternoon. I remember slowly opening the damp 8 1/2-by-11 envelopes, being ever so careful not to damage the life-altering information inside. When I saw the word "accepted," I felt like my dream had come true. </p>
<p>Great article. It would be very interesting to get a follow up...what job does she get after graduation? Does it pay enough that she is able to make the loan payments?<br>
Does making the loan payments mean she has to defer other things...i.e. buying a first house or condo, getting married, having children.</p>
<p>"I had it hard in high school, taking challenging classes and studying hard so I could earn good grades. I'd played soccer and joined after-school clubs to show community involvement. I'd practiced taking the SATs for months so I would score competitively."</p>
<p>Am I the only one who found this scary? She didn't take challenging classes because she wanted to learn; she didn't play soccer because she enjoyed it; she didn't join clubs because they were fun-she did everything because she wanted to get into a "better" college. Is this the type of student the "better" colleges actually want? I am somewhat horrified at the prospect that these kind of people will be the future leaders of America.</p>
<p>I'm surprised NYU didn't place a limit on how many loans she could take out. Did she ignore the warning signs and took out alternative (private) loans anyways? Where were the parents in all of this??</p>
<p>(My alma mater would have never forced me take up such a large amount of debt. I graduated with only $35,000 in student loans. A major difference.)</p>
<p>Sounds like a spoiled kid who wanted what she wanted and was hell bent on getting it. Well, now she has it--a degree from the school that she wanted and almost $90,000 in debt. Hope it was worth it. I don't have any sympathy for her. She knew the costs. She knew she couldn't afford. She wanted it anyway. Sounds like her regret now is realizing that she's going to have to start paying back the loans. Welcome to the real world.</p>
<p>
[quote]
Did I make the right decision? Check in with me again in another 20 years.
[/quote]
Instead of checking with her again in 20 years, I'd like to check with her again in four years. Right now she is about 22 evaluating a decision she made when she was about 18. Let's see what happens when she is about 26 and evaluates this statement made when she is about 22:
[quote]
If I had to do it all again, I'd still make the same choice.
[/quote]
</p>
<p>I feel sorry for her. She needed someone to sit her down and explain "the facts of life" to her when she was 17 or so.</p>
<p>
[quote]
I'm surprised NYU didn't place a limit on how many loans she could take out.
[/quote]
</p>
<p>I am not surprised. When we got DD's acceptance from NYU they had the nerve to suggest that a very small grant and all the rest in loans of various combinations was a financial package. Hah! At least I knew how to read it. DD thought they were offering her a lot of aid.</p>
<p>It is not fishy at all - it is tragic. NYU could care less about how many loans she took out. There is no limit as long as you either have a co-signer or good credit.</p>
<p>I wonder if her parents co-signed. If they did they could be stuck with a hefty bill. They certainly should have been old enough to know better.</p>
<p>She says she doesn't regret it - yet she is not looking forward to graduation. hmmmmmm
I definitely would like to see how she is doing in 5, 10, 15 and even 20 years from now.</p>
<p>"It is not fishy at all - it is tragic."
Tragic? Hardly. She knew-or at least should have known-what the cost would be (it's not hard to estimate the cost of four years of undergraduate school, especially after you've received a financial aid package.) I too was accepted to NYU (this past spring), and received about $20,000 in scholarship money. That sum would leave me with about $30,000 per year to take out in loans-$120,000 total, if I avoid "super-senior" status. I knew the cost, decided that I would not be comfortable having that much debt as a 21-year-old, and so decided to go to the school that gave me a full tuition scholarship. The way I see it, it's all about choices/priorities...</p>
<p>A situation like this is when parents have to step in for a dose of reality -- that is, if the parents aren't in denial as well about the ramifications of this dream school. We've already had "the talk" with S1 about dream schools vs. nightmare debt load.</p>
<p>This is all NYU's fault. Why do they charge tuition that is higher than Yale's anyway? If they are going to charge that much, they better deliver, and by that I mean to make sure every graduate is employed. If not, NYU is just a scam.</p>
<blockquote>
<p>A situation like this is when parents have to step in for a dose of reality -- that is, if the parents aren't in denial as well about the ramifications of this dream school.<<</p>
</blockquote>
<br>
<p>Her parents didn't seem in denial. Told her that the school was unaffordable with their middle class status and that she'd have to take most of the loans out for herself. Most parents know what $90K debt feels like. Maybe they didn't emphasize what a nightmare debt load that would be.</p>
<p>But sometimes you can't tell kids anything...let's hope that she'll have a great job after graduation. Too bad that Wall Street is tanking, just when she'll need that high paying job.</p>
<p>I agree with ebeeeee that it's not NYU's fault that this student was allowed to take on so many loans. The entity that has the best chance of being a brake on the process is the student loan lender...if a person takes out too many loans, their chances of default increase and the lenders could be left holding the bag. The fact that THEY are willing to loan that much $$ to a student who already has massive amounts of loans is definitely why we are in a financial crunch today. Banks did the same thing with homeowners--lending gobs of money to people who wouldn't be able to pay back.</p>
<p>Not NYU's fault. So by your analogy if I go to Best Buy and buy a large screen TV I can't afford by using credit card debt it is Best Buy's fault??
The student and her parents knew exactly what they were getting into. If they didn't it is their own fault for not doing their own homework and making rational decisions.
It is thinking like this that has our country in the bailout we are in now.</p>
<p>I still don't understand why they put their child through this situation. If she cannot pay back the loans, the parents will have to contribute unless they want her credit rating to be poor (what if she wants a car? apartment??). I know it's "tough love" but really, this is a very scary punishment. The parents should have stopped her from going down this path.</p>
<p>
[quote]
Am I the only one who found this scary? She didn't take challenging classes because she wanted to learn; she didn't play soccer because she enjoyed it; she didn't join clubs because they were fun-she did everything because she wanted to get into a "better" college. Is this the type of student the "better" colleges actually want? I am somewhat horrified at the prospect that these kind of people will be the future leaders of America.
[/quote]
</p>
<p>You have to realize that if you question most highschool students, and ask what is the point in getting good grades, almost all will say, "To look good for college" or "I need good grades to get into college" rather than saying "I like to learn." You'll find very few students that study just for the sake of higher learning. I think that the only people that try to do well for highschool other than to look good for college, are the people that are not personally happy with themselves unless they know they are trying their hardest.</p>
<p>Sadly, CC felt that this thread should no longer be a featured thread. I generally feel that my advice is "blowing in the wind" since most folks here have a "cost be damned" attitude.</p>
