Freaking out about college debt

Paying for College
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<p>I'm a junior in hs right now and I'm looking at mostly ALL out of state colleges. Going to the colleges in my state do NOT appeal to me at all, even though they're a lot more cheap. As for my grades and such, I get all A's, 3.8 GPA, lots of extracurriculars and volunteer work, and a little above average SAT/ACT scores.</p>

<p>Anyway, I'm starting to freak out about not being able to pay for college. My parents get paid decent but haven't set aside money for my college education. They said they will be able to help me out a little bit, but I'm going to have to pay for the majority of it. I'm starting to get scared that I'm going to be in load of debt after college.</p>

<p>What can I do now to prepare myself for more scholarships, etc.? Are there any I can apply for now? I have a part-time job and I'm starting to put some aside (like it will help much in comparison to the total debt).</p>

<p>What would you do in my situation? Does it sound like I'll get good scholarships? Are there any I can apply for now as a junior? All of my dream colleges are out-of-state! I don't want to resort to an in-state college that I'm not interested in just because it's cheap.</p>

<p>aghhhh so stressful!</p>

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<p>You should try this question on the Parent forum, they are very helpful most of the time</p>

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<p>You are smart to be "freaking out" about debt. That means you realize the consequences of it. Have you considered maybe a year or two at your in state college then transferring? The plans for everyone are changing this year with the economy. When I would have suggested working 2 jobs this summer to save extra money, it may not be an option this year with so many people out of work. You can't count on a lot of things right now. We had a plan last year too and then it all fell apart with a job loss, family illness, decreased aid, college fund loss etc. The point is if you are really stretching it now come up with plan B for your worse case scenario. That might be your in state for a year or too. Good luck.</p>

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<p>The two biggest sources of FA are federal/state grants or loans and merit scholarships offered by coleges. Merit scholarships are largely based on gpa, class rank, and SAT/ACT scores. It's worth studying and retaking those tests if you can push those scores higher! You can also use one of the online FAFSA calculators (College Board has one) to estimate what you EFC might be. See what your state offers in terms of grants, loans, and scholarships as well. </p>

<p>Look at colleges that offer alot of merit aid or where you'd be in the upper percentile for scores/gpa. Or schools that meet 100% need. There are threads stickied at the top of this forum to help.</p>

<p>As far as scholarships go, I think Discover has a scholarship for juniors only - not sure about deadlines. There are lots of essay type scholarships that are open to juniors as well. If you're a science kid who likes doing bigger projects, check out the YES scholarship. You can look at the qualifications for the American Legion, Best Buy, Walmart, KFC, etc. and start getting an idea of which ones you might be a good candidate for next year - even start making a list of when they're available/due so you know when to check back! There are usually more local scholarships given through your high school, ie. Dollars for Scholars, etc.</p>

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<p>You are going to have some tough decisions. First off, you must apply to some schools that are financial safeties. By that I mean your in state schools, whether you want to or not.
Many of the national scholarships are so competitive that your chances of getting one are slim. If your parents make decent money, say middle or upper middle class, you are in a hard spot for Financial Aid. You may not qualify for subsidized loans even if you wanted to incur that kind of debt.
Will your undergraduate degree be your terminal (last) degree or do your plans include grad school? What do you think you might do when you get out of school? Will it pay enough to pay off any loans. (that is assuming you are able to find a job after graduation and the market improves in the next five years).
You may, as sk8rmom suggested, find some schools where you would be at the top range and get some merit money. BUT both of my kids are getting some merit money and while it helps it generally doesn't cover everything or even close to it.
For instance, with their merit money each cost of attendance comes down to approximately 25K per year. Without savings or qualifying for need based aid, if we had to borrow that money, each student would have debt of 100K with just an undergrad degree. Not a smart move.</p>

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<p>In looking at your other threads, I notice you're considering colleges in big cities like NY and Boston. Both are extremely expensive cities, and consequently, colleges tend to cost a lot in those places.</p>

<p>Before figuring out where to apply, find out whether you're likely to get financial aid. A good place to learn that is by spending $15 to fully access until Aug. the U.S. News college site.</p>

<p>For instance, BU and NYU -- colleges that you're considering -- are notoriously stingy when it comes to aid.</p>

<p>Your most likely to get merit aid from colleges where you are at the top of their pool, which means colleges that are likely to be safeties for you.</p>

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<p>If I were in your shoes I would apply to state college and some others.I would probably go to state.</p>

<p>Damon...make a list of pro's and con's for your state schools. Find out where their graduates get into grad school, what awards they win, research they do, jobs they get etc. You might be surprised how good they are and that you can accomplish your goals there.</p>

<p>In high school the big saying is "I don't want to go to grade 13" as a put down to your state college. This is a bunch of 16 yr olds who just parrot this statement with no knowledge. If 100 kids from your HS go to your state college thats a very small percent of the student body and you will have to attempt to see them if you want to. Don't be lead by others opinions. I am impressed you are mature enough to start thinking about the finances at your age.</p>

