NYU student loans/financial aid?

Paying for College
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<p>*I could just use my dad’s income and address, and get tuition cheaper than if I used my mom’s (which there is no reason I would, because I no longer live there), and my mom could somehow just send my dad a check each month, which I’m sure my dad would not oppose to. *</p>

<p>Some schools require you to provide All PARENTS’ incomes…including step parents. I think NYU asks for NCP income info.</p>

<p>You don’t get “tuition cheaper” if you only use your dad’s income. NYU doesn’t meet need nor give good aid. </p>

<p>My step dad makes decent money, and my mom owns a home-daycare, so I’m guessing they make at least $60,000-$80,000/year. If my mom didn’t pay half, I have no doubt that my dad would take legal action because she agreed to do so.</p>

<p>That’s not a lot of money. Certainly not enough to pay half of a private school. Your dad may not want to take your mom to court because HE might not be able to afford to pay for half of private school EITHER!</p>

<p>You need to get reasonable. If your mom (or your dad) doesn’t have the income, it’s really unethical for you to demand that she (or he) pay half of a private school…no matter what she or your dad signed.</p>

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<p>Rutgers admissions</p>

<p>Admission rate 59%</p>

<pre><code>* 73% in top 10th of graduating class

  • 81% in top quarter of graduating class
  • 99% in top half of graduating class
    </code></pre>

<p>If 99% have GPAs’ in the top half of their graduating class, that doesn’t sound like the school is accepting those with C- averages…unless they’re a star athlete.</p>

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<p>@mom2collegekids I never said that was a lot of money, and the point of this thread wasn’t to argue, it was to find out how it might be possible for me to pay for NYU, so far no one has really helped a lot besides the post that told me how much I can borrow from the Federal Government. I know that I don’t have a lot of money to work with, but how do these kids that grow up in underprivileged homes, and their family struggled just to get by, go to Ivy League schools, and other great schools? I’m sure that NYU has a lot of kids like that going there. I’m not saying I’m in THAT situation, but I’m not exactly going to be able to afford the full cost of NYU…</p>

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<p>*but how do these kids that grow up in underprivileged homes, and their family struggled just to get by, go to Ivy League schools, and other great schools? *</p>

<p>NYU is not an ivy league school. </p>

<p>NYU doesn’t give aid like the ivy leagues do.</p>

<p>NYU gives horrid aid.</p>

<p>Most likely, the lowish income kids who go to NYU probably get someone to sign ridiculous loans.</p>

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<p>@mom2collegekids I didn’t mean C- Average, I was just hyphenating between C and Average, and with a C average and a 1500-1600 on the SAT’s, and a few extracurriculars, I definitely think you could get into Rutgers, you might not, but it’s probably a toss up. Don’t assume that I meant that you WILL get in with a C average, I just meant you can. Around here Rutgers isn’t usually peoples first choice unless they are athletes, or really like to party. Usually it’s like: First Choice is TCNJ, Villanova, etc. and their backup is Rutgers.</p>

<p>Also, I never said NYU was Ivy League, I also said “other great schools”. Again, don’t assume things that you take out of context, I didn’t even imply NYU was Ivy League.</p>

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<p>The point is…you can’t look at how lowish income kids go to ivies or other elite schools. NYU is unique in that it’s an elite school that gives lousy aid. Other elites give good aid.</p>

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<p>Ok, thank you for clarifying. Could you give me some examples of those schools, particularly the ones with good B-Schools? Does Villanova happen to be one of those? Because that is also one of my options.</p>

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<p>NYU is an elite school with a small endowment - it is stingy with finaid because they don’t have it to give.</p>

<p>You seem to want to do finance - this can be your first major project - research your colleges - check the size of it’s endowment first! Run the calculator - including the one on Villanova - put all the information on a spreadsheet. Narrow your list - you can still apply to NYU - we are entitled to our dream school. Ideally you choose a school that can meet full need. Next look at schools that your statistics are above the norm - which would make you a good candidate and possibly get merit aid.</p>

<p>Understand that the underprivileged kids going to the elite schools on scholarships are full of immigrant fire and are superstars - great stats, great ECs and never sleep. and in this economic climate they are taking offers from honors programs from public colleges and universities.</p>

