The $555,000 Student-Loan Burden

[Maryblume]

Quote from drcha:

Isn't the fact that you are even making this statement the crux of the problem?

By the time they are going to college, they are old enough to f-up all on their own. Are you going to continue taking responsibility for their errors until the day they bury you, or are you going to let them learn on their own?

This is how people learn and grow--they screw up. Then, if they are halfway motivated and intelligent, they figure out how to get out of the mess they have made and how to do better next time. And they become better and more confident in themselves because of the experience. If you are going to hold their hand for the next fifty years, then they will never figure anything out--why should they, if mommy and daddy will always fix everything?

There is no way in hell that any parent is responsible for the grades of their children in college. They are adults--qualified to drive, drink, vote, and get killed in wars, and they are responsible for themselves.

Some of you people are really good at building and knocking down straw men arguments. But like anything else in life, you get out what you put in. The above poster is completely misguided when he or she claims:

They are adults--qualified to drive, drink, vote, and get killed in wars, and they are responsible for themselves.

First, age has no relationship to responsibility. Second, why stop there? You could easily have said, "They are kids--qualified to f*ck up their own lives." Some people learn through experience, some do not. As I mentioned previously, there are many adults who have f*cked up their marriages, kids, jobs, investments, body/health, etc. Damn right parents are responsible for the grades of their children. They either raise them to do well and achieve or they raise them to feel self-entitled and they will consequently become slaves of others. You have a billion kids in China and India who want to eat your kids lunch. And I have a feeling that I will be supporting your kids someday...

 

[MattF]

My parents (and I) were smart enough..we split costs, I went to a state school (public), got Federal Direct loans, and I consolidated when rates were around historic lows.

I probably owe around $16K now, which isn't too much if you think about it...I paid it down in chunks over time, and this and my next gig combined should have it all paid off in less than 5 years. Granted I didn't get any of the jobs I wanted out of college and worked for minimum, but I wasn't "saddled" with an enormous amount, so I didn't "worry" as much.

On the other hand when I was last in TV, someone who went to a private college graduated with over 100K in debt (Sallie Mae loan) and she's still there making somewhere around 11/12 an hour at best. Trying to start her own business on the side, but even there it may not pay "a lot" in the end.

She'll be paying that off until she's probably about 50 at that rate.

 

[indahook]

Quote from TraderZones:



"Maybe half of it was my fault because I didn't look at the fine print," Dr. Bisutti says. "But this is just outrageous now."

Do we really need to read further?

its not my fault...whaaaaaa...anybody but me...wha wha wha...I`m a doctor..boo hoo...

Getdafuckouttahere!!!!!!!!

 

[Arnie]

Quote from zdreg:

easy loans have raised the cost of college educations. if loans were not available colleges would be forced to lower tuition. student who do not take loans are subsidizing student who do take loans by paying higher tuition as a result of increased demand for higher education.

+10

It's easier for a college to raise tuition in response to more demand than it is to really address that demand by building more class rooms or adding teachers.

From what I've seen of recent graduates, some should ask for a refund.

 

[CaptainObvious]

Simple solution...anyone that defaults on a college loan must then serve 4 years in the military, enlisted man status, infantry only . All debt absolved after service. That'll learn'em!:eek:

 

[SCI new york]

Quote from S2007S:

Only $100 going towards principal, now that is fucked up.

$990 X 351 = $347,490 - $209,399 = $138,091 in interest alone.

Imagine having this type of career that is suppose to afford you a nice comfortable life but since she is in this much debt she cant even get a loan for a house or a car.




She recently entered a rehabilitation agreement on her defaulted federal loans, which now carry an additional $31,942 collection cost. She makes monthly payments on those loans -- now $209,399 -- for $990 a month, with only $100 of it going toward her original balance. The entire balance of her federal loans will be paid off in 351 months. Dr. Bisutti will be 70 years old.

Forget all the moral arguments in the thread, Herein lies the real problem.
$100 going to principal, $890 going to interest.
Sounds like a losing proposition to me for anyone exept Sallie Mae. They're supposed to be a non for profit organization whose purpose is to help students afford college tuition to become doctors, nurses, etc which we need and yet they choke them with "fine print" that bites them in the ass and hinders their careers and success. These are jobs that are in demand, but people cant afford medical school because they wont take out loans and they can't afford it outright. So who wins?

 

[drcha]

Quote from Maryblume:

Damn right parents are responsible for the grades of their children. They either raise them to do well and achieve or they raise them to feel self-entitled and they will consequently become slaves of others.

Well, I would certainly agree that you are totally responsible for them while they are children. If you haven't done the groundwork by the time they are 18, there is no point in trying to do it then.

Even when they are adults, your guidance (if they will listen to it) is essential. But picking up the pieces? No. At some point they have to be allowed to make their own mistakes.

 

[KINGOFSHORTS]

Quote from SCI new york:

Forget all the moral arguments in the thread, Herein lies the real problem.
$100 going to principal, $890 going to interest.
Sounds like a losing proposition to me for anyone exept Sallie Mae. They're supposed to be a non for profit organization whose purpose is to help students afford college tuition to become doctors, nurses, etc which we need and yet they choke them with "fine print" that bites them in the ass and hinders their careers and success. These are jobs that are in demand, but people cant afford medical school because they wont take out loans and they can't afford it outright. So who wins?

The rest of the world while we shaft and turn our future generation into indentured slaves. I see the US a third rate nation like Mexico in 40-50 years down the line.

 

[Maryblume]

Quote from BarneyFrank:

it's silly and naive to assume that universities educate

the value of going to universities is not in the education, because there is no education, but in the degree, yes the piece of paper you get

and your future job depends on the name of the university on that paper

this guy is naive because he can't understand that in his own country (and most other countries for that matter), getting a job is not about what you know, but about who you know, so if you have a piece of paper from a high prestige university, that means you must be part of the upper class society, so your chances of getting a prestigious job are higher than someone who got his degree from a crappy state university

You obviously don't understand the value of education. Someday if you are able to go to even "a crappy state university" you may learn that the true value of an education is that it teaches you to think for yourself. It's not about becoming part of upper class society. Once you understand the value of INTELLECTUAL CAPITAL, the rest will follow.

 

[stinkyfelix]

Quote from CaptainObvious:

Simple solution...anyone that defaults on a college loan must then serve 4 years in the military, enlisted man status, infantry only . All debt absolved after service. That'll learn'em!:eek:

It should be 1 year for every $10,000 of debt with a minimum of 4 years....