International Financial Aid

Paying for College
1

<p>I hope someone here might be able to help me.</p>

<p>I'm live in the United States and was accepted into an Australian school for the semester starting January 2011. I'm now in the process of figuring out which financial institution to get a private loan but I have a few questions.</p>

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<li><p>I have never been eligible for any free government money because my mom "makes too much" and since I won't be 24 until next year I am not considered independent although it is on me to pay for my schooling. When it comes to grants and things I have never been available for much, but the problem I'm having now is my school doesn't come up on the website for a code or anything. I'm not sure how to proceed when it comes to that. I assume the government just doesn't provide funding if you attend said school. I've also been shopping around looking at different loan sites and found that most don't include international schools so it is hard to find rates and things of that nature.</p></li>
<li><p>What private loan companies do you recommend most and do you have any advice for the type of loan I should seek? I've tried researching on my own and honestly it's the biggest headache I've ever encountered. I don't know anyone who can help with a lot of the smaller details and I don't want to get screwed over because I'm too stupid to see what I'm getting myself into. I am honestly trying, but some of the smaller things that can "catch" you are confusing for me and it's impossible to know what places you can trust anymore.</p></li>
<li><p>Do you feel education is something that is okay to go into serious debt for? Instead of going to school I started working straight out of high school and was laid off of my job last year just like many others. I have applied to so many places (McDonalds, Wal-Mart, etc included) and have not had one interview. I am either under-qualified or overqualified. I know many others are in the same boat. My mom is a bit shaky on me taking on so much debt, but at this point I don't know what else I have to lose. It feels like until I have a real education I'll never be able to land myself a secure job. It's just hard to know whether or not I'm being a fool about what will make me happy. </p></li>
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<p>I appreciate anyone who might be able to help me and thank you for taking the time to read this.</p>

2

<p>Do you feel education is something that is okay to go into serious debt for?</p>

<p>No. Not when cheaper state schools are available. If you’re planning on borrowing lots of money to go to college abroad, then that is a BAD idea.</p>

<p>how much will you borrow each year? How much debt would you have by the time you graduate?</p>

<p>Why aren’t you going to school HERE?</p>

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<p>Going to school here isn’t possible. I can’t find a job to pay the bills I have at the moment and I don’t foresee anyone hiring me when I’m going to school full time and don’t have open availability when they won’t hire me when I do have open availability. I know it might sound crazy when you first look at it, but unfortunately when it’s laid all out on the table with everything added in my only option is going abroad. I don’t have the scores to get into a university and if I went to another state for CC they wouldn’t give me funds to be able to live. Don’t get me wrong because I’m actively trying to find a job - but do you see my predicament?</p>

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<p>Just stay in your current state of residence and attend a community college. The costs are modest and if there is not one near your home (so you could commute and REALLY save money), you could just rent a room in a home which would be a lot less costly than a dorm or apartment. You could work part time in the evenings, and you will be eligible for $5500 in Stafford loans by completing the FAFSA. </p>

<p>Someone else here will have to comment…but I’m not sure federal funds can be used to fund college costs in foreign countries (I sure hope that is the case…I can’t see why the U.S. government should pay students to enroll in colleges that are in other countries). The FAFSA is primarily used for the funding of federally funded need based aid. Your OP indicates that your mom “makes too much” to qualify for that anyway. All you would get would be the Stafford loans. </p>

<p>I personally think you need to look at other ways to deal with the college education finances. Just the travel costs to FLY to Australia (and there really isn’t a less expensive way to travel there) when added to the Stafford loan of $5500 would PAY for your year’s tuition at a community college.</p>

<p>The other option for you is to move to whichever state you think you want to attend college in…and work THERE…establish residency for the year. You will be 24 years old next year and will be independent for financial aid status. By establishing residency in the state you wish to attend college in, you will then get instate tuition costs…a huge savings.</p>

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<p>Are you saying that it’s cheaper for you to go to college internationally with big loans, then it would be for you to borrow money to go to school in the country where you CURRENTLY live?</p>

<p>That doesn’t make sense.</p>

<p>If you stay where you are at and take out a student loan for community college costs, and then transfer to a local state school…that should be cheaper than going out of the country.</p>

<p>You already have bills and you’re thinking of borrowing big bucks to go abroad???</p>

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<p>I’m saying I can’t find a job as is with open availability and I can’t not have a job while I’m going to school in order to pay for the car payment and other small miscellaneous things I have day to day. I’m not sure how either of you think I’ll be able to take out extra small loans for living expenses with a CC when I’ve contacted Sallie Mae and they don’t do that because the school would find it ridiculous. Trust me, I’ve asked because I’ve been stuck in this position for a while now. </p>

