Leaving school because of costs

Paying for College
1

<p>Hi, so I am currently a college freshman about to be done my second semester of school. I go to a large public university as an out-of-state student. Currently, tuition at my school is about $40,000 out of state. I have a $10,000 scholarship from my university and another $1,500 one from my high school. I get about 5,000 in federal loans (subsidized and unsubsidized) and pay the remaining balance on private loans (about 20k/year).</p>

<p>I'm having a bit of a dilemma. My whole high school career, I was under the impression that my family was financially more well-off than we really are. My parents never shared their finances with me - they thought it wasn't my business, and I guess really it wasn't at the time. They let me apply to any school I wanted, and only when I committed to the school I'm at now did they tell me that they couldn't afford to help me.</p>

<p>My parents technically "make too much" for federal aid. But, the problem is, they have $30,000 of credit card debt, mortgage, car payments, and bills (who doesn't), and my mom said that by the time those are paid each month, they don't have anything left over. On top of that, my younger brother has Down syndrome and still requires diapers, baby wipes, baby food, etc. despite being 11 years old. He also requires special transportation to/from school and we've paid for years of speech, physical, and occupational therapy for him (most is not covered by health insurance/is only to a certain point) which is where most of the debt came from. </p>

<p>I know it's my education and my responsibility, but FAFSA doesn't see it that way. They see it as the family's primary responsibility to help and my parents just can't do that. Loans seem like a quick fix, but as of right now, I'm going to have at least $80,000 of private loans with probably like $10,000+ of interest of them plus like $15,000 of federal loans to pay back. I know I'm going to be in over my head when I graduate, and with the job market being so shaky, there's no guarantee I'll ever pay these things off. I feel as though I'm going to end up in the same sticky debt situation my parents are in, only tenfold.</p>

<p>I've already talked to an academic advisor and a financial aid officer. My options are as follows:
1) leave school entirely, and just work and pay off the loans I have now
2) leave school until the day comes that I can afford to pay for it by myself (which seems viable, but I know myself too well and I know that at that point, I won't even want to go back to school)
3) go to an in state school that has the same program but the program is ranked considerably lower and the school is in a bad neighborhood, where I'll only save about $3,000/year (which is good for 3 years but is it enough to make it worthwhile to leave the school I'm at now, which I really like and is a great school?)
4) keep accumulating debt, and become an RA junior year (I missed the deadline for sophomore year already. RA would cover my housing costs and along with my scholarship, I'll only be paying like $13,000/year which is less than an in state school)
5) go to community college for a year and save some money then return to my current school (I didn't want to go to CC in the first place since I was an honors student with a 4.4/5.0 GPA in HS but I would maybe consider it now if all other options are exhausted)</p>

<p>Unfortunately, commuting isn't an option for me. My school is over an hour away from home (without traffic) and I don't have a car/no public transportation is available :(</p>

<p>Anyone with experience with leaving school because of finances or with advice in general, it is appreciated! Thank you!</p>

2

<p>Are there any state schools to which you can commute? Not the school where you are going, but any other local state schools. I suggest you talk to a counselor at the community college and see what the possibilities are for transfers in state. If you can go to CC next year, and transfer to a public college in your own state, especially one to which you commute, you would save some money that way. What is your major that it is so essential that you go out of state? You may need to be more flexible about what you study and your major.</p>

<p>Also where is work in all of this? Summer earnings, baby, is the way it goes around here. My kids have worked up to 3 jobs, maybe even more over the summers getting as much as $12K, certainly $9K. Not easy, but they do it. They are young, healthy and strong. When else to do this? </p>

<p>I can tell you right now, you are looking at graduating with $100K in loans plus the interest cranking on all of them which is not good. You can’t find a job now, and you think you are going to find one that can make a dent in that ? My son was aghast to see that he racked up close to $400 in interest in the $5500 in loans he took out last year when some things went amuck and he needed to money to do what he needed to do. Despite paying $2K on it, and working like a fiend, he is still behind the 8 ball and trying to catch up he hit a financial pot hole. That’s with the leeway he left himself, and you are gobbling that up like it is manna from heaven. Scares me to even think about it.</p>

<p>Problems with your solutions:

