Loans -- A series of questions :D

Paying for College
1

<p>Okay, so I swallowed the pill, without much water, accepting the fact I am a one of the many stuck with loans and no grants/scholarships (Though there are some at the school that I am going for, though I can not apply for merit since I am a holder of a coughgedcough). Now, on to the next step of college horror reality.</p>

<li><p>Parents are filing for Ch. 13 now – I had thought they were doing this at the end of the year, but with the economy the way it is they had to to it now – meaning I’m shot out of luck with them. I think? With them going into Ch. 13, do I have a chance with them or they have to be crossed off of the list?</p></li>
<li><p>I am going to a “tech” school, getting a BS in Film. The school has three enrollment periods, basically 7 months in between each payment date. Each term I have to cough up 25k, granted that my parents prove to be unsuccessful with the PLUS, that then gives me nearly 10k in stafford loans. Assuming. Now, with federal, is it ONCE a year, or do I apply each time the school has an enrollment period?</p></li>
<li><p>My only remaining option, it seems, is privatized loans since my parents are in a financial situation that does not benefit me (But I already knew this, seeing how even before the CH. 13 they had no way of funding my education). Are their such things as fixed interest rates. My big concern isn’t really paying it back, with the school I’m going I know I’m going to be stuck with a big fat debt (I’m looking at around 85k-100k), but my concern is the interest. </p></li>
</ol>

<p>The banks aren’t your friend, and I know the group of people they love screwing over the most is the students. Anyone know of any good, safe, trustworthy lenders?</p>

<p>When it comes to consigning, do you really need a relative? Or can it be anyone off of the street?</p>

<p>And if you get denied several times, I am not saying that this has happened but I am considering the possibility, what do you do? College is no longer an option in your future?</p>

<p>Thanks :)</p>

2

<p>

You apply for the school year and the loan is divided between the semesters. So if you get the maximum freshman Stafford of $5500 and are also awarded the additional $4000 because your parents are turned down for the plus then the $9500 would be divided into 2 payments of $4750 each for a school on a semester system or 3 payments of $3167ish for a school with 3 periods. (the $5500 is the maximum for a year, not a term).</p>

<p>

It is unlikely anyone other than a relative would be willing to cosign. A cosigner must have a good credit rating and they are responsible for paying the loan if you do not. A person would have to be a fool to cosign for anyone other than a close relative (and even for most relatives to be honest). I believe if the borrower makes late payments the cosigners credit rating can be affected before they even know they are going to have to make the payments.</p>

<p>If you are talking about borrowing $50k+ a year I would strongly suggest you reconsider. You will be stuck with a massive debt and massive repayments that will have a terrible affect on your life after college. Check a loan calculator like the one here
[FinAid</a> | Calculators | Loan Calculator](<a href=“Your Guide for College Financial Aid - Finaid”>Loan Payment Calculator - Finaid)</p>

<p>with a debt of $200k your repayments would be in excess of $2400 a month every month for 10 years. That is assuming you pay the interest as you go while you are in college (at 8% you would have to pay $4000 year 1, $8000 year 2 etc etc). If you are not paying the interest as you go then the interest will add to the debt and you will pay interest on the interest, and your debt will have grown to over $240k after 4 years and your monthly repayments will have increased to almost $3000 a month.</p>

<p>And student loans cannot be discharged through bankruptcy.</p>

3

<p>The school’s total tuition is $75,025 – TOTAL for the 21 months I will be there (Full Sail), the extra funds I have to take out are to cover my living expenses as it is impossible for me to work and go to school with the schedule they operate on, unless I continue my freelancing web design. </p>

<p>Thanks for your words of advice :)</p>

4

<p>Please read this thread</p>

<p>[Top</a> 500 Ranked Universities for Highest Average Student Loan](<a href=“http://www.stateuniversity.com/rank/ave_loan_aid_rank.html]Top”>http://www.stateuniversity.com/rank/ave_loan_aid_rank.html)</p>

