@thumper1 I think you meant to say $300/month in post #8. Can we get a moderator to change it? @skieurope ? If you change it you can delete this post.
Good catch…yes…loan repayment on $27,000 in Direct Loans would be about $300 a MONTH…not year! Oops!
That’s still less than one month’s car payment for many cars.
Thank you all so much.
But you may still need a car.
I was offering the car payment comparison as food for thought. Most kids wouldn’t think twice about a car payment of that amount…but they just won’t take the federally funded Direct Loan of the same amount…when they need it!
I think the Direct Loan is the maximum a kid should take in the way of loans and it’s very important they know what the repayment will be. There are deferment options too if jobs and budget don’t pan out but, then that monthly amount will be larger and/or length of time paying it more.
It’s a tough load on kids who do not have help from home and do not get the higher paying jobs right out of college. My son’s roommate making a very good salary struggles with getting enough money saved to have flexibility and those loans are no small bite. His grew when he got a master’s and deferred them for several years. Thankfully, he just has the standard Student Direct loans.
My youngest would be hard put right now to pay $300 a month on his decent but not large salary. He does have a car payment which is much lower than that, but the price of having a new car, insurance, maintenance, etc is more than $300 a month. Having a student loan Payment of $300 a month on top of that , and his other basic needs would make things very very tight. In fact, living at home with us, and paying them down, saving some money would have been something to seriously consider had he had those loans.
Ironic to have kids who will refuse to take that option of loans when they could make a huge positive difference, and then, too many kids borrowing unnecessarily, or way too much, stepping out of just those Direct Losns.
From one year to the next the party with the more dire financial concerns may change: our oldest chose the more expensive school so we had her take out the guaranteed loans. It helped us get through the tight years with multiple kids in private HS and college. If it turns out we have more money later on (via later kids choosing cheaper options or whatever) then we may be able to come back later and help her out with those loans.
@“Classiest2002@me” : Your previous posts have indicated an interest in Public Health and PA school so you are looking at graduate school which will require additional money post Undergrad.
You want to keep your Undergrad costs at a minimum so Cuesta College for 2 years with a transfer to SLO for Public Health would be a great and affordable option. Also if you have the stats, a direct admit as a Freshman into SLO’s Public Health major and commuting is also another good option.
I understand your hesitation in taking on any amount of debt if graduate school is in the future.
Best of luck and you couldn’t ask for better school as a local in Cal Poly SLO.
I used to live in CA and truly envy that your community colleges are so cheap. For my kids CC is $7k a year in-state, and that’s just for tuition!
The truth is getting scholarships for room and board is very difficult, and for most schools even if you get merit aid that will be your biggest expense. With housing being so expensive in most cities living off-campus isn’t always a cheaper option. If I were you I’d take advantage of 2 years of CC and then transfer. Since Cal Poly SLO is local for you that would be a great option.
And as far as how other people do it…fact is many have parents who pay or they have tons of debt. Few people will talk about it.
There are a number of ways to pay for college, but it’s not always glamorous. The best idea is to look for a scholarship. If your SAT scores are high, you could check out University of AZ and University of Alabama for starters.
One of the biggest costs are room and board. This requires an expensive meal plan too if you choose to live in the dorms. It’s something that parents usually pay for because they have money. It’s very difficult to pay for that on your own working 20 hours a week at Subway. It’s possible if you work 3 jobs over the summer and live on your savings during the semesters while working part-time. Living at home is a solid option if you can do it.
Another way to save money is simply spend your first 2 years at community college and live at home. You’d be taking the exact same classes you’re taking at a university for a small fraction of the cost. Your credits transfer directly to a university and you finish with the same degree as the rest of your graduating class.
I commend you for being pro-active about your education and financial future. Not every senior student approach college prep the way you do. I heard CA has the best cc and public universities and from reading your post, you have applied to them. I hope you will get good FA without too many loans but with more grants and scholarships. There are outside scholarships that you can apply. Its just a matter of investing time and perseverance on your part. Good luck to you and best wishes on your college applications!
@kpopmomrunner you wrote:
A few thoughts.
- In the vast majority of cases, an outside scholarship will reduce need based aid awarded by the college itself.
- Most outside scholarships are for smaller amounts, and are for one year only.