Is a Swarthmore Education Worth Taking on Student Loans?

Colleges and Universities A-Z Swarthmore College
1

<p>Hi all, I'm a high school senior hoping to major in Economics that was recently accepted into Swarthmore's Class of 2017. I attended DiscoSwat this year in the fall, and just came back from RTT two days ago.</p>

<p>My question is exactly how I laid it out in the title. When I received my financial aid package two weeks ago in the mail, I was somewhat disappointed and confused to find that Swarthmore had offered me $25,000 in grants a year (which is an astounding number), and expected my family to contribute the estimated $35,000 difference to pay to attend Swarthmore in the fall. In practicality, my family can only afford to pay about $20,000 of the $35,000, and if we chose Swarthmore over our alternative (University of Kansas), we would most likely have to take out $15,000 in loans a year, racking up $60,000 in student loans by the time I graduate.</p>

<p>I'm in the process of reapplying for financial reconsideration in an effort to see if there was an error in the financial aid decision, but there's very little time left before the May 1 deadline, and I'd like to hear more opinions on our dilemma.</p>

<p>For comparison, the University of Kansas has admitted me into their Honors College, offered me less in scholarships (albeit the cost of 4 years of KU tuition would barely scratch the cost of one year at Swarthmore), and has already directed me to their Associate Dean of Admissions and Scholarships, who is a Professor Slughorn type-of-guy, if you know the reference. This Associate Dean has already aided my sister (college junior) and her boyfriend in recently applying, and winning, Goldwater Scholarships, and was ecstatic to hear from my sister that I might be attending in the fall.</p>

<p>tl;dr: (title)? I have a solid, cheaper, alternative in the University of Kansas. Does the name value, professional value, and academic value of a Swarthmore degree prospectively outweigh the burden of $60,000 in loans upon graduation?</p>

2

<p>$60,000 is a large amount of loans to carry as a new college graduate, but I have 2 thoughts:</p>

<p>1) The carrying capacity for college student loan debt depends on your salary and employability after graduation. This is probably quite different depending on whether you major in Philosophy or Engineering. That amount of debt might be OK for an engineer, but probably not for a Starbucks barista (not that necessarily all Swarthmore Philosphy grads are baristas).</p>

<p>2) If your family can contribute $20,000 per year, the amount of loans you’ll need to take out may be significantly less than $15,000 per year, depending on how much you can earn during the school year and during the summer. I would think that it should be possible to earn about $5,000 per year with a combination of student employment during the school year plus summer jobs (some of which might be funded by Swat). $40,000 in debt is still a large number, but significantly smaller than $60,000.</p>

<p>Good luck with your financial aid reconsideration and your decision. Swarthmore is a great place and can provide a quality and style of education that is hard to duplicate elsewhere. But if you got in to Swat you would probably do very well almost anywhere you go.</p>

3

<p>I would have a very frank conversation with the admissions/financial aid office at Swarthmore. They pride themselves on meeting 100% of student need. It would be important for them to know that you are not choosing the school due to money, not out of lack of interest. The school states very clearly that they want Swarthmore to be affordable for EVERY student. Perhaps they would reexamine their financial aid calculations or come up with some other financial options (e.g. work-study) that could make a difference for you. Good luck!</p>

4

<p>Not worth it. Don’t want more than 20k in debt.</p>

5

<p>I’ll bump this thread again; hopefully I can get more opinions.</p>

<p>@dadx3: I’m planning to major in Economics, and if I light a fire under my ass while I’m at Swarthmore, I feel like I’d have a great shot at grad school, especially UPenn, given that I’d already be out 40-60k. Even if I chose to join the workforce instead, I’m not sure of the possibility of 60-70k salary starting salaries for an undergraduate Econ major, and I feel like I’d really just playing with chance at that point. As for working part-time jobs, I agree that it would make a significant difference in the amount I would have to pay back on my loans, but if I choose to go to college, I would much rather choose to be a full-time student than to have to juggle time between work and study. I’m biased though, since both my parents worked through highschool and college and they’ve advised against that option.</p>

<p>@Steve26: When I visited last Thursday, I made a beeline for the Financial Aid office to talk with one of the advisors, and while they do offer financial reconsideration, their award really only changes if their data changes as well. In terms of negotiating a deal with them, they were emphatic that they award their grants based on a student’s demonstrated need, their hands were tied in the matter otherwise. The award I used in my first post (25k) factored in the estimated $1,500 from their on-campus job, but aside from their regional scholarship, the McCabe Scholarship (which are automatically applied for on admission), and Stafford loans (27k over four years), there aren’t too many options.</p>

6

<p>This one is tough. It really depends on what you plan to get out of your education and how much you plan to invest of yourself. If you truly, truly love learning, then the education you would get from U of Kansas (even their Honor’s college) won’t hold a candle to that you would get from Swat. </p>

<p>But $60,000 worth of debt is really a frightening thought. My husband and I graduated from Wharton MBA with a combined loan debt equal to what you are looking at. We moved to Chicago. When we bought our first house we had student loan payments that were higher than our mortgage payments. However, we had other friends who ended up with jobs where they were working as internal auditors and lived off the travel allowance they received and banked their salary and were able to quickly pay off their loans (and they didn’t have two salaries).</p>