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<p>Northstarmom makes some good points. I didn't look through earlier threads. If you are considering BU lots of kids consider Northeastern, where my son attends. But even though they are less stingy with aid, with the top merit aid you are looking at a COA of about 25K per year. The majority of students will not qualify for that handful of merit scholarships which equal a free ride anywhere. The odds are not in your favor. Do not apply to only the out of states assuming you will be one of the few who find a free ride at a school in NY or Boston. You will be sorely disappointed next spring and writing a thread about how you can't afford your "dream" school.</p>

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<p>Check out schools that have reciprocity with Indiana for instate rates. I believe these include Ohio and Kentucky statu U's. It's not NY or Boston but should give you some other good options.</p>

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<p>Excellent suggestion from sk8rmom! I should have added that you also have to figure in travel costs, etc. when you are talking about NY or Boston. They add up quicker than you think and everything has to be purchased because you can't take along any cast offs from home.</p>

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<p>Indiana resident checking in here. Not to discount a wise suggestion, but to the very best of my knowledge Indiana does not have widespread reciprocity with any other state. Students in a few, very select counties in Ohio and KY may receive instate rates at a couple of select campuses in Indiana--mostlly auxilary campuses and community colleges. The same rules apply to Indiana residents--students from a few, border counties maybe be eligible for instate tuition at a few auxilary campuses in KY and OH. The biggest city college in the list is U of Louisville, but again, only if the OP lives in one of the 1/2 dozen counties. These agreements are several years old so I don't know if they are even still in effect.</p>

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<p>OP: Yeah it's a bad year this year, and will likely be a tough one next year until colleges figure out how to accomodate the economic tsunami.</p>

<p>Here's my recommendation: Check out schools like Providence College (RI), Fairfield (CT), Stonehill (MA), Fordham (NY), Carleton College(MN), plus any number of other very, very good schools that offer merit scholarships to highly ranked students. All of these schools have honors programs that reward you for great marks, great SATs and great class rank, without penalizing your parents for living frugally and for having advanced their careers to the point where they make (<em>gasp</em>) over $100K. You may likely find yourself with free tuition, or even somethng close to a full ride, at some of these schools. So, you don't go to a Boston College, or a BU, or a Tufts. But you end up with little or no personal debt upon graduation. That's worth something...</p>

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<p>be smart....if you do shell out money to go to a private school, it better be a top 20-30 school. Don't go to some small no-name private school thinking you will receive a better education...</p>

<p>I go to a public university (UNC)...and its better than pretty much every single private university in my state (except for...aah hate to say this..Duke).</p>

<p>so, do look in to state schools. Your undergrad doesn't really matter...if u dont go to a prestigious undergrad (ivies, public ivies, etc.)...then you will pretty much be the same as any other kid on the market. If you go to a small private college that no one has heard about...u are pretty much wasting time and money..and you really won't be more competitive in the job market.</p>

<p>yes it sucks to be in debt, fortunately I live in a state with decent public schools (and a great one: UNC!!! :D)...but yea most people don't have those resources in their state...</p>

<p>just be smart and think long term. If you are gonna take on 60-80k in debt by graduation, you are already starting yourself in a horrible situation. I mean, you will prolly make 40k tops (pre-tax) starting out of college (assuming u majored in something remotely useful)...so that leaves u with like 33k after tax, take out 10-15k living expenses, plus additional for car, insurance, food, medical, electricity, savings, etc. and you still have to pay back that debt.</p>

<p>Sorry to overwhelm you, obv. this is a "worst case scenario"...but thats why I am saying be smart about it. If your parents cant really help u out now, they prolly wont be able to help u AFTER u graduate....</p>

<p>BUT, do NOT LET cost be the reason you don't go to college. right now, without a college degree, you are pretty much worthless in the marketplace, and I am so sorry to say that, but the economy has expanded globally that there are people out there willing to work harder and smarter for cheaper...so w/o that degree you really are limited.</p>

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<p>I looked at my FAFSA and my efc is $13,000...is that considered high/low/average?</p>

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<p>It's probably close to average, if there is such a thing! It would be too high to qualify for a Pell grant, ACG, or subsidized loan. Don't know how Indiana's state college funding program(s) work but you may be out of luck there unless there's one for academic achievement.
Unfortunately, most colleges won't even meet your anticipated need. Start saving now and talk to your parents about their plans in a non confrontational way. And look for lower cost and/or high merit aid schools. There are plenty of schools that give merit awards over $10K/year for a 3.8 and above average SAT.</p>

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<p>if you are that concerned with schools... I would just go in state for undergrad, do really well then go out of state for grad school... Indiana University is a pretty good school is it not?</p>

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<p>But I don't think I'm gonna go to grad school...</p>

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<p>Check out the stickied thread for best schools that give most merit based aid.</p>

<p>We did that too late for my son (who is a senior now). If we had been earlier, I think he would have applied to U Del, Ohio State or Miami University. Another school I read about there is U Florida, but he didn't apply. They all give merit aid that could bring the cost equivalent to our in-state NJ schools. He did apply to UMD and got money there - he got $5,000 but they do offer up to a full ride.</p>

<p>He also got money from Northeastern (the top award there is $16,000, he got slightly less). Pittsburgh offers money to top 5% of class, with SAT of 1425 or higher, and he just missed that.</p>