There are alternative schools already mentioned upthread that will offer merit aid that can keep debt down.
I think that debt for UMich’s engineering program is reasonable (assuming you will be able to keep up with the program and this is what you want to pursue)
The problem is when students take out 150K+ (life crippling debt) for a generic liberal arts degree, and have trouble landing a decent paying job.
Do students ever do their first 2 years at UM Dearborn and then successfully transfer to UM? If you could get your 1st 2 years done with the full ride, get your intro level classes done at UM Dearborn and then transfer to the main UM campus you could potentially lower your overall debt but still graduate with a degree from the more prestigious UM.
I don’t know if this is done or what the hurdles are to making it work, just wanted to offer it as something to look into.
I do believe the University of Michigan meets full need for in-state students, so OP, you may want to wait to see what your financial aid package looks like before giving up hope or committing to Dearborn.
The GOOD thing, though, is that with a 4.0 GPA and a 32 ACT there are many schools that you could get into that either meet full financial need OR that will offer you a scholarship to cover costs. Someone suggested Alabama. There are other places - like Lehigh, Notre Dame, Rice, Bucknell, Cornell, Carnegie Mellon, Duke, Wake Forest, Wash U Tufts, University of Rochester - that offer engineering and meet full need for students, and where you fall within the middle 50% of accepted students. UNC and University of Virginia also say they meet full need for nonresident students.
I do believe that some debt can be better than no debt. If you were asking about borrowing $30K or even ~$60K, I’d say yeah, sure, go to Michigan and don’t look back. And if your financial aid offer comes through that reduces your burden to that, then I’d say go for it! But even if your parents were able to max out their contribution to $10K a year, that would still leave you to come up with $72K. First of all, you can’t even borrow that much alone - the most you can borrow per year is $5500-7500. After that, you need a co-signer, and if your parents are against you borrowing then you’re unlikely to find another good willing co-signer. Secondly, though, $70K+ is where you start to get into crippling levels of debt, even on a high salary, and especially if you make about the average for engineering majors (which is in the $55-65K range).
I do like the suggestion of potentially attending Dearborn for two years and then transferring to Ann Arbor. Your parents could save the $10K they would put towards your education at UM and maybe give you $20K a year (how realistic is that?). Then you’d only have to come up with $8K a year your last two, which would be more doable.
Roughly 40% of science and engineering majors change their major to something else non-STEM,* and ironically, that attrition is higher at selective institutions, not lower (and doesn’t seem to be determined by prior achievement in science/math courses or prior interest). Even if you do stay an engineering major, you may decide not to go for an engineering role or to take a lower-paying one in a better region of the country or at a better company you like. It’s for that reason I tend to disagree with advice that says that borrowing large amounts of money is okay for STEM majors and not for others. You want the freedom to study what makes you happy, and you want the freedom to choose the career you want. Second of all, it’s not necessarily advisable to make debt decisions on an above-average salary/situation. Google/Facebook software development positions are competitive even for elite school grads.
*[url=<a href=“http://www.nytimes.com/2011/11/06/education/edlife/why-science-majors-change-their-mind-its-just-so-darn-hard.html%5DSource%5B/url”>http://www.nytimes.com/2011/11/06/education/edlife/why-science-majors-change-their-mind-its-just-so-darn-hard.html]Source[/url]
It’s doubtful the cost will be much lower than the $28K mentioned in the OP.
unless that prestige is like stanford or an ivy, in which case go, prestige vs full ride is kind of your own decision. I’d say go to umich if you can handle the debt in the future, otherwise don’t
UMichigan (AA) will offer opportunities that Dearborn simply won’t, especially when it comes to high-level internships (and co-oping options).
Of course, stick to federal loans, do not take private loans. But federal loans are doable, especially for someone in CS/Engineering/Math.
Wait till you have your financial aid offers before assuming UM is going to be unaffordable.
Your direct costs are 25K.
Some budgeting: 5.5K federal loan, 10K parents’ contribution, 2.5K work study (or part-time job), 4K part time job during the year and over the summer (and if you start working a few hours now + plan to work more hours over the summer, you can probably have more than that to cover books etc); you’re roughly 2.5K short but it’s not unbelievable that UMich would give you a small scholarship. So, wait for that financial aid package. I would definitely take UMich stretching over a full ride at Dearborn.
I agree with posts above suggesting you apply to more colleges, especially Lehigh, Lafayette, RPI, Cornell (CAS/IST).
Is it too late to apply for scholarships at other Michigan state schools? If I were hoping for the UM campus experience, I’d prefer someplace like Western Michigan or GVSU to UM-Dearborn. I have the impression that it’s more of a commuter school than Western, Central, GVSU, etc.
I really liked Michigan Tech, too, though I don’t know if it will be more affordable for you.
Seconding GVSU especially if you can get into the honors college, which is pretty good. MSU and Michigan Tech (honors) = apply now to honors college, too. Honors colleges have scholarships but earlier deadlines.
I don’t think $50,000 is too much to borrow if you are actually going to be a successful engineer from UMichigan -Ann Arbor. Your starting salary should be in the $75K range. I’ve had many recent hires managing debt loads in the $75K range with no problem in an expensive city like Boston. This is something people talk about. UMichigan will not place upper bounds on your opportunities. Other schools mentioned might.
The benefits of Michigan are a) highly talented peers, b) that excelling in a competitive environment does send a signal to prospective employers that you are highly talented. Excelling in a less competitive environment sends less of a signal. If you’re not going to excel then Michigan won’t help you as much.
Also, you wouldn’t be borrowing all at once. You borrow the first year, and if you do poorly or decide engineering isn’t for you, re-evaluate whether it’s worth making that second investment.