<p>In my opinion, $12K/year is too much. But find some tools to run a loan amortization schedule and go over the results for yourself. Try to visualize what the impact of the payments would be on you or your parents. Remember that those payments will be competing with car loans, rent, etc., and that as you move ahead in life, other needs will arise.</p>
<p>If you have no good alternatives (other than delaying college to work for a year or more) then you may have to swallow the loan until you can make other arrangements (such as transferring to a private school with more generous financial aid than UCSD.)</p>