<p>FullSail is one of the worst.<br>
One view: these types of schools know full well that the majority of their grads won’t get jobs that will allow them to repay their student loans. THey don’t care, the federal government will pay them and get the money out of you later. The feds will never let you out of the student loans.<br>
The more charitable view: They just don’t realize why so many of thier grads don’t find jobs. They are just there to help. For around the cost of Harvard. We’re so sorry that most of our grads end up with debt equal to a mortgage but no job. We thought we were doing better than that…</p>

<p>The for-profit colleges are cashing in on eager students and new money for loans but do NOT have any kind of record of placing grads in jobs where they can repay the loans.</p>

<p>Take a big step back and look at other options. Graduating from Harvard with $75,000 in debt is a bad idea. Graduating from a no-name for-profit school with that debt is probably on the level most people would call crazy. Please look at your local state and community college choices.</p>

5

<p>Wait, your tech school costs $25,000 per term? That’s kind of ridiculous. Why don’t you try applying to a public in-state university? It will be much cheaper.</p>

<p>For federal loans, you apply once a year, with the FAFSA. You are given a certain limit each year, and that covers you from the period from July 1 of the first year to June 30 of the next. For example, if your limit is $7,500 for this year, you can access up to $7,500 in Stafford loans between July 1, 2009 and June 30, 2010.</p>

<p>Your cosigner can be anyone, it doesn’t have to be a relative. BUt since a cosigner has to be someone who trusts you enough not to default on your loans and stick them with massive debt, it’s unlikely that anyone but your close relative will co-sign like swimcatsmom said. Personally, I would only co-sign a loan for my father, my brother, and my fiance. Those are the only people I can trust to actually pay it back. Yes, I am excluding my mother. I know better.</p>

<p>If you get denied several times, you have to find other options to pay for school, or attend a less expensive school.</p>

<p>How do you plan on paying back $100,000 in loans with a BS in Film?</p>

<p>ETA: Dragonmom is right about the debt load and about Full Sail, and for-profit schools in general.</p>

6

<p>I’m a hands on learner. I am also a person that has a low patience level and general education classes bore me to the point that I will actually not show up to them. So the course pattern that FS offers is the perfect, ideal, method that I want to take. </p>

<p>Hands on, technical, and not spending two years learning about History and Trigonometry before I even touch upon my major. </p>

<p>I guess I should use what they call it, Enrollment Periods. So there’s three, at roughly 23 - 25k which brings to the overall cost of 75k. But it also covers my book fees and all other institutional fees other than living expenses.</p>

<p>Currently, I’m at a major disadvantage due to my current academic history. Its not that I’m stupid, I was in AP classes, but the politics and drama at my school made me take the path I did. So when it comes to scholarships, I don’t have much of a choice to pick from. As well as being out of school for three years now.</p>

<p>I currently freelance as a graphic artist/web designer, so when I get a good account it pays WELL and when I don’t, I don’t. So with the economy the way it is, not much work has came in. So in terms of work, I do have skills in a trade that can pay substantially well if you get that right account which can help. (But even then, these skills mean nothing cause I can’t score a job at a firm without a degree… and the industry is too saturated with the “boom” back in the early 00s)</p>

<p>I am trying to look for ways to avoid carrying the burden of a 100k loan… And really, the situation isn’t much the tuition but the fact that pulling out an extra 15 - 20k is pretty much unavoidable because there’s no way to “work and support yourself” while in school with their intense schedule. Because I would rather work part time at Publix then pull out a loan.</p>

<p>Unless I was really fortunate to have a financially stable family. Which I don’t.</p>

<p>Though the film industry is a risk, and going to film schools are large investments and that I know. I’ve been looking at Full Sail since HS, but never did anything because I was too busy trying to attain my mother’s dream of working in commercial aviation. Now I want to do what I want to do.</p>

<p>But my father already has connections in the Entertainment industry being a indie jazz musician and its all about connections.</p>

<p>Yes, I know, 100k is really crazy… and I am doing everything possible to try and reduce the amount of loans. But with FAFSA saying we’re ineligible for grants, there’s really no other option.</p>