  1. What sort of job are you going to find when you couldn’t even get it together to work from the day you were accepted to college, not to mention the years/summers during hgh school year? Are you working at school now? How are you going to get to work with no car/no public transport? If you can find a job, maybe go to comm college part time, and get the logistics for work, school, it would be a good idea. If you don’t borrow for the next two year, and make a tiny dent in the $25K you borrowed, and stave off the interest, you’d be ahead of the game. If you can do this. It would take a lot of resolve. But a reasonable option.</p>

<p>2) Basically, the same option as the first.
3) Are there any state universities to which you can commute. $3K X3 years is $9K plus interest that you will save. Still too much in loan to make that really an affordable option, but yes, $91K is a lot better than $100K to owe. As I said above, I think you are going to have to be more flexible about your programs. I’m not sure what a bad neighborhood has to do with all of this, and I’d like to know how that other state school is $100K plus interest better than the instate one. Really, though, both schools are not affordable to you.
4) RA positions are very difficult to get and your missing the boat this year is not exactly making me confident that you will get the job next year. Do you have any job experience at all?<br>
5)This looks like the best option, but I don’t think returning to your current school would be much of an option. You’ll still be accumulating too much debt. Most schools don’t allow this kind of break and take the credits earned during that time. Keeping that scholarship might be an issue. I’m thinking more along the lines of you going to the CC part time, working part time and so taking 2 years to do the next one, but not incurring any debt and paying the interest plus a couple thous off that $25K loan you took. Then maybe continuing to study and go to CC while doing your junior year on line for your state u, the least expensive one you can find. Use the CC as a study base and schedule holder. and resource.</p>

<p>Seriously, I don’t think you can afford your school or the state U as a resident student You need to commute. I think you should be going to CC and self studying on line so that if there truly is no local state school where you can get a BA/BS degree, you should do junior year on your own while using the comm colleg resources and then borrow to go that last year to your state u and get a degree. Any degree. You need to think outside of the box. </p>

<p>Also look at what programs your CC has in terms certificate programs where you can find a good paying job, like courtroom transcribing, legal aid, medical transcribing, billing, computer tech, medical equipment tech, so that you can get a good part time job that pays decently while you go to school part time, or some full/part split that you can manage. It’ll help you when you do get your degree too. I’ve suggested to kids who got ivy degrees to go back to cc and get a certificate that will make them employable and get their foot in the door somewhere. When a managerial or management position opened, they had the experience, the expertise and the degree to step right into job, something that a liberal arts degree alone could not do.</p>

<p>The average college student works at least part time, goes to school part time, and is in his mid 20s and older. Not on the 4 year plan at all. You say you were a good student in HS, so use those brains to come up with some out of the box ideas. Your problem was that you were stuck in the box for those kids whose parents paid for their college when you did not belong there. Find another box.</p>

3

<p>

This makes no sense to me. Your parents just let you apply to places without any discussion of how much they would cost or how much they could pay? And then they let you commit to a place still without any discussion? You didn’t ask - “Hey mom and dad, these places all cost arms and legs, what say you?” It’s unbelievable to me that you were permitted to commit to something that would cost you $120K without any discussion on the matter.</p>

4

<p>sylvan8798: if you think it makes no sense to you, imagine how I feel. As I said, there were no discussions of finances. Ever. My parents believed that their financial issues “weren’t my business” just as much they believed that me paying for college “wasn’t their problem.” I had already committed and paid a housing deposit so at that point there basically was no turning back.</p>

<p>cptofthehouse: I do have job experience but it’s with retail jobs (I’ve worked in retail since 2010) and I currently work part time at my school’s dining hall (usually only 8-15 hours a week though. I know it makes it sound like I’m not trying, but with how demanding my classes are, I can only work that little. If I worked more, I know I’d do poorly in school and then I’d just be paying for classes that I would be failing). I do plan on working all summer and at two jobs, but I also pay $300 every 2 months for car insurance (just because I don’t have a car doesn’t mean I don’t have to pay insurance. I have to pay insurance because I have my license and State Farm requires me to pay if I want to drive my mom’s car) as well as current payments on my loans ($100/month as of right now, a dent but not much). I plan on saving every bit I can, but my issue is, even with those two jobs, I’m not making enough to make a huge difference. Do you have any suggestions on where to work that doesn’t pay minimum wage? In my area, it’s hard for a 19 yr old with no degree (yet) to find a job that isn’t retail or a restaurant. </p>

