Loan Education for The College Bound Kid

<p>Forget</a> Financial Aid, Soon-to-Be College Students Need Financial Ed</p>

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Many of the nearly 1,000 students surveyed have not set aside money for school, and not considered the seemingly irrelevant yet critical distinction between the terms and repayment options on public versus private student loans. They are, in essence, walking straight off of the same cliff as many of their peers before them.</p>

<p>Of the students, ages 17-18, surveyed by CUNA, 83 percent did not know the rates, and 77 percent did not know the duration, of their expected or existing college loans. </p>

<p>"These troubling findings suggest not just a lack of awareness of college cost or how debt works but also a lack of basic financial knowledge," said CUNA Executive Vice President Paul Gentile

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<p>Just another reason why all high school seniors should be required to take a personal finance course…</p>

<p>It mentions that in the article, whenhen, that the finance course is only required in 13 states.</p>

<p>I must have skimmed over that part. However, just because a state implements a personal finance component into its economics courses doesn’t mean it does an adequate job of covering all the financial obstacles that a student will face (if they haven’t already) after graduation. According to this: [Survey</a> of the States by CEE](<a href=“http://www.councilforeconed.org/news-information/survey-of-the-states/]Survey”>Biennial Survey of K–12 Economic & Financial Education | CEE) most of the states that have a personal finance requirement built in to their core curriculum incorporate it into their economics class. From my own anecdotal experience, the practical matters of personal fiance took a back seat to economic theory even in the lower level econ (non AP) courses. Only those who took personal finance seemed to have any idea what a mortgage meant, how to balance a check book, or do anything else required in the “real world”.</p>

<p>DS is a HS senior, 6 AP courses, high ACT/SAT, and NO COMPREHENSION of loans.</p>

<p>Info coming from me is all lecture. Too many of his friends are taking over $20,000 for the first year alone. As parents, we refused to take loans or co-sign because he was fortunate to get some high merit. He is not happy with us for eliminating some of his acceptances.</p>

<p>In my realm, all the real world classes no longer exist (home ec, basic shop, personal finance). Seeing the changes in high schools made me understand why kids today “outsource” everything instead of DIY.</p>