Desperate Advice/Help SOUGHT...PLEASE

Paying for College
1

<p>I am going to be a freshman at either my instate college (UMich) or private schools (USC or George Washington next year).</p>

<p>It's turning out all to be costing similar prices...about 20,000/yr-25,000 in loans. I got no merit aid from these schools, so basically I'll be anywhere from 80 to 100k in debt when I graduate if I go to these schools. AM I CRAZY? Is this unrealistic? Can I get a job to pay this off quickly? Please help...im going insane and dont know what to do. At this point, it seems I have no options and must take out loans regardless of where I go.</p>

<p>Thanks:-(</p>

2

<p>“I’ll be anywhere from 80 to 100k in debt when I graduate if I go to these schools. AM I CRAZY?”</p>

<p>Probably not, unless you take on 100K in debt for your undergrad education. </p>

<p>“Is this unrealistic?” Yes. Too much debt for undergrad.</p>

<p>“Can I get a job to pay this off quickly?” Highly unlikely. More likely you’ll have this debt hanging around your neck for decades like an albatross, limiting your options going forward.</p>

<p>You should have:</p>

<p>*Applied to some financial safety schools, that you could afford. Typically, these are in-state public schools, or perhaps local community colleges. </p>

<ul>
<li>Applied for financial aid via FAFSA and Profile. This would help you if you’re eligible for grants or federal loans, and might also make you eligible for some school’s merit scholarships (some require FAFSA).</li>
</ul>

<p>*Calculated your EFC well ahead of applying for college to determine whether you were a candidate for need-based aid.</p>

<p>Did you do any of these things? If not, how did you plan to pay for expensive colleges?</p>

3

<p>I applied for FAFSA/Profile. My EFC was 8,000 and UMich my instate school gave me junk except reduced loans. …and all other schools gave me aid to bring their price down to UMich…</p>

4

<p>If you applied for financial aid and filled out a FAFSA/CSS, you can ask them to reevaluate your position. If your circumstances are that dire, or if there have been certain changes in family income, their FA offices will do what they can.</p>

<p>Edit: just read above. The private schools also gave all loans?</p>

5

<p>A good strategy for applicants in your EFC range is to apply to privates that give significant merit aid, where you might be in the top 25% of applicants stat-wise. If they want you, they’re likely to sweeten the pot with merit aid, in addition to whatever need-based aid you might get. It’s unlikely you’ll end up paying less than the EFC, but you’re likely to have some schools where your actual out-of-pocket will be much less than 20K.</p>

<p>You can also consider working summers (maybe 2K) and working part time during school (maybe 2.5K or so). No parent contribution?</p>

<p>Don’t take out 20K per year in loans.</p>

6

<p>If you can’t get a better financial aid, I suggest that you go elsewhere even if that means you take a gap year. Otherwise, you’d be carrying a staggering amount of debt, far above what’s recommended for undergrad.</p>

<p>The average amount of debt that people take for their undergrad education is a total of about $20 k. The max that’s recommended is a total of $40 k.</p>

7

<p>yeah… what are your parents paying??</p>

8

<p>Did something change with GWU? On your other thread you said:
THE FINANCIAL BREAKDOWN:
GWU - 32,000 per year renewable fin. aid scholarships
15,000 academic scholarship
47,000 total out of 55,000 per year paid for each yr</p>

<p>I’m pretty sure that 55-47=8K/year, which is an amount you can further reduce by working summers and making careful choices. If you want to run some numbers and see what the payments on debt will be there are calculators here:
[FinAid</a> | Calculators | Loan Calculator](<a href=“Your Guide for College Financial Aid - Finaid”>http://www.finaid.org/calculators/loanpayments.phtml)</p>

9

<p>yes they wont give me both scholarships!! i guess u cant use both the merit aid and financial aid scholarships…which is bull ***** .
so im scrambling now…idk what to do:'(
i just feel like rolling in a ball and not going to college.</p>

10

<p>I know you said you were dead set against MSU, but it should have been an option, as should have Albion and other very good in-state schools that probably would have given you full rides. But, that is in the past.</p>

<p>I also find it very strange that UMich gave you very little aid. Many of my friends have EFCs in the 12k-15k range and even they are getting aid from UMich in non-merit form. I would contact UMich and see if you can get more aid.</p>

<p>I do not think that you should go 80k-100k for undergrad. It will be nearly a lifelong burden that I do not believe you should do to yourself. </p>

<p>What can your parents contribute? Do you have ANY financial safeties at all? If not, you may have to do a year at a CC or take a gap year.</p>

<p>Plus, there is some aid available from the State of Michigan. 1000 from the MME and things like that.</p>

11

<p>Merit scholarships reduce need. So if you were initially offered a 15K academic scholarship, your need-based aid will likely be reduced by that amount.</p>

<p>But if you’re offered 32K in grant/scholarship aid at a school with a COA of 52K, that’s a pretty good offer. And it doesn’t mean you need to take out 20K per year in loans.</p>