<p>Also, your suggestions are helpful. I’m just really torn because I love my school, I love my friends here, I love the campus, food, and everything about it so making the decision to leave is really difficult. Half the time I feel like I could do it and never look back but the other half I feel uncertain.
And I talked to an advisor about taking a semester or two off and going to a CC and she said I would have to fill out a leave of absence form and that I could come back whenever I wanted to. How that would affect my scholarship, I’m not sure of, and if I did leave with the intention of coming back, I would probably want to try to get them to guarantee me, in writing, that if I returned I would get my scholarship back.</p>

<p>Another thing I was thinking of. My advisor said once I get my financial aid award letter for this next school year, I can appeal their decision and ask for more aid on the basis that I have a special needs sibling whose extra costs take away from our EFC. And I talked to my mom and she said once car payments were done, starting this year, she could contribute around $4k/year to me. Assuming I can work and save enough this summer (and perhaps keep one of the jobs as a job I come home to on the weekends), that’s probably at least $10k/year I could pay off of my tuition. Plus the $10k scholarship and $1500 one, I’m looking at only about $15,000 and that may even be less depending on how the financial aid appeal goes. Still too much? Wishful thinking?</p>

5

<p>I was going to suggest appealing the FA award. But… I think you need to start exploring other options if they don’t come thru. Also, you haven’t said what your major is… that makes a difference in the advice you will get here, as some majors are more likely to get you a job that can make a dent in large loans vs. others.</p>

6

<p>This out of state school is way too expensive. </p>

<p>Now you said your in state school is only $3,000 cheaper. What do you mean? </p>

<p>If you give us your major and the name of the schools we can help you further.</p>

7

<p>

I just find this incredible. What did you think? That they were just rich and would be paying what you had committed to? Irregardless of how much it cost? Who signed for your first year private loans?</p>

<p>Personally, I disagree with the other posters and think you should do your best to at least get through another year where you are. Get as much work over the summer as possible. Look for ways to cut costs or to help your family cut costs.</p>

8

<p>Originally Posted by shelly1994
if you think it makes no sense to you, imagine how I feel. As I said, there were no discussions of finances. Ever. My parents believed that their financial issues “weren’t my business” just as much they believed that me paying for college “wasn’t their problem.” I had already committed and paid a housing deposit so at that point there basically was no turning back.</p>

<p>I agree that the above is crazy and outrageous. I’d like to knock those parents upside the head. Frankly, I wouldn’t be surprised if the parents lose their cosigning qualifications quite soon since they already have a bunch of debt. </p>

<p>However, I do think the student needs to see if the school will put her scholarship on hold while she leaves for a year. She needs to find out if it’s ok to go to a CC for a year, and still have that scholarship when she returns.</p>

<p>Every year that she’s at THAT school, she runs up $20k in debt. Even living cheaply won’t bring that down to a reasonable borrowing level.</p>

<p>The idea of runnning up $80k in debt for an OOS public (or really anywhere) is outrageous. The parents have been acting irresponsibly with their heads in the sand.</p>

9

<p>What is your college GPA, and what were your SAT/ACT scores in high school? Also what is your home state and home city, and your desired major?</p>

10

<p>

</p>

<p>^^^ This.</p>

<p>What I’d recommend is the following:</p>

<p><a href=“1”>b</a>** Confirm that taking a year off won’t impact your scholarship. Make sure that you get an answer for both possible scenarios: (a) taking the year off and attending a CC for the year, and (b) taking the year off and just working (no CC).</p>

<p><a href=“2”>b</a>** Find out if that RA job would be available to you upon your return, if you take a year off. It sounds like that’s the only way to make your current school even remotely affordable.</p>

<p><a href=“3”>b</a>** Remove yourself from your mom’s car insurance and STOP DRIVING HER CAR! I don’t know how often you use the car, but this sounds ridiculous . . . find a cheaper way to get around when you’re home. (Most insurance companies provide a significantly discounted rate for a child who is away at school most of the year. Are you sure that’s the rate you’ve been getting?)</p>

<p>Once you’ve figured out all of the above, sit down and do the math: are you better off attending a CC for a year and then returning to your OOS school as a junior, or might it make more sense just to work for the year, not take any classes, save the money, and return to your school as a sophomore?</p>

