Which should I transfer to: Swarthmore or UMichigan?

I’m not going to say what you should do, what your family should do, but try to give you some perspectives here.

Selling rental property doesn’t just mean paying for something out of a bank account. It means stopping income. For many, it means cutting off planned retirement income. I have a number of people I know who bought rental property for that reason. It’s going to provide retirement income for them. They don’t get the shelter from FAFSA on these assets because they are not qualified retirement vehicles, but it’s their way of getting some tax shelters as they build up the properties to get income for retirement. So it can be a big deal to sell one of these things. It’s not a matter of simply replacing it 10 years later

Another thing I want to bring up is that sometimes parents don’t make the best financial decisions, especially when it come to their kids. I’m guilty of this with our children. My parents would have been worse. They would have frigging signed away their lives to give me or my siblings anything we wanted because they so blindly trusted and believed in us. They were very very lucky that none of us had them borrow money or sell assets for us because frankly, despite the fact that all of us did become successful financially later in life, those first years out of school, and some of our life decisions would have made it difficult to have paid much in loans off. Also my parents fell into some hard times and what money they had, made a huge difference in their choices and quality of life those years. I was in no financial position to help them much, as I was scrambling to get a tow hold in a career. Even coming from a Top 20 college with a “good” major, it wasn’t easy. I had to pay every cent of any start up costs myself, and it was expensive. Was helping parents out as well, and siblings still trying to get through college.

Which brings us to your brother lending you that money. That can hurt. Especially if he owes on loans and has his career, personal and family needs. I was there, and I can tell you it costs because you do live among your peers and compare yourself to them. It’s danged difficult psychologically to have to let things go that can further your path in your life as well as that if a SO, children, because the family from which you are trying to buy the strings still have a financial hold on you- with your money flowing back to them.

Also, though my entry into a career was many years ago, I have a kid right now embarking on a career straight from a top 20 school. I also know a lot sbout his friends and peers. The money don’t come pouring in after graduation. Quite the contrary. He’s not thrilled with the job he took, but it was the best offer. It’s not like silver and gold plates with piles of money are going to be offered to you. He needs to find a place to live in a new city, get a car, get clothes, get situated , and yes, he is privileged in that we, his parents are paying for it all. Plus, he has no student loans that tend to present themselves around December, already churning up interest for kids who borrowed. On top of the car insurance, car payment and other bills they are going to be paying on their own by then if things go perfectly well. He’s doing primo— not stuck living back home, onward to a new exciting life, but the numbers, the budget is daunting.

I wouldn’t count on landing a six figure job right out of college. I know some top kids from the most selective schools in the most sought after fields, with top grades and I’m currently right there where they are getting job offers and I ain’t seeing much in the way of 6 figures on those plates.

I understand fully why you’d want to go to Swarthmore or Michigan. I’d want to go too. I’d want my kids to go too. I’d break the bank for my kids to be able to do so. … But I wouldn’t do it for myself to my brothers or parents. That I know.

@cptofthehouse. Nice post. Yeah, that caught me by surprise also. Not a big deal just sell off some rental investment income…?

What the youngsters have to understand is that the economy changes. Seems like it will get worse before it gets better. Money could be tight in the next several years.

For someone that wants to be a data analyst I would think there must be a way to do some predictive analysis on this subject.

I also see the allure especially with my kid at Michigan, but being able to cleanly pay for it for me is key.

@calmlywaiting can you describe more about your reasons for wanting to transfer?

What is it about the education you are receiving at your current location that is not meeting your academic needs?

I would only incur additional debt if there were strong academic difficiences at your current school.

@powercropper

I literally do not feel like I am in college at all as my high school is a ten-minute-walk across campus. Also, I actually had an incident of stalking at my current school where I had to work with the University’s detective. I would say that the incident may have factored a little in my decision to transfer, however ultimately I do not like the school environment at all as I am seriously academically undermatched. In fact, there is a professor at my current school who is paying the full sticker price for his child to attend UMichigan, whereas the child could come to my current school for free!

@cptofthehouse

I understand exactly what you are saying and literally have contemplated this for months. I am aware that it is unlikely that I would be able to land a job with six figures immediately out of college, and that it is a financial burden for my family. However, I really do not like my current institution. Unfortunately, there are many out of state transfers who attend Michigan and pay the full sticker price to attend. This may seem like a crazy idea however to me it has always been my dream to attend one of the most renowned universities in the world. Although I could go there later on for a PhD, I assure you that I will always regret the fact that my undergraduate education was at my current institution.

@austinmshauri See thread for answer. Thanks!

@cptofthehouse

I know I am being quite selfish on this matter, but I really don’t like my current school and just hate the thought of me staying.

I am at a regional University in Nee England where the graduation rate is 54%, retention rate is 75%, and my H.S. GPA and SAT is greatly higher than the entering class at my current institution. The only reason I am at this University is because I was given a scholarship that covers my tuition only (not room and board, or any other fees). Furthermore, I am in an accelerated dual degree program where I am able to earn a B.S.B.A. and M.B.A. in four years, in which the scholarship covers the two degrees. Now I know what you are thinking. Who on Earth would let go of these two free degrees?!?!

