<p>I need some advice from people who are experienced in loans and colleges. I am currently a high school junior, and am facing a dilemma. Based upon my high school performance, while I am a 3.4 unweighed GPA (4.8 Weighted on the 5.3 Scale) and have roughly a 2100 on my SAT's and a 30 on my ACT's, my parents are refusing to pay for anything more than Rutgers, the state university here in NJ. Quite frankly, with the amount of torment that I have subjected them to these past 3 years, I probably deserve no more. Anyways, I am the captain of our Speech and Debate team, I am on my way to becoming an EMT, and I am currently an unpaid Congressional Intern. I also have at least a commendation from the National Merit Competition. Nevertheless, I really want to try for a top school. Even here, they are refusing to pay my application fees for anything other than Rutgers. The application fees for the schools that I wanted to apply to can be taken care of by me, however, with a job over this summer. So, here is the dilemma. If I want to go to one of these schools, I need to be able to pay for it myself through loans and such. Since we are in the upper middle class, I have no way of showing that I am dependent on any federal aid. Furthermore, my expected family contribution would be very high; probably 70-75% of the total amount. With me personally having assets of roughly 4800 USD, these numbers are mind boggling. I am not concerned about destroying my credit rating with a plethora of loans, if that is what it takes to pay for some of these schools. On that note, I would appreciate advice, comments, and suggestions. Anything to help me out here would be greatly appreciated from my side. If anybody has any ideas for how I can get roughly 200,000 USD to pay for something like an NYU education, (through loans), please let me know who the providers are and how much I would be killing myself to take it on. Maybe I am being naive here, but repaying 200,000 plus 25,000 in interest, for a total of 225,000 seems like something daunting, but doable. Thank you.</p>
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<blockquote> <p>Maybe I am being naive here, but repaying 200,000 plus 25,000 in interest, for a total of 225,000 seems like something daunting, but doable.>></p> </blockquote>
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<p>It is daunting all right. I would not suggest this. Regardless of your salary when you graduate, you will be facing HUGE loan payments per month for many years. HUGE. You should sit down with your parents and discuss colleges. You may find that with merit aid, you might find a school where THEIR costs would be no more than the cost of Rutgers. However, this means you must apply to schools that give merit aid. If you apply to schools that give only need based aid, and you don't qualify for this, you won't be able to afford the costs.</p>
<p>Re: loans...you will need a co-signer for loans. It is highly unlikely that you will be able to secure loans the range you are considering yourself. Will your parents co-sign a loan for you if they are not willing to pay more?</p>
<p>The other thing is maybe it's time to 'mend some fences'. You mention that you have subjected them to a lot of torment. Maybe now is the time to turn over a new leaf...</p>
<p>I would suggest trying for merits. </p>
<p>And then, of course, Rutgers is a very good school. You already know that, though. (And I see where you're coming from... I really, really do not want to go in-state).</p>
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[quote]
Maybe I am being naive here, but repaying 200,000 plus 25,000 in interest, for a total of 225,000 seems like something daunting, but doable.