<p>I’ll be the first in the family to graduate from college, so I want to make it possible. But I don’t want dollar signs from making it come true.</p>

7

<p>Many community colleges offer much of the same as far as classes. This is an example of one of our state’s programs: [Dona</a> Ana Community College](<a href=“http://dabcc-www.nmsu.edu/tsd/creative/]Dona”>http://dabcc-www.nmsu.edu/tsd/creative/)
The Creative Media Technology program provides a specialized foundation for students who are looking for professional opportunities in filmmaking, computer animation, digital video production and multimedia. The degree is designed for students to complete their four-year degree at the Creative Media Institute at New Mexico State University or to begin their careers. The program also offers certificates in specialized areas including crew member training that will incorporate camera, lighting, audio and other elements vital to being certified as a union crew member.
Associate of Applied Science
Out-of-State Residents $ Per Credit Hour 157.50 $ Per Semester Full-Time 1,890
[url=<a href=“http://dacc.nmsu.edu/us/qfacts.shtm]Do”>http://dacc.nmsu.edu/us/qfacts.shtm]Do</a></p>

8

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<p>Good! Now use those connections, before going into debt, to see how many people in the industry have a degree from Full Sail.</p>

<p>Also, find out from Full Sail’s job placement office – they do have one, right? – what percentage of graduates end up working in the industry, and what the average starting salaries are. As for contact information for graduates who are currently employed in the industry; call those graduates to see 1.) how they are doing professionally; 2.) whether they are paying back loans; 3.) whether they are happy with the path they took. </p>

<p>Start your homework now, before you incur outrageous debt, to see whether this particular path is really the smartest one for you to take.</p>

9

<p>What about paying that same amount for a university degree in film, doesn’t USC, Chapman, and CSULB each have a reputable film program. Could you simply attach the GE courses at a CC, suck it up and get them over with and go in as a junior, only costing $100k but with a great set of contacts. I mean, come on, USC in SoCal, is all about the connections.</p>

<p>If you already have connections, then use those rather than lining the pockets of a for profit trade school- they seem to have the reputation of an ITT Tech or a DeVry institute (I had never heard of FS before now so have no personal opinion)</p>

<p>Can you talk to some of your Dad’s connections and ask if they respect this school?</p>

<p>You mention having a financially unstable family, why would you want to join their ranks with $75000 in loans for a less than well-respected program which may or may not even be necessary to get into the industry?</p>

10

<p>FS does have a respected reputation in the industry and my dad wants me to go to this school. So its not like I blindly decided to go here. </p>

<p>But I must take into consideration that I already live in Florida, so the costs that I would take on just to go to a school out of state would be no different than going to FS in the end long run. </p>

<p>Like I also said, I do not have a traditional HS diploma and I am three years out of HS, so I have no scholarship options really available to me until I get into college. </p>

<p>I understand what you guys are trying to say to me, and I have read the negative comments about Full Sail from graduates that didn’t really understand the entertainment industry and thought they were going to walk out with a degree already working on a big budget hollywood movie/album and then at the end of the year be at the oscars/grammies/emmys.</p>

<p>FS already explained to my parents that it takes an average of 2 years before a Film student actually scores high paying jobs, because its all about networking and working up the later the first two.</p>

<p>Anyway, I don’t have much in favor in my corner. I don’t have merit scholarship opportunities, FAFSA says I make just enough to push me over Pell Grant eligibility, and the only way to actually get scholarship opportunities is to already be in school.</p>

<p>I’m also going to be 22 in a few weeks, so the thought of even spending 4 years of my life now at college and graduating with a BS at 26 is not what I want in life and then be stuck trying to climb up the industry latter and hopefully land something at 35. That’s not what I want.</p>

<p>Of course people don’t always get what they want either.</p>

<p>Anyway, thanks for the tips. I haven’t signed the dotted line yet, but I will weigh my options. </p>

<p>And I have been talking to current film students, but its really hard to find them when majority of FS rep is from a Game Development/Recording Arts standpoint.</p>

<p>Everyone says the school is worth it, the debt not so much, but the training is valuable.</p>