<p>I read that the average indebtness for many colleges such as NYU and brandeis is around $25,000 at graduation. Do the students who have that much debt find that they are struggling to work it out especially if they are going to gradaute school? Or is it soemthing that is unpleasent but everyone bears with and really isnt that bad?</p>
<p>The $25k is about what student-Stafford/Perkins loans amount to after 4 to 5 years of undergrad. This about the cost of a new car. Interest is typically subsidized by taxpayers during your school years or offered at below market rates to someone with no work history or credit scores. If you are going to grad school then the loans will be further deferred. </p>
<p>Shermie, are you willing to purchase a good, reliable car for $25,000 and make payments for 6-7 years?</p>
<p>Excellent analogy, itstoomuch!</p>
<p>For an idea of what it costs to repay: my daughter took out the maximum unsubsidized Stafford loan for her 4 years at school, which came to around $17,500. The repayment period recently began - it's $198 monthly for the next 10 years. She has a fairly well-paying job for a recent grad who isn't in a technical field, so this is a manageable amount. (Made more so by the fact that we're making the payments for her, at least while we can :))</p>
<p>My middle daughter's flute teacher is married to another musician, also a teacher. They just finished repaying their student loans, which totaled almost $700 monthly for the 10-year period. Most of the debt was incurred for grad school. Both are extremely talented and had hopes of professional orchestra careers in a major city, but found instead that they have to patch together a living from occasional orchestra gigs, public school teaching, private lessons, etc. Their payments were difficult for them and certainly limited them financially.</p>
<p>College Board will give you the average indebtedness for each college. UCLA is about 13K. But remember that the indebtedness is as much a factor of the individual applicant's financial situation, as the school's aid policies.</p>
<p>Is there a maximum that I can take out on Stafford loans? Will they be compeltely deffered if I choose to go to grad school right away? Are these loans tax deductible when I finally get a job and start doing taxes?</p>
<p>I am not expert but I believe there is limit on subsdized Staffort loan, like 2,650 freshman year, 3,500 sophmore and 5,500 junior and senior. There is no limit on unsbsidized Stafford which is different since repayment begins 90 days after receiving the loan.</p>
<h1>6. First part correct. 2nd part incorrect. There is a limit on unsubsidzed Stafford which is the same amount for the subsidized version. The repayment can begin immediately or can be deferred and the accruing interest capitalize, compounding.</h1>
<p>All the above will be changed beginning July 1, 2006; Which at this time, is now better than current programs. </p>
<p>Shermie, You really need to google the loan programs to get a better understanding. You really, Really don't want to trust me.</p>
<p>It's a different story for grad students. Look it up, it will be beneficial for you, financially.</p>