However, it is important for you to know that my current university has a high school on campus and I attended that high school, and while I was there I took classes at my current university just like what I have been doing my first year of college. As a result, my college experience is literally an extension of high school. I lived on campus away from home the first time this year and it made no difference as I grew up in the county of my state pretty much all my life. I always wanted to leave my state for college.

Also, I have always yearned to attend one of the most renowned higher education institutions in the world, and my current university I considered to be my last resort when applying to colleges back in high school.

I have been accepted to the University of Michigan, NYU, and Swarthmore College. Right now, I am deciding between Michigan and Swarthmore.

At Michigan, I would be in the College of Literature, Science and the Arts where I would major in data science.

At Swarthmore, I would study Economics and Educational Studies.

Kind Reader who has devoted some of their time to reading this–> Thank you! I have two questions for you:

  1. Do you think I am making a huge mistake to let go of the full tuition scholarship on the two degrees even though I am not happy at my current institution at all? I feel that if I stay at my current institution then I will regret it.
  2. Would you go with Michigan or Swarthmore?

Thanks again!

Can you please lay out the numbers for us here, for example if you attend Michigan? Cost of attendance, X dollars from student loan , X dollars from savings. For both years.

Also, as others have mentioned, have you had your courses confirmed for transfer? Most colleges have a transfer credit webpage. What you need to determine is if you will graduate in two years from Michigan… will you complete the required coursework for your major?

The article was published 1.5 years ago and if you read the article, UMich is addressing the problems, including hiring additional faculty. UMich has the 8th largest endowment in the US.

UMich is a large public university, in fact, QS just ranked it the #1 public university in the US, I’ll bet you can find a few intellectuals to hang around with on campus. ?

https://record.umich.edu/tags/qs-world-university-rankings

@suzyQ7

I talked with an advisor at UMich about this and potentially yes however could take 2.5 years. Yes I am aware of what credits will transfer and what they will count as. In the database I am currently a Junior at UMichigan.

It will cost about $68,000 a year.

I am taking out the federal loans which has a limit of $6,500 for the first year at UMich and $7,500 the second year at Umich.

I have also applied for the Ontario Student Assistance Program since I am also a Canadian citizen, so I expect to get about $7,000 USD each year as a subsidized loan from them as well.

My parents are going to give me $30,000 per year.

I will borrow $10k from my brother.

The rest I will take out private loans or borrow from my parents under a contract.

@sushiritto I did not know that QS ranked it as the top public university in the country this year. Thanks for sharing!!

So in total, you will owe 76K for 2 years at Michigan. I think that is too much, personally. If you stay at your current college, is there any chance you can graduate Early? Is there a possibility for a 1 year study abroad? If you stay, will you graduate with a CS or data science major?

This problem is certainly not unique to UMich. Every college with a CS department, including privates with even larger endowments, has this problem, and almost every one of them is hiring CS faculty. The demand is such that none of them is able to fill all their positions regardless of the sizes of their budget. That’s the problem both UMich and Swarthmore face. Each one responded differently, probably due to different levels of severity. This should be among the most critical issues a CS applicant should examine when choosing colleges.

For the OP, the long wait lists for many CS courses at UMich could mean the OP may be unable to graduate on time and will be saddled with additional unanticipated cost.

@suzyQ7 Rest assured that I have done my research and looked at all my options. I truly do want to leave and yes it is a lot of money and not necessarily worth it, however I do not have any other options.

Your parents can pay $30k, you can borrow ~$7500, and you can earn $3k if you work summers. There are a lot of good schools you can get for $40k/year.

So you will be taking out each year $10K from your brother $6.5K federal loan (can you get this? are you a US citizen too?), $7K Canadian Loan and a $14.5K private or parental loan. This would total $38k/year or IF you can finish in two years $76k for two years of a preferred college. If it takes any additional time to graduate that will mean additional loans.

IMO that level of student loans would handcuff your life decisions for years after graduation. The large payments you would have to make to cover the payments of your undergraduate loans would interfere with every adult decision you make – it would mean you probably couldn’t take that amazing job at a start-up for less pay, get that new car, take a nice vacation, get the home you want etc. I would stay where you are and graduate debt free.

Look into taking a year (or at least a semester) out of the two years you have left at your college at an abroad program (or a program with another US college) for a change of scenery. Your future self will thank you.

Also have you considered any Canadian universities? Or if you are a US resident have you checked your in-state universities for a more affordable alternatives? Please understand that you are one of thousands and thousands of people who don’t end up at their preferred college for financial reasons.

Possibly $104k plus interest. Interest starts cranking the instant that money is disbursed. In 21/2 years, if OP starts paying right away which is doubtful— usually grace period with interest still churning of six months so, in three years we are talking about $110k and still cracking up the interest as he repays.

Probably not going to pay market rate if interest or any, to the parents or brother l. Those payments are not mandatory and may be last to repay if ever.

This is just a universal or blanket statement, not specfically speaking to problems, if any, for the 2019-2020 (or even last academic year of 2018-2019) academic year.