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<p>I really just want to know if there is a possible way for me to attend NYU. It is probably the most possible school for me to get accepted in if I want to major in finance. If I want to work for a major investment banking firm, I have pretty much a 90% chance of getting hired if I go to a target school. NYU just happens to be one of those, with most of the rest being in the Ivy League, or Stanford caliber, which I just don’t think I’ll get accepted into without a connection. Can somebody tell me more about the private loans, and how they work, and if they are a smart decision?</p>

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<p>No, you cannot take out private loans to attend NYU, at least with out a co-signer (a fool with a pen).</p>

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<p>kbecker, When schools have endowment $, they have a choice: they can use their $ for merit and direct it to top students OR they can use their money to help needy students and use it for financial aid. The second option generally takes more funds. Most schools do not have the money for the second option and use most of their own money to reward merit. That has the added bonus of attracting good students-- students who are likely to graduate and who will make their school look good (for example in rankings). NYU rewards merit. One of my relatives got a full ride at NYU and turned it down for an ivy. Those are exactly the kids who <em>do</em> get the generous aid at NYU. So you can go ahead and apply to NYU but realize that what they are likely to do is give your family the option of going to a bank, getting a credit check and taking on a bunch of private loans. They do not guarantee that you will be eligible for loans for 4 years and you would be unable to get them on your own, without a cosigner. </p>

<p>As far as the kids who go to prestigious schools: I think you’ve found the catch. The poor kids who are superstars academically and are blessed with an acceptance to a generous ivy ARE the few kids in our country who get to go to a top school without tons of loans. MOST kids from middle-class families graduate with loans and often have to stop and stop college to work. The exception is families who have been saving since the kids were little. </p>

<p>My advice for you is to START with a discussion with your mother. Ask her clearly how much $ she has to give you per year for college. Ask your dad the same. Explain that you need figures so you can figure out what to afford. </p>

<p>As far as Rutgers being a ‘good’ school. Yes, Rutgers is a good school but it’s not a prestigious school in finance. Yes, those places generally only recruit from prestigious schools-- but if you don’t have the grades or the money to get into a top school, it isn’t an option. Perhaps you could transfer into NYU. Or perhaps you could go to grad school there. Or perhaps your family can cobble the money together. </p>

<p>We don’t generally recommend private loans but they are a part of life for a lot of people. If you were going to med school or vet school, they would be a part of your life. The problem is they are hard to pay back. First, see what everyone can come up with THEN see what you would have to do to make it happen.</p>

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<p>@2collegewego To put it simply, I’d rather get those private loans, go to a prestigious college, struggle for 2-5 years or however long after college, have a good paying job, and prosper after the loans are paid off, if possible. The likely other option is to get a degree from Rutgers or something and be middle class for my life, which is not how I want to be. How do the private loans work (interest rates, etc.) and how does the cosigning work?</p>

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<p>Kbecker,</p>

<p>Maybe this is new, but apparently NYU promises all grads a high paying job on wall street?
Rutgers can only guarantee middle class jobs?</p>

<p>I would make sure I get these promises in writing before signing any loan paper-work.</p>

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<p>You would be better served attendy CUNY- Baruch College at a fraction of the cost. A NYU degree is not going to guarantee you a job on wall street (I hold 2 NYU grad degrees- both employer paid)</p>

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<p>NYU requires the Noncustodial Profile. The NPC (Net Price Calculator) on NYU’s website does not address this requirement. Most colleges (that require the noncustodial info) indicate on their NPC to run the calculator twice - one for each parent - and ADD the two numbers (EFC) together. I suggest you do this to get a better picture of what NYU will expect your parents to pay. The income for your Mom would include the Stepdad’s income (if she is married). When you get that number you may realize that NYU is financially unfeasible.
The good news is you are starting to think about this very early - good for you. You have time to really research colleges that will fit your needs in all respects. There are schools in other parts of the country (not just NYC) that may provide the education and future career prospects that you are looking for - broaden your search. Good luck.</p>

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<p>@haystack If you think that’s what I said, you are sorely mistaken. I just said I’d rather go the NYU route, which just happens to almost guarantee a job on wall street, look at the employment statistics out of NYU Stern. The LIKELY (Yes, likely, not definite) other option is to go to Rutgers and be stuck in the middle class. Last time I checked, most jobs I would get from Rutgers, would not put me at a whole lot of money until many years of employment at a job.</p>

