Community Chat

[missy1]

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@Abrowneyegirl wrote:

Depending upon who owns the loans........ these people are going to be in for a HUGE surprise many years from now when there social securtiy payments are 'garnished' to pay back what they owe.

Why should the taxpapers foot the bill for irresponisble people.

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Or their tax refunds will not be refunded.  (depending on what type of loan they have)

[MyGirlsMom]

Is this a "War on Education" thread? 

..oh boy

[hyacinth003]

What I don't see mentioned here is the terrible economy and lack of full-time and decent paying jobs.

The young people of today are totally behind the 8 ball compared to most of us here.

I have been dealing with this with my own daughter since she graduated from college.  It took her forever to find a minimum wage part-time job, and 2 years to be accepted as full-time there.

She had to leave the job in May due to physical problems.  We have been waiting since July to get her government health insurance so she can see a doctor again to continue treatment (she needs a specialist).  She may finally get that Oct. 1. 

She has been looking for a job since May.  She has had 3 interviews.  She is still awaiting results from one of them.

In many places (maybe MOST) the economy is still terrible.  That is why you are seeing these defaults.  If it wasn't for us, my daughter would be in big trouble too.

Hyacinth  

[KarenQVC]

I think some grads think they can live high on the hog after they graduate.  They should pay their loans first and then live on what they have left.  Of course, there are some who can't find jobs at all and that is too bad.

[Sweetbay magnolia]

And then there is my neighbor's son who got a Masters degree in "sports management".  What the heck is that and how do you get a job in it? 

BA, English

[hyacinth003]

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@Sweetbay magnolia wrote:

And then there is my neighbor's son who got a Masters degree in "sports management".  What the heck is that and how do you get a job in it? 

BA, English

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There's a LOT of money in sports today.

That may turn out to be a great degree!

Hyacinth

[blackhole99]

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@MyGirlsMom wrote:

Is this a "War on Education" thread? 

..oh boy

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Come on, no one is against education just the high cost and who says you have to graduate from a 4 year college to be educated! I know many very smart people who are very successful and never set foot on a college campus. What ever happened to the self made man and woman?

[Irshgrl31201]

I think there are a mix of reasons why we have this. I do think that we need personal finance classes in high school. Learning how to create and use a basic budget, how to spend and how to save, critical skills for adult financial responsibility and real world relevance examples. Junior Achievement used to have such a program with volunteers in financial literacy and work readiness. It is amazing the amount of 18-25 yr olds don't know how to do this but it is also frightening the amount of adults don't either.

I have personally seen both examples but I definitely see more where these kids just are not prepared, pick a school that is entirely too expensive especially considering the wages they can draw from said field in relation to their loans. I know lots of kids who absolutely could pay their loans but are living a lifestyle that will not support both. It is shocking to me though that some of their parents sign off on this and these aren't people that I would have considered unwise, but I absolutely do now.

Kids that young don't realize the ball and chain these things will become and if we don't have competent parents out there looking out for them then a personal finance class or two that focuses and banking basics and basic to student loans is a must.  

Then you have examples like Lee Siegel who is a writer that graduated from Columbia, is very successful, lives in an expensive home and just wrote an article for the NY times on why he defaulted on his student loan. He absolutely has the money to pay off his student loan, but just refuses to and even counsels others how not to and to marry someone with good credit, I find him completely repulsive and I hope they get him for every single cent he owes, plus interest.  His article was quite an outrage and I hope he loses lots of work for doing that. Not so much because HE refuses to pay back these old loans but because he is advising children to do the same and giving pointers when they have absolutely no understanding of what damage and how they follow you for the rest of their lives.

[Blahblahvampemer]

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@ROMARY wrote:

'A hundred years ago' (lol), state colleges/universities were somewhat easier to pay (for).  I recall working Summer vacations and holidays/breaks, and still having a decent savings account. I don't recall ever worrying about it (at that time).  But, then again, I didn't even think about and/or attempt higher level, more expensive colleges, universities.  Community and State were good enough for me.  Received my B.A. and jobs were very, very available.  For some time, it was an employee's world.  Employers often tried to 'sway away' employees from other companies by dangling better salaries, benefits.  .......... (I don't know exactly when or why that all ended........Could it be that companies/manufacturers have outsourced overseas?  All I know is that the food service/hospitality industry is keeping lots of graduates afloat now-a-days.  An industry that cannot be done overseas.  A person-to-person industry, no matter what field,  always remains fairly solid. So far.)    Wishing them all the best of luck.  I can't imagine the stress, not even knowing whether or not jobs will be available when all is said and done. 

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College was a lot more manageable when my parents went and even when I did, but anything that is subsidized becomes more expensive.  The WSJ recently had a article on a lawyer who saddled herself with enormous debt, but she also admits that she did it expecting a big loan forgiveness.  Lots of people are probably banking on it, too.

Yes, restaurants and such are full of college grads, but as wages go down, people cut back or stop eating out.  The stats on restaurant spending are kind of pathetic even if they spend $15 on a Cosmo like I did the other day.

[Blahblahvampemer]

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@hyacinth003 wrote:

What I don't see mentioned here is the terrible economy and lack of full-time and decent paying jobs.

The young people of today are totally behind the 8 ball compared to most of us here.

I have been dealing with this with my own daughter since she graduated from college.  It took her forever to find a minimum wage part-time job, and 2 years to be accepted as full-time there.

She had to leave the job in May due to physical problems.  We have been waiting since July to get her government health insurance so she can see a doctor again to continue treatment (she needs a specialist).  She may finally get that Oct. 1. 

She has been looking for a job since May.  She has had 3 interviews.  She is still awaiting results from one of them.

In many places (maybe MOST) the economy is still terrible.  That is why you are seeing these defaults.  If it wasn't for us, my daughter would be in big trouble too.

Hyacinth  

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There's the bigger picture to think about.  People are told to get a college degree rather than pursuing a job making something, and apprenticeships are seen as a thing of the past.  Throw in parents who want Junior to have the college experience, and not having to be TRULY responsible for the classes/major of their dreams, they could easily end up with even a cheaper degree that's rather meaningless.  

The biggest reason for defaulting on student loans is not thinking it through to begin with.  If Job A pays X amount, you don't go to a school that costs as much as a year's salary.  Studies have shown that the average person is financially illiterate, and that has horrible lifelong consequences.