<p>I appreciate the both of you commenting to help very much but it is clearly just an attack. I thought I might be able to find a bit of help from people who have been through the process but I guess everyone has forgotten the state of the economy and how hard it is to find even a job at wal-mart unfortunately. Thumper, how can I move to another state when I can’t even find a job in my own because of the under/overqualified problem? It’s just one big mess that is unfortunately not black and white. Thank you for your time anyhow.</p>

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<p>And clearly an attack is the wrong way of wording things, I apologize. It just feels that way as it is not as black and white as I wish it was. Trust me, if I thought CC would work I’d be going that route.</p>

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<p>Wow. I can’t even begin to tell you what a bad idea this is (even though I share your desire to see Australia!). </p>

<p>It is very expensive to start up in another land. You’ll need at least $100 for a passport (photos, fees). You’ll need to get a student visa. When you get there you don’t even know the basics – you have to get you and your stuff to the campus. Taxi? Train? </p>

<p>I’ve had the good fortune to live overseas and there is just all sorts of things that jump in to add costs. Don’t assume that the campus has dorms or food service (check to see what the situation is). Don’t assume you can get a job (you may be forbidden to because you are a foreign student). </p>

<p>I think your mom is correct to be very concerned. She has years of experience with having costs crop up – and intuitively knows that will happen elsewhere – only she doesn’t know the details of how they do so in Australia. </p>

<p>At the very least, get a Lonely Planet guide to Australia (maybe through interlibrary loan). The Lonely Planet guides tend to be student/low cost oriented. The general info sections should cover at least some of the basics of local costs. </p>

<p>Also, ask the Admissions office at your potential school to put you in touch with another American currently on campus. That fellow student can, via email, open your eyes quite a lot. Australia has slums and rip off “educational” programs too – so make sure your program is solid. </p>

<p>You are right that life is complicated right now. You are hunting in the same spaces that everyone else is hunting (Walmart, McDonalds). Quit that. It’s not productive and it is depressing. </p>

<p>So, what to do? Make a list of your strengths (literally. Can you lift boxes of 50lbs? Are you good with dogs? Do you have a driver’s license? Do you like old folks? Can you sing?) </p>

<p>Next, spend some time rummaging through the yellow pages of your community. There’s always a lot going on beyond Walmart. Take a day and drive around or take the bus – make sure you go by any industrial parks in the area. (Don’t bother with residential areas. You want to go where work is being done). Think like a boss. There’s not listed jobs these days – but often a person running a business will make room on the payroll when someone presents themselves HAVING something the boss needs. </p>

<p>Such as:
Hi, I’m Harold. I’m stopping by because I see you run a tool rental company. I took two years of shop in high school, I’ve got a driver’s license and I am strong enough to load lawnmowers and power washers for your customers. May I fill out a job application for you? </p>

<p>Hi. I’m Linda. I’m stopping by The Pines Retirement Center because I have helped care for my grandfather for many years and I know I could be a respectful and cheerful assistant for elder care. I have first aid training and I love to sing. I know how to help a person transfer from wheel chair to bed and I am, by nature, a calm person. </p>

<p>In each case, the person has introduced themselves and, in two quick sentences, bingoed on EXACTLY what a boss at that establishment needs. </p>

<p>There are certain businesses that get a ton of qualified applicants – if you run a skateboard shop, then every skateboarder in the state would think it is cool to work for you. So forget the popular stuff. Look for the work that the cool guys will shun (like loading pressure washers in the back of minivans). </p>

<p>Also, the US Government is in the process of spending billions of federal stimulus money. They are only now in the first third of the spending. Most of the spending will be in construction – not “home” construction, but roads and bridges. Now would be a great time to train as a flagger ($15 a hour in my area) and to apply to road construction companies or county departments. </p>

<p>I sincerely wish you the best of luck. Please research Australia carefully. I hope you do get there – but would rather you were launching with a load of cash in your pocket first.</p>

9

<p>Hi Olymom.</p>

<p>Thank you for your lengthy reply! A lot of your concerns have already been looked into by myself (I already have a passport and I know how much the visa is, etc) and I am allowed to work 20 hours per week during school and full time during holiday breaks. Thankfully there is a free service that works with the school who helps find housing (something right across the street from the school) and free air port pick up and help finding a job. So I have severely looked into all of those things and talked with a few Australian students about how easy it is to find a part time job and things of that nature. Don’t get me wrong, I know every country has it’s problems and we are in the midst of a financial crisis worldwide. This is definitely not something I am jumping into lightly!</p>