<p>Either way, if you’re gone for a year, your relationships with your friends at the OOS school are going to suffer . . . so you need to be sure you want to return to that school even if it means graduating a year (or two) later.</p>

<p>And when you do return to school, make darned sure that your family’s expenses for your special needs sibling are factored into the equation!</p>

11

<p>If your parents are so hard up that they require you to pay $150 a month just for the privilege of driving your mother’s car when you are away at school 9 months out of the year, I would not count on them contributing anything ever. Hopefully, you checked with the insurance company to see if you have to pay when you are away at school, as many companies will offer a huge discount for those kids away at college. But think about it–are borrowing $25K to go to college, and your parent wants $1800 just for the privilege of driving her car for the few months you are around. Something is very wrong here, and in such an environment, you really need to start looking at other options.</p>

<p>At my son’s state school, once you start there, you cannot take courses at other schools except during the summer towards your degree. It’s understandable that you are young and not too aware of things going around you, but you really need to get a reality check and be super pro active. You missed out on an application for something that is crucial to you, you can’t work more hours than what you are or do poorly in school, you don’t do the math to see that $1800 would have been better put towards your college costs, you are borrowing $25K a year for a state school…your head is very much in the sand.</p>

<p>Please PM BobWallce with your information. You need to transfer to something cheaper. Do not give out too much personal info on this public board, but you need some help as to what your options are. You are not in an affordable program, no matter how you slice it.</p>

12

<p>Shelly, I’m sorry that you’re in this unfortunate position.</p>

<p>I think it’s unfortunate that some CC posters immediately chastise students in your situation, when you’ve no control over 1) your parents’ financial disclosures; 2) how your parents chose to budget; 3) if your parents save for college. So now you’ve a dilemma, but there’s not enough information here regarding your major or career goals. I’ve known folks who had $150,000+ in student loans, but launched themselves into high-paying careers where those outrageous loans were nonetheless paid off within a few years of prudent budgeting. So first off, look at your earning potential to address your anticipated loans.</p>

<p>Secondly, our dual-income “full pay” household resides in a very expensive area with high home prices, high real estate taxes, high state income taxes, high sales taxes, etc, so our “take-home” income is decimated by nondiscretionary costs. Yet we’ve saved enough to pay for college too, because we scaled-back our lifestyle expectations to do so. And our household also has high out-of-pocket medical expenses. Have your parents done so too? Parents are culpable too.</p>

<p>Finally, regarding summer jobs, yes it’s important to find summer work and part-time work during school year too, because every dollar earned helps. But to the posters noting that their kids work, I’ll note that in our area, most “part-time” jobs are already taken by underemployed adults and “summer” jobs are almost extinct with exception of Park District camp counselor jobs (which are parcelled out to friends and returnees). Not everyone has access to moderately well-paying summer jobs. That said, I’d recommend getting on a babysitting network list, etc to scrunge summer work.</p>

<p>Lastly, your ultimate choice will never be perfect, but hopefully will allow you to graduate eventually nonetheless. Are there any relatives (or grandparents) who could help you financially?</p>

13

<p>Sit down with your parents, and find out if they can get more affordable car insurance that will provide coverage your family needs. You should not have to carry your own separate policy. You should be included in the family policy, and if you are a “good student” that should reduce the amount that has to be paid for you to be on the family policy. If you are far enough from home during the school year, the reduction might even be greater. Our insurance is with GEICO, and we are paying almost nothing to have Happykid on our policy because she has at least a 3.0 at her university.</p>

14

<p>I’m not giving out personal information on this board.
What I will say is that my ACT was 28, HS GPA was 4.3/5.0 (3.6/4.0) and mostly honors/AP classes. I was in National Honor Society and was senior editor of our school paper for 4 years, so I guess that counts as being a well-rounded student.
My college GPA is a 3.0. I’ve already taken finals and after this semester, it will be a 3.3/4.0. </p>

<p>My major is economics with a concentration in finance. So I’m at least going into a field where I’ll make a living and not in some dumb major like Women’s Studies. </p>

<p>As for the concerns about the car insurance - it’s not negotiable. State Farm told us that I had to be living “at least 100 miles or more” away from home in order to get discounted insurance. Otherwise, they can’t prove that I’m not lying about bringing the car to school and screwing them out of money (lol, jerks). So there’s no getting out of that unless I give up my license for a few years and get it again one day. And my own insurance policy when I don’t even have a car would be ridiculous because I would end up paying even more since everyone discriminates against teen drivers, and I’d be paying more for no reason as I have no car.</p>