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<p>@NewEnglandMother I’m assuming my mom’s income wouldn’t matter because I don’t live with her, right? My sister went to a state college off of my dads income, and her mother’s (She has a different mom) didn’t matter one bit, whether she was a millionaire, or living in poverty. My mom will probably not pay 50% like she’s supposed to, but knowing her she’ll probably pay close to it, but just under the table, or however, to my dad, who will make the payments. I don’t know if this is 100% accurate, but no matter where I go to college this is probably how it’ll be. Whatever price I pay for college, it’s going to be just as if I was just living with my dad, and he was the only person paying it.</p>

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<p>@sybbie719 Is CUNY a target school? I don’t know off the top of my head, but you’ve lived in New York, so you would probably know if people went to CUNY and landed jobs in finance. I really want to go to school in NYC, because it would give me the experience that I would need to prepare for life there on my own (no roommates, professors, etc.). I think Fordham is good, but that is also very expensive. My cousin’s fiance (as mentioned earlier in the post) recruits potential employees for financial companies in NYC, and he said that if it’s not Ivy League, or close to it, it can also be in NYC because the banks like that you have roots in the area, and will not just leave the job because you can’t pay rent, or some other issue.</p>

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<p>Ok, you want some numbers. </p>

<p>Let’s say your parents can give you $5k per year (based on their income this seems possible to me, but they might feel otherwise). This leaves $25K left that you need to come up with each year. If you attend for four years, that would be $100K that you would have to borrow. (Interest on private student loans starts accruing immediately so your total at graduation would be higher.)</p>

<p>NYU says (according to their net price calculator) that you would get $25K in need based aid. They are almost certainly including federal loans in that number, so on top of the $100K you would have another $27K in federal student loans.</p>

<p>Here’s what $127K in loans looks like when you try to repay it (from the loan calculator on finaid.org):</p>

<pre><code>Loan Balance: $127,000.00
Adjusted Loan Balance: $127,000.00
Loan Interest Rate: 6.80%
Loan Fees: 0.00%
Loan Term: 10 years
Minimum Payment: $50.00

Monthly Loan Payment: $1,461.52
Number of Payments: 120

Cumulative Payments: $175,382.43
Total Interest Paid: $48,382.43
</code></pre>

<p>Note: The monthly loan payment was calculated at 119 payments of $1,461.52 plus a final payment of $1,461.55.</p>

<p>**It is estimated that you will need an annual salary of at least $175,382.40 to be able to afford to repay this loan. ** This estimate assumes that 10% of your gross monthly income will be devoted to repaying your student loans. This corresponds to a debt-to-income ratio of 0.7. If you use 15% of your gross monthly income to repay the loan, you will need an annual salary of only $116,921.60, but you may experience some financial difficulty.This corresponds to a debt-to-income ratio of 1.1. "</p>

<p>Do you seriously think you will be making that kind of money right out of school? If you do, I’ve got a bridge to sell you…</p>

<p>But all of the above doesn’t really matter, because if you go this route you aren’t going to be able to do it. Your co-signer (parents?) would have to re-qualify each year to continue getting those loans, and their incomes just aren’t going to be high enough. They may get approved the first year or two, but each time their credit ratings will take a hit. You will end up having to go somewhere cheaper to finish your degree.</p>

<p>You would be far better off starting somewhere else and then trying to transfer in later.</p>

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<p>@megmno Thank you, this is what I was looking for since somebody told me about the private loans, and my parent’s could probably contribute about 5k-10k apiece, my dad would probably pay more because he might get a part time job during the time I go to college, he did the same for my sister when he had to pay for her’s a few years ago. My mom would probably have no trouble paying around 7k, so that alone brings it down to about only around 15k or less/year. It seems possible to me, especially with my parents possibly helping out lessen the monthly cost, but even if it isn’t, I’ll still try to find a way to make it happen, I know obviously I won’t be making $116k/year right out of college, it’ll be more around $70k, depending on bonuses (If I go to NYU). That is the average first year salary for an NYU Stern undergraduate is (I think it’s 50-something thousand, plus a signing bonus, and a performance-based bonus, that averages around 20k/year for the first year.) Regardless, I commend you for finally giving me a resource, and answers on how these work.</p>