<p>So, I attended New Jersey Institute of Technology for about two years, didn't do TOO well because my heart was not really in it....Two weeks into my last semester there, I dropped one of my classes. I did not think anything of it because it was two weeks into the semester and I figured that everything was in order. I then found out that my financial aid was not disbursed yet at the time that I dropped the class. As a result, a $5,000 grant was taken away from me and I was left to pay it back myself...plus, I didn't do well that semester grade-wise...I ended up leaving that school and enrolling in community college until I could straighten out the issue...well, now I have just completed my first semester at the community college...got straight A's, managed to get on the Dean's List...but that's nothing when you owe $10,000 to another school and have NO idea how to pay it off... yes, it is $10,000 now...apparently breaking my contract with NJIT's Residence Life after a certain date caused them to bill my account an additional like $3500 ... </p>
<p>I just need some advice as to how I should go about taking care of this....By the way, I do not have any relatives who can help me....</p>
<p>Is “Residence Life” a dorm/room package? Those can be very difficult to get out of, but you may want to talk to them to see if there is any way to get that fee/fine waived.</p>
<p>However, in general, how I would approach the problem is simply by seeing it at as a 10K loan that you need to pay back. It might be in your best interest to simply take a year off of school, live cheaply as possible (move in with relatives?) and work two jobs and pay it off as fast as possible. My sister once made 700/mo cleaning houses on the weekends besides her regular day job. The 700 was all on the side, and she used it to pay off a credit card debt she had. </p>
<p>I promise you, a 10K debt is not the worst thing that will happen to you in life, and probably not your biggest bill that you will ever have in your life. You are presumably young and active–so you can go out there and focus on the goal of just getting rid of the debt.</p>
<p>There is no real way to make this debt go away… the school will hold your transcripts forever until you pay and you will need the transcripts to transfer again to a 4year college when you are ready. It is unlikely that you can get a private loan for that much without a cosigner, and even if you did, you’d be adding interest to the amount and still have to make immediate payments on the debt.</p>
<p>I know you want to just “move on” quickly, but this might not be a quick fix. But, if you take the time NOW to simply deal with the debt, even if it means working a year and not going to college, you will be in a better position to get where you want in life once you’ve handled this vs. letting it drag on you for years and years. This is a really really tough object lesson to get in life as a young adult–but how you handle <em>this</em> challenge can set you up for great success in the future if you see it as an opportunity to prove to yourself what you are really made of.</p>
<p>Thank You annika for your advice…
So, how sure are you of the fact that I will definitely not be able to get a private loan without a cosigner? Can I have a percentage? I really think I would rather receive a private loan than take an entire year off school…then I’ll be even more behind Is it at least worth a try finding a private loan that fits me and at least trying to apply and see what happens???</p>
<p>Do you have regular income and a good credit history? That’s what private lenders generally require. It’s too late for the other school to certify you for a student loan. Are you already taking your Stafford loans at the CC? If not, do you have room in your COA budget to request one?</p>
<p>sk8rmom, I have a job right now, bringing in only like $250 every two weeks and my credit history is good right now…I will have to go into my account to find out the exact name of the loans my community college gave me…Is that what you mean when you ask if I am already taking my Stafford loans at the CC? I do know that I normally get a refund though…I did last semester…</p>
<p>Sounds like you are already taking your federal loans. I would recommend trying to set up a payment plan with the old school and applying any excess refunds to it.</p>
<p>A private student loan? Probably not because, if you don’t have room in the budgeted COA at your current school, they will not be able to certify you for an additional student loan of any kind. It would have to be a personal loan through a bank and that generally requires a much higher income and/or collateral of some kind. </p>
<p>What is your estimated COA for the CC and how much are they already giving you in financial aid?</p>
<p>Finaid has already covered my tuition at CC, thankfully(: It’s more paying the 10k back to my previous institution that I am asking about, emeraldkity4</p>
<p>sk8rmom, my school’s site is down right now for some reason…I’ve been trying to get on it now for about 30 minutes…would you mind if i pm’ed you the details when the site works again?</p>
<p>Well first see- how much you can get it reduced- try and set up a payment plan. Then you will have a better idea of how much you are dealing with.</p>
<p>I’ll chime in. How are you going to make the loan payments on a $10,000 loan with the income you are earning? </p>
<p>BUT the only way to really find out…go to a bank and apply for a personal loan. I doubt seriously that you will get it, but the only way to know is to apply. Banks are now looking for income verification…usually that you have been employed for a length of time OR have a contract guaranteeing your continued employment.</p>
<p>I’m curious how you got financial aid from your current school. Did you not TELL the community college about your previous college enrollment?</p>
<p>I have a payment set up with my previous institution to pay AT LEAST $100/month…I honestly don’t know how I got finaid to attend the CC…they’re aware that I owe NJIT a good sum of money, but they are letting me continue to attend because I handed over a copy of the promissary note that I signed with NJIT…so they are aware that I am working to pay it back…</p>
<p>Technically, my dad is capable of helping me to pay off what I owe NJIT, but his mood goes back and forth…one minute he seems like he’s willing to help…the next minute it’s “this is your mistake, be responsible and figure it out yourself” so yeah, he’s not exactly what I would call …a reliable source…</p>
<p>A horrible lesson here. Hopefully OP will plop butt in chair and “not quit” when next faced with an icky class – or conquer the details throughly before moving off a chosen path (or, even better, before signing onto a path). </p>
<p>Meanwhile, you’re looking at $300 a month payment for about 3 years. That is brutal. You might look into the military (which sometimes has a big signing bonus) – or other path that will get you really, truly employed quickly. </p>
<p>What you’ve lost is the luxury of dinking around to try several different things. You’ve got to conquer the bottom line as soon as possible. The only thing I can think of besides the military is to wait tables at a top end restaurant or bar (not easy to get – you’ve got to have a lot of hustle and charm). </p>
<p>Time to sit down and list personal strengths and talents. People sometimes make a mint on working estate sales/storage unit work (again, you’ve got to have tons of hustle) – but you need some path where a lot of work pays off.</p>
<p>Charlize, you can PM if you want but I’m not a FA officer, just a mom with college kids. Good to hear that you’ve already set up a payment plan. Is there some reason why you want to disrupt that? Are they charging you interest on the money? I would consider very carefully whether taking a private loan would benefit you at all. You’d likely have much higher payments than $100/month and may have to offer collateral or a cosigner. It doesn’t sound like you’ve had to risk either to get the terms you have now.</p>
<p>Olymom, believe me, I have realized many times over again that I made a huge mistake by dropping a class that fast…it’s something I will NEVER do again after I finally resolve this issue…</p>
<p>It’s more just that I really want to move on to another 4yr school and I’ve always heard all these horror stories about it being hard to go back to school once you take a long-ish break from it…I more just want a faster way to pay off what I owe to NJIT, that’s all…Obviously if I actually paid $100/month it would take forever to pay off $10,000, so I need a better plan or some way to be able to make larger payments without being completely poor :/</p>
<p>Charlize, it doesn’t matter whether the debt is to NJIT or to a bank…it’s still debt. If NJIT is offering you more favorable terms and they aren’t holding your transcripts over this you would be better off sticking with the plan and putting any extra cash (FA/tax refunds) toward the balance. What are the terms of the promissory note?</p>
Is it at least worth a try finding a private loan that fits me and at least trying to apply and see what happens???</p>