<p>As for work, I actually used to work at a staffing agency for three years (which is apparently STILL not enough experience for a measly secretary job) and literally apply everywhere I might qualify. I’ve gone into places to hand out my resume (which also used to be part of my job, writing them) and when I call to follow up my calls are not returned or I was told (literally) “You calling has disqualified you” etc. I wish I was kidding. It’s definitely not how it used to be when it comes to HR. Through unemployment I even went through a program! Out of 25 of us 20 were paid for by the state… the program cost 2600$ (plus other expenses I paid on my own) and NONE of my classmates have found jobs - not a one. They want “experience” which we clearly don’t have after our program. Then the unemployment office tried to send me through another vocational program (they can only take like 16 weeks max or something) and I said no way because without experience you get nowhere. Do you see where I’m coming from? I really have tried everything and I have been such a burden on my family because literally nowhere will hire me… Even my boss who was laid off with me just managed to get a part time retail job where she makes far less than what she was making on unemployment. It’s just sad! I definitely got off track, but hopefully what the government does to improve things works and creates jobs.</p>

<p>I sincerely appreciate your kind reply and I hope me explaining things further sort of shows my “case” a bit more. I completely understand the sort of debt I’ll be getting myself into but unfortunately there isn’t always an easier option. It’ll be a lot of living off of macaroni and cheese and cutting back on the things I may want, but I can’t be pushing my mid-twenties and not have anything to support myself. If I had a job at all I would be going to community college, but I try each day and unfortunately the outlook still is grimm.</p>

<p>I wish I was going with a load of cash in my pocket too, trust me! I hope it works out for me too. Thank you again.</p>

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<p>I still encourage you to track down a Lonely Planet guide to Australia. Even if it is several years old, it will help you sort some things out. </p>

<p>It does sound like you are further developed in your thinking and experience than I thought. I am sorry that life has been so frustrating. </p>

<p>Australia may be the answer. I will tell you that Culture Shock is real (even if moving to another English speaking country). It is typical to be hyper bubbly at first (I love it! Every thing is marvelous!) and this can be followed by a sense of disorientation (about six weeks in), followed by a few months of roller coaster, followed by a bout of homesickness and grouchiness (about six months to nine months in – or when you miss a major family event like a sibling getting married). Finally, at about 12 months there is a sense of balance attained. </p>

<p>This kind of cycle affects Peace Corps volunteers, missionaries, diplomats and others. It just takes a bit to acclimatize. Then there is Reverse Culture Shock – when you try to come “home” only to find that you and “home” have both changed. </p>

<p>I highly recommend the movie “Outsourced” – it’s very funny and it is a good look at what it is like to set up shop in a new country. </p>

<p>If you are female, you might want to do a bit of research about Australian attitudes toward women. At one time what would have been considered “sexual harrassment” here might not have registered at all with some Aussies. I know, I know, it is a country of many million and every country has some jerks – just be aware American norms may not be Australian norms.
Good luck!</p>

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<p>Just don’t close your mind to ALL options…just in case.</p>

<p>One thing to check…to gain a Visa to study in the U.S., students MUST sign an affidavit that states they have the funding for the full year…or else a Visa will not be issued. When my kiddo did a study abroad for a semester, we had to sign an affidavit stating his finances were fully covered or he would not have been allowed to study in that country (the UK).</p>

<p>Do you need to sign such a statement to study as an expatriate in Australia? Check and make sure.</p>

<p>Also…we have relatives who live in Australia. The cost of living there is very high. You need to consider this as well.</p>

<p>If this all is the best financial option for you, fine, but please go into it all with your eyes wide open. You may be allowed to work a certain number of hours while in Australia, but some folks are very reluctant to hire expatriates when they have their own citizenry who needs jobs.</p>

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<p>If you can’t afford to live in Australia, you will NOT be granted a visa. They WILL ask for disclosure of income including tax returns, and no you may NOT work more than 40 hours a week on a Student Visa issued by the Federal Government (I believe in this they are even stricter than US authorities).</p>