<p>I am sure that the U of Kansas honor college will provide a lot of great opportunities, but it isn’t Swat. But only you know how much long term financial pressure you are willing to go through.</p>

7

<p>Is $60,000 a lot of debt? Well, that depends on your specific situation. Some people will borrow that much to buy a car, and many, many people will borrow much more than that to buy a house. You need to discuss it carefully with your parents, and perhaps with a financial advisor. Personally, I think the Swat education is worth paying more, but how much more is really a financial issue.</p>

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<p>I’m not that familiar with University of Kansas and its Honors Program. I do think that Swarthmore offers a very special environment, but I’m not sure it is worth $60,000 in debt over four years - that is a personal decision. At the Junior Visiting Day/Weekend last year one of Swarthmore’s speakers made a comment that has stuck with me through my son’s college application/selection process. “College admission will not be the most decision you make in your life. Put it in perspective. It may not even be in the top five or ten most important decisions of your life.” If you have a mentor at University of Kansas and have the drive to excel in that institution it might be the best fit. If you are planning to go on to graduate school, then it will be even more important to conserve your finances. Your future will largely depend on what YOU choose to do at the school you select, wherever you go.</p>

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<p>I would ask my parents if the 20k per year is what they actually can afford or is it what they WANT to afford. I say this because it seems there’s a large discrepancy between what Swarthmore is saying and what they are saying. </p>

<p>Do THEY think it’s worth it? Or is going to UK like your sister what they think is right for you? I can pretty much guarantee your horizons will be broadened in way at Swarthmore that will not happen in a home state school. I’m sure Kansans are great, but don’t you really want to meet other students from around the country and the world? How much broadening is going to happen by staying so close to home and the attitudes you probably have encountered your entire life?</p>

<p>It seems to me that 60k over a lifetime is very little for what you will be gaining.</p>

10

<p>I’m not so sure that you will need only $15,000 per year in loans if you choose Swarthmore. You say your sister is a college junior; Swarthmore definitely takes into account siblings’ undergraduate college costs when determining an applicant’s need and his or her aid package. Once your sister graduates, it is very possible that Swat will decide you have less need and will decrease your aid accordingly, unless you have a younger sib who will be going to college when she graduates.</p>

11

<p>[Amherst</a>, Yale or Elsewhere? - NYTimes.com](<a href=“Amherst, Yale or Elsewhere? - The New York Times”>Amherst, Yale or Elsewhere? - The New York Times) This guy is making a similar choice, although he doesn’t bring up finances in the article.</p>

12

<p>Skylandsmom brings up an important point - the EFC depends importantly on the number of kids in college. If that will change during your 4 years at Swarthmore, your financial aid award will change, too. So you should look at the family finances not just for your first year but for all 4 years.</p>

13

<p>Email FA office and ask what happens to your FA package after sibling graduates. You will get an honest answer. In our experience, after receiving a similar grant amount, we heard that upon sibling’s college graduation, student/family would be expected to pay full freight. Don’t expect otherwise. If you/your family can’t bear that, then move on. A few kids move off campus to save on room and board, and some hold dorm advisory positions for a break on the room costs. Some kids use AP credits to graduate earlier than 4 years which can save a lot, though this can involve trade offs. Swat does seem pretty good about subsidizing some of the Stafford loan regardless of family income.</p>

14

<p>From mother of Swarthmore alum with debt: No, it is not worth it. Go to the state school, stay out of debt. His friends who went to state schools are just as happy and productive. Good luck!</p>

<p>ps What have you decided?</p>

15

<p>UPDATE:
I will be attending the University of Kansas this fall, and I’m happy about it.</p>

<p>I wanted to make this happen, but it wouldn’t have been a smart decision. I’ve been aiming for Swarthmore since I heard about it my freshman year, and I got in; I made it happen. But taking on 60k in debt STRAIGHT OUT OF UNDERGRAD would kill my options after graduation, reducing them down to:</p>

<p>1.) Take on (immensely) more debt for postgrad, and even if my postgrad was subsidized, I’d still have to watch my loans, since my college fund would be $0 at that point.
-or-
2.) Get a job straight out of graduation and hope I can pay off my loans as quickly as possible.</p>

<p>Either way, my future would hinge on my ability to pay back my debts. It came down to the fact I wasn’t comfortable with the idea of burdening myself with it, and neither were my parents. Sure, KU doesn’t have much of a name. It’s more well known for kids getting stabbed in dorms, binge drinking, and frats that abuse turkeys and accidentally kill pledges during hazings (I’m not even joking), which is hardly outweighed by the school’s basketball team. But the Honors College is a surprisingly good program, and while it doesn’t bring the same intellectual/academic rigor to the table that I KNOW Swarthmore could provide, it’s cheap, and it has a whole of advisors that will help me get to where I want to be in life.</p>

<p>Thanks everyone, for your feedback :D</p>

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<p>You definitely made the right choice. Congratulations!</p>

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<p>usesausername: Good luck to you. I know it was a tough choice. Swarthmore is a wonderful school, but I can understand the fear of taking on $60k of debt. That’s probably a little bit much for an undergrad to take on.</p>

18

<p>Late to the party, but KU IS a good choice. It’s obviously not in Swarthmore’s league academically, but the honors program is very good (my mother went there instead of Stanford, also because of money issues). Lawrence is a gorgeous town. Hopefully you’ll be happy there!</p>