[/quote]
Yes you are being very naive. It is a ridiculous amount of debt to take on. What makes you think you will only pay $25,000 in interest? It will end up being a lot more then that. </p>
<p>For starters if you can find anyone to loan you that amount of money you probably will not be able to pay the interest as you go along so will have to capitalize it (defer the interest which adds it to the outstanding loan and you pay interest on the interest). At an interest rate of 8% the debt will have grown to $243,000 by the time you graduate.</p>
<p>If you go to FinAid</a> | Calculators | Loan Calculator
there is a loan calculator that allows you to enter the loan amount, interest rate and term of loan. It will give you the monthly payments and the recommended annual salary required to be able to afford the payment. </p>
<p>For your debt of $243,000 with an 8% interest rate you are looking at:</p>
<p>Monthly payments of @ $2950 ** for **10 years with a recommended salary of $354,000. You would end up paying $110,000 interest in addition to the $43,000 interest already incurred while in college. So total interest of $153,000 - not $25,000 (where did you come up with $25,000?)</p>
<p>Or if you pay it over 20 years</p>
<p>Monthly payments of @ $2033 ** for **20 years with a recommended salary of $244,000. You would end up paying $245,000 interest in addition to the $43,000 interest already incurred while in college. So total interest of $288,000</p>
<p>do you think you will earn $245,00 to $354,000 a year straight out of college?</p>
<p>That is a horrendous amount of debt that will interfere with every aspect of your life for years after you graduate. If your parents are willing to pay for you to go to Rutgers thank your lucky stars for the opportunity and go there.</p>
<p>Wow - make your peace with Rutgers if you have to. Or, find a nice private that gives lots of merit award and work on your scores. That much debt will be an anchor around your neck for years and will impact your life forever. Do you have any thoughts of going to grad school? If so, bargain with your parents. See if they will help or pay for grad school if you wow everyone in undergrad.</p>
<p>Since you're in EMT training, have you considered nursing as a major? Because of a nursing shortage, there are often very good tuition incentives.</p>
<p>Okay. First of all, thanks for the bashing I received from some of you guys, especially swimcats. No sarcasm here, I really mean it. Time to come out and see reality. The other thing I forgot to mention is that I am looking to do something in Business/Finance. That sort of changes the starting salary range that I am looking at. (Negatively). Finally, my father did tell me that he would be willing to pay for a good school from a grad perspective for my MBA contingent upon my undergraduate performance. But here's my thinking. Is there any chance for a Rutgers graduate to get into Harvard Business School or Wharton, when the applicant pool is full of Harvards, Princetons, Yales, Stanfords, Penns, etc? Granted, it will be easier to get a good GPA here at Rutgers, but do I still have that great of a shot? My understanding was no. Please do correct me if I am wrong. And to correct something I said earlier, by saying that my father was willing to pay for Rutgers, I must have neglected to say that Rutgers will cost a nice fat egg. Aka, 0. So, I can't really look at other colleges with similar costs, unless it is TCNJ or NJIT, which are both also free for me. </p>
<p>Thumper, yeah, I guess it is time to fix things up. Thanks.</p>
<p>Savs, one question. How well known is Rutgers outside of NJ? I mean, I know its no Tier 1 or probably Tier 2, but do people even talk about it? Thanks.</p>
<p>Swimcats, thanks. </p>
<p>Cartera, I discussed the grad thing above. My only concerns with privates were that I won't be on a great standing for Business School unless I come from one of those major universities, like NYU. Thanks.</p>
<p>And as for Muffy, I do rescue because I find it fun and rewarding, not much so because I want to pursue it as a major. Thanks, though.</p>
<p>Overall, thanks to all you guys, and I welcome any more suggestions, comments, ideas, or replies from anyone.</p>
<p>It is so refreshing to have a student actually listen and take into consideration what is posted. you seemed to be actually open minded and understanding of what it at stake. I think you will find that that will actually take you quite far in the future.</p>
<p>I'm an ex- Jersey girl who did not go to Rutgers, but please give it a chance! There are a lot of financial executives in NYC who did go to Rutgers. And top business schools definitely take Rutgers grads and turn down Harvard grads; your test scores [I took something called a GMAT when I applied to business school?] and what you've done in work/internship experience count a lot. Check out the Rutgers career office; talk to some Rutgers seniors.</p>
<p>I'll add my kudos to the OP for listening and taking to heart the input of these knowledgeable posters. While I am not familiar with business schools, I still believe that it what you do at your school is much more important than what school you go to. I'd suggest you post your question about preparation for a MBA on the Bussiness school forum. This thread may also be informative:</p>