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<p>Bedouin, it’s 20 hours a week while in school and 40 hours when school is on break - I’ve looked into this on the immigration website and my contact handling my paperwork in Sydney confirmed it. And I know if you can’t afford to live there you will not be granted a visa. I know you’re trying to help, but as I told Olymom, I’ve done my research. I came in here asking for help about loans, not for what it’s like to live there. If I didn’t think it was possible I wouldn’t have even tried to begin with. I hope that doesn’t sound rude, but I just want to make it clear I don’t just have stars in my eyes and have thoroughly researched things. What I have needed help with all along were loans and help with financial aid as it is a bit confusing doing it all on my own. Thank you for your advice anyhow!</p>

<p>Thumper, you do need to provide you’ll be able to afford to live! I understand that and had expected that they would do such. The school even asks when you apply how you intend on paying for things - so I’ve thought of all of that. I also know the cost of living is high and that while people are a little reluctant, the (free) agency that works with the school helps foreign students find work and things of that nature. I know nothing is guaranteed. I do know that, I don’t have rose colored glasses on concerning that - I promise.</p>

<p>Thank you for all of your help, Olymom! I realize it’s going to be a culture shock and that everything won’t be sunshine and kittens. Haha, I don’t know we can go anywhere that is that nice all of the time! There is no need to be sorry for life, I’m certainly not the only one to be affected. I couldn’t imagine having children to take care of in addition to the situation I’m in. I don’t know what people in the same boat do if they have others to provide for. It is going to be very costly and will take a long time for me to pay back with a lot of struggle, but I also truly value an education and there are sort of slim options left. Hopefully everything works out! But thank you.</p>

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<p>Thumper, there are many foreign schools that participate in the federal programs for the benefit of their US students. OP, I see several Australian schools listed on the quick search, if yours isn’t one of them you should email their admissions/financial aid office to confirm that they don’t, just to make sure that it’s not a recent addition. </p>

<p>[Federal</a> School Code Search Introduction - Federal School Code Search - Federal Student Aid](<a href=“http://www.fafsa.ed.gov/FOTWWebApp/FSLookupServlet]Federal”>http://www.fafsa.ed.gov/FOTWWebApp/FSLookupServlet)</p>

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<p>This sounds like bad information to me. Every US school uses their own estimated Cost of Attendance to calculate maximum loan eligibility. COA is usually based on one of three housing choices - on campus, off-campus, and living with parents. It generally includes tuition, fees, room/board (living with parents often lists only a reduced amount for board), books/supplies, personal expenses, and transportation. Schools will certify loans (Stafford, Parent Plus, or private) up to the full COA, less any other student aid, and are required to provide their estimated COA amounts to students. In many cases, it’s listed on their website.</p>

<p>For example, a few weeks ago I helped a young man who is starting at our local CC apply for FA. He is living at home and his tuition is only $1800/semester. But his estimated COA, provided by the school, was slightly over $10K for the year. He did qualify for grants which exceeded his actual, billable costs and could have borrowed the the remaining amount up to the $10K through Stafford loans. Similarly, my D took 2 online classes from her university while she was home for the summer. Tuition, fees, and books only amounted to $1600, but she could have borrowed up to $5300 which was the estimated COA for a part-time student living at home for one semester.</p>

<p>I know you’re very committed to your current plan and it sounds like you’ve done quite a bit of research…just didn’t want you to be making decisions based on faulty info given by Sallie Mae! I’m sure Australia would be a great adventure, but have to wonder why you don’t just consider other US schools in areas that are not experiencing the high unemployment that your city is? Or is the foreign school significantly less expensive, even with travel? Are you planning to return to the US when you graduate? My concern would be that, depending on the field, US employers may be reluctant to hire someone with a foreign degree from a school they’ve never heard of! That may not happen, but it’s something to think about.</p>

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<p>How much debt are you talking about and what is your intended major? There are many recent college grads who can’t find jobs in their fields right now and they’re competing with experienced professionals. So, you might find yourself going from the frying pan to the fire if you take on a boatload of debt and then can’t find a job by the time payments start. </p>

<p>If you were my kid, my advice would be to start at a CC where you have access to federal loans and aid programs and could keep your debt to a minimum while you do your gen-ed classes (there may be an online option which would keep your availability for other jobs open). Keep your grades high and, if the CC has a PTK chapter, join as soon as you’re eligible so you’ll have more scholarship options when you transfer to a 4 year school.</p>

<p>It sounds like you’ll file FAFSA next year as an independent student and you should qualify for some additional aid then. Check to see what your state offers too. Meanwhile, most colleges have on-campus jobs for students even if they’re not through work study. They’ll probably be low-paying but enough to pay some of your expenses. </p>

<p>Sorry I couldn’t answer your loan questions more directly but have no first hand experience with private loans…good luck!</p>