<p>Talking with my parents does nothing. My dad is ignorant and indifferent and my mom just ends up throwing a hissy up because she thinks I’m accusing her of being a bad parent and then she goes back to the “do you understand that by the time bills are paid, we have nothing left over?” talk. It just turns into a screaming match that makes me feel more hopeless and frustrated. There is no getting anywhere with them. </p>

<p>I need another option besides hoping and praying that I can leave for a year and get my scholarship back or appealing my financial aid.
The only other thing I can think of is living in a homeless shelter, getting documentation of it, and then having my dependency status on FAFSA overriden for the 2014-2015 school year (since FAFSA’s dependency decision for 2013-2014 is already done) and my financial aid would be based on my income only (which is next to nothing) so I’d get full ride. </p>

<p>Recently, I looked into NROTC and I can still apply now for it. It wouldn’t help pay for my current loans, but it would pay all or mostly all of my tuition and living expenses for the next three years of college. Only downfall is 5 years of active duty after that, but I guess what’s 5 years of active duty compared to probably 40 years of paying off loans? </p>

<p>So basically, I’m still failing to come to a definitive solution and time is running out. Any words of advice as time for me to make a decision draws near?</p>

15

<p>If you are willing to do NROTC, then I would give your parents the heave-ho and go for it. People in the military have a lot of potential for opportunity, and it’s only in America that we don’t seem to see military service as something for the “upper classes”. Prince Harry is in the country now, and is still active military. Can anyone imagine one of the Obama girls or one of the Bush girls being in the military? Really?</p>

16

<p>I think that State Farm is messing with you. Go online and get quotes from Progressive and Geico and a couple of other companies for your parents. If people in your family have decent driving records, you should be able to find something more affordable.</p>

17

<p>ditto on the insurance, but getting your parents to deal with changing it could be difficult, unless you hit other cars a lot that is way too much. Insurance isn’t the main problem, you and your parents need to get some financial counseling about college, your future debt is not viable.</p>

18

<p>I’m not sure if that State Farm rate is all that remarkable. There’s a significant surcharge to add teen drivers to a policy, and it’s not unusual for the “kid away at college discount” to apply only if the kid is actually a certain distance away. If the OP is closer to home than 100 miles, then it’s not surprising that they wouldn’t get that discount.</p>

<p>But unless she uses the family car a lot, they should remove her from the policy. As I said, there’s got to be a cheaper way for her to get around when she’s home.</p>

19

<p>There are many schools still accepting applicants for next year. Your current school is not affordable, which is typical for OOS schools.</p>

<p>The purpose of asking your home state and city was to be able to recommend transfer schools that would be more affordable.</p>

20

<p>In my experience I have not seen students take a leave of absence and be able to keep their scholarships. My niece left her college and came back a year later & she went from a $15,000 scholarship to paying full freight for her last 3 years. It is not easy to get/keep scholarships when you are not a graduating high school senior/incoming freshman. Those are the students they are trying to woo with scholarships, and those are the students who affect the college’s stats and rankings. Most transfer students do not get much F.A.</p>

<p>Also, being poor will not necessarily get you a full ride. Many people assume this, but most colleges can not afford to give every poor kid with good grades a full ride. Plus, you would not be an incoming freshman, so I think your chances of getting a full ride scholarship at this point in your life are about nil. I don’t mean to be harsh, but I think it is important for you to be realistic at this point. Feel free to ask others on CC and elsewhere — and sometimes even being an “incoming freshman” is not enough, you have to be a “graduating senior” to be eligible for many scholarships. </p>

<p>You can try and provide additional documentation to appeal your OOS college financial aid award. Possibly they would try to help a current student, but it is not good that you are out-of-state since they may tell you students from their own state must be their highest priority.</p>

<p>You are obviously a smart cookie. So you are going to need to do your research, and ask lots of second-level questions, and double check things. You are right to ask your college to “put it in writing” that they will let you renew your scholarship if you come back in either 1 or 2 years. I would be interested to see if they will do that, but that would be fantastic if they would.</p>

<p>Wishing you all the best in what has got to be a very difficult and stressful situation.</p>