<p>We are from New York (upstate). My daughter's HS chem teacher graduated from Rutgers. She originally worked as a chemist in industry and then decided to teach. She is pretty sharp so from her my impression of the school is good. Don't know much about the business school.</p>
<p>I'm in NH and it's a consideration when people with near college-age kids start their searches. If it's free, then that's pretty hard to turn up. A few of us had a conversation about this yesterday at the office.</p>
<p>One of my sons math professors (a few years ago) told me that his son wanted to go to UConn for $40K x 4. He's a professor at UMass so his son would get a free ride. So that's a $160K difference. He has three kids to put through. There are a lot of kids that would expect their parents to foot the bill and this guy did even though he doesn't have a huge income.</p>
<p>Parents want to provide things for their kids but if things have been rocky, they might want to see some evidence that the money won't be wasted if spent and you have to earn their trust. Perhaps you could go to Rutgers, be a model student for the first year; and then ask them the following spring to consider a transfer.</p>
<p>I'm so glad you are listening!! What I have told many, many others on this list is that the kind of debt you are talking about is longterm indentured servitude. You will be a slave to that debt! Can you imagine having to come up with $2000+ a month for 20 years. What if you want to start your own business? No way. What about your wife? Sorry, honey, you just can't take any time off with that baby. I need you to work another job, too. You see I wanted to go to a tier one school. I wouldn't want my daughter to marry that kind of debt! What about when you get a real jerk of a boss? You'd better shut up and take it, you aren't paying $2000+ a month on unemployment.</p>
<p>You don't have to graduate from a top 10 business school to be successful. The two most successful (millionaires) businessmen I know graduated with B.S.'s only from East Carolina and from Wake Forest when it was a completely unknown Bible college.</p>
<p>And you don't have to graduate from a tier one or tier two school to get into a great grad business school, either. Just like getting into college, there are kids who go to lesser ranked schools who stand out because of their ability or character and duds who went to great schools.</p>
<p>You've gotten some fantastic advice -- and you sound like you are listening -- great!! You have seriously got to make up with your parents and show them you are a responsible person. Then look carefully at your options. Rutgers may be the best bet - it's not like it is Podunk Tech Community Junior College <lol> - get a grip :-) Or you may be able to get merit aid at a school that's more appealing to you. </lol></p>
<p>But, whatever you do, don't let anyone tell you that $200k is not a fortune!</p>
<p>If you make really nice with your parents, maybe you can talk them into putting some of the money they are saving by your going to Rutgers into an interest bearing account for you to have after you're done with school. Let's say $10k - $15k a year for 4 years...</p>
<p>I think Rutgers is a very good school but, honestly, you need to apply to several schools anyway. Start by mending fences with your parents. They may be willing to take the $ they would have spent at Rutgers and spend it elsewhere.</p>
<p>I would aim at schools where you would get merit but realize that may mean a <em>lower</em> tier school than Rutgers. One thing you could do is look at schools in the MidWest or the West coast where you would be a bit of a diversity admit. Also, see if there are schools that have too many girls and are looking for boys. Those schools are more likely to want you and to package your $ better. </p>
<p>It may also be possible to attend NYU parttime-- especially if you live close enough to commute. Or, if they were willing to pay for you to live at Rutgers, see if you could live at home and commute to NYU. </p>
<p>Apply for outside scholarships. </p>
<p>Last idea-- If your parents qualify for little or no aid, you may be able to get a fairly good-paying job at a private ambulance company to help pay your expenses.</p>
<p>Yeah. Good advice from all the people above.</p>
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Is there any chance for a Rutgers graduate to get into Harvard Business School or Wharton, when the applicant pool is full of Harvards, Princetons, Yales, Stanfords, Penns, etc?
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<p>Yes. And because MBA programs generally want you to work for a few years before entering, the odds go up - once you get a job, and prove yourself, you can advance in that job regardless of the school you graduated from. That's what the business schools will look at.</p>
<p>If you're looking to work in NY, you don't have to worry - Rutgers is well-known there.</p>