<ol>
<li><p>School’s COA is often somewhat inflated, with estimates for personal expenses, books, and transportation that give a frugal student plenty of wiggle room. We’ve found that if a student is careful, he can often shave 2K off the estimated cost by not taking the most expensive meal plan, buying used books, not splurging, and watching transportation expenses.</p></li>
<li><p>You should be eligible for Perkins or Subsidized Stafford loans, probably to the tune of around 5K per year. These are the best loans, interest is paid by the govt while you’re in school, and you don’t need to start repaying until after you graduate. 5 to 6K per year would leave you with 20 to 25K of debt upon graduation, which is doable for most.</p></li>
<li><p>You should be able to work during summer and bring in 3K or so.</p></li>
<li><p>You should be able to work part time during school, and bring in around 3K during the year (you might be eligible for work study, which would be great, but regardless you’ll need to work). It’s your education, your dream. You need to step up and work for it.</p></li>
</ol>

<p>2K + 6K + 3K + 3K = 14K. That leaves around 6K-- see if your parents can do this from income/savings, or perhaps a PLUS loan.</p>

<p>There are ways to make this work, if you work for it. But if you just expect others to give you money, forget it.</p>

<p>Otherwise, go to a cheaper school.</p>

12

<p>london, you say on other threads that you do not yet have your financial aid offer from USC - try not to panic, and get all the information so you can make an informed decision.</p>

13

<p>sblake thanks (and everyone helping/commenting on this)…i have no help from parents…not monetary and not advice-wise. both are not college graduates, and both my brothers went to CC, so I or my parents (not to mention they are divorced so i only talk to my mom pretty much) have not been through this process.</p>

<p><strong>BELOW IS MY COPY AND PASTED FINANCIAL AID AWARD FROM GEORGE WASHINGTON UNIVERSITY</strong>: PLEASE PROVIDE INSIGHT I WOULD GREATLY APPRECIATE IT!</p>

<p>Housing Status
Campus Housing </p>

<p>Expected Enrollment Status
Full Time </p>

<p>Cost of Attendance Component Amount</p>

<p>Books and Supplies $1,200.00</p>

<p>Fees $295.00</p>

<p>Personal Expenses $1,400.00</p>

<p>Room and Board $10,120.00</p>

<p>Tuition And Fees $41,610.00</p>

<p>Transportation Allowance $1,000.00</p>

<p>Total: $55,625.00</p>

<p>Financial Aid Award Fund Status Fall 2009
Spring 2010
Total</p>

<p>Board of Trustees Scholarship Offered
$12,500.00 - Sem 1
$12,500.00 - Sem 2
$25,000.00 - Total/yr</p>

<p>Federal Work-Study Program Offered
$1,100.00 - Sem 1
$1,100.00 - Sem2
$2,200.00 - Total/yr</p>

<p>Unsubsidized Stafford Referral Recommended
$997.00 - Sem1
$1,003.00 - Sem2
$2,000.00 - Total/yr</p>

<p>Federal Perkins Loan Offered
$900.00 - Sem1
$900.00 - Sem2
$1,800.00 - Total/yr</p>

<p>Fed Sub Stafford Loan Referral Recommended
$1,750.00 - Sem1
$1,750.00 - Sem2
$3,500.00 - Total/yr</p>

<p>University and Alumni Award Offered
$3,500.00 - Sem 1
$3,500.00 - Sem2
$7,000.00 - Total/yr</p>

<p>Total
$20,747.00 - Sem1
$20,753.00 - Sem2
$41,500.00 -Total/yr</p>

<p>If you have questions regarding the above information, please contact the Office of Student Financial Assistance.</p>

14

<p>55625 - personal and transportation (2400)= 51625
they have offered you 41610 which includes student loans of 7300</p>

<p>You are still 10K short.</p>

15

<p>Yeah-- and the work study ($2200) is included in that award, so no offset there from working during the year. Without help from relatives, I don’t see it happening. even if you work summers and during the year.</p>

<p>You’ve got 32K in grants and scholarships against a 55K COA. That’s too big a gap without family resources.</p>

<p>Best to look for more affordable options. Sorry-- but you’ll find that in life, you often have to drive a Chevy when you’d prefer a Mercedes.</p>

16

<p>Unfortunately I have no other options except community college and I don’t see the point in doing that when I know I should be at a better university… All my schools are ending up being 18-20,000/yr so i guess im just gonna have to go in debt.</p>

17

<p>If you do decide to take the GWU offer (congrats on the Board of Trustees AND Alumni scholarships!) look in to becoming an RA. Some schools will let you RA as early as sophomore year and the job often includes room and board. That might reduce the amount you have to borrow in later years.</p>

18

<p>“Unfortunately I have no other options except community college and I don’t see the point in doing that when I know I should be at a better university… All my schools are ending up being 18-20,000/yr so i guess im just gonna have to go in debt.”</p>

<p>I have a really hard time with that statement.</p>

<p>There is absolutely nothing wrong with starting out at a community college and getting a large chunk of required coursework done at a reasonable price, avoiding debt and giving you a chance to earn/save more money. Transferring to “Big Name U” after achieving your Associate’s Degree means in the end, you’ll get a Bachelor’s Degree from the school you want.</p>

<p>My niece had her heart set on University of Maryland, but the cost was steep. She opted for two years at her local community college, did well with her coursework and had no difficulty getting in to UMD and next spring will achieve her goal of a degree from that school.</p>

19

<p>Go to CC and transfer. Or take a gap year, work, and build up funds to pay for a more expensive college. Or take a gap year, and apply to a less expensive school next year.</p>

<p>You have options- just not the options you want.</p>

20

<p>My Mom got her degree at Berkeley. But did her first two years at Pasadena City College. Same diploma that the 4 year students got. Employers don’t care.</p>