This may be a bit personal, but I was wondering on your guys take on how much is too much for the Cost of Admission. I received my Fin Aid from UF today, and I saw that I received $18,845 from grants and work-study, and $5,500 from Student Direct Loan and $26,625 from the PLUS Loan. I’m OOS and my family EFC is 1319. UF is my top choice, but I have a couple of safety schools so don’t hold back on your thoughts. Is the debt worth it or should I hold back the burden on my family? Parents, I’m curious about how much you paid regardless of salary, and if you thought it was too much. Thanks!
No, the debt is not worth it - in fact it’d be a horrible thing to do to saddle your parents with so much debt (more than 100k for them, turning into 120k with interest, and 27k for you, which turn into 31k with interest- the amount a college graduate can reasonably pay back over 10 years. As for your parents, they’d never be able to save themselves from such a huge amount).
What are your other choices? What’s their cost?
You were accepted at Auburn as an in state student. That is an excellent “safety” school and likely affordable.
@MYOS1634 I was accepted at Auburn University and the Honors College and, as of right now, It’ll be $5,500 for my Student Loan and $13,000 for the PLUS. My complete aid package comes out on Monday, but these are the numbers they sent me. I’m planning to major in Software Engineering so is the Return on Investment not worth it after I graduate from UF? I imagine that I’ll be able to pay it back with a career with a base of $60K? Or is that too unrealistic and naive? Thanks for your comment!
@TomSrOfBoston I see. I just want to make the best of my situation and help give my parents some relief while I pursue a degree. Thanks!
Yes, it’ll be too much.
You need to stick to the federal loans you can take yourself (5.5k for Freshman year, increasing progressively.)
Even 13k in PLUS loans from Auburn is terrible considering they’re your in-state school - I sure hope you get grants rather than loans for your parents to take on.
Since you for offered Honors College you you’d get some merit scholarships.
Do let us know so we can help you determine value.
Where else have you been admitted?
@MYOS1634 Yea, Auburn is Alabama’s priciest school in terms of OOS and in-state though the COA is subject to change on Monday. I was also accepted at the University of Alabama with Honors College as well. It’ll be $5,500 for Student loans and $6,000 PLUS. They have yet to give out honors scholarships but I believe I’ll receive them. UA is a lot more generous with aid, but its engineering school is a little bit more disadvantaged than Auburn.
U Alabama Engineering is not as old as Auburn’s but it’s definitely no slouch. Plus you got in for honors college so you should get a tuition waiver at UA at least.
@MYOS1634 Thanks for the advice!
My advice is to minimize the debt. Instead, when you start working, get your loans paid off and start in a 401K. Financial decisions you make early in your career will have a big impact down the road. Good luck!
I agree with @MYOS1634, don’t saddle your parents with a huge debt.
I don’t know why students think ROI justifies any amount of loans.
You don’t want to start your career with debt.
Some companies will check your credit because they don’t want to be in a position where you would be tempted to take company/ proprietary information to other businesses because you owe money.
My daughter was asking about ROI of a Cornell engineering degree with $120K in loans vs VT with the basic 27K, and we wouldn’t let her consider it, because she just was too young to really understand that amount of debt. What we said was, the four years will fly by, and the engineer at the next desk with no student loans will effectively be making thousands dollars a year more than you, because she won’t be taking $1000K a month off the top for student loans…
I would take the UA offer if Auburn doesn’t come through with more $$. It is really a lot of money if your parents and assets are low enough for that EFC. They don’t have much now, and they will have less if they have to pay off those loans.
@Gudmom Thanks for the advice! I’ve decided to go with Auburn since they included some more aid and work-study options. I hope your daughter is happy moving forward and I hope to enjoy these next few years.