parent plus loan problems

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<p>You should be able to take your full Stafford loan for the year…$7500 if you’re a junior. You’d need to talk to NYU about your scholarship but your federal student loans would not go into repayment if you’re enrolled at least half-time…check the terms of your private student loans. </p>

<p>How much do you need to borrow for this semester? Since your mom has been denied for a Plus loan, you can request an additional $4K unsubsidized Stafford loan by contacting your FA office.</p>

<p>I won’t comment on the soundness of your decision to go so far in debt but I really have to question the wisdom of having other people, presumably much older and with other obligations and a finite number of years before retirement, cosign or take loans for you. It sounds like you’re going to end up with a patchwork of loans and payments and something is bound to slip so I would encourage you to stop and think about their futures. Make sure your mom and other cosigners understand that they may have to make those payments if (or probably, when) you’re unable to…there are plenty of well-qualified, very talented people working for far less than they had ever expected to.</p>

<p>* I can’t see myself thriving elsewhere.*</p>

<p>You may have no other choice. If your mom can’t qualify and if your aunt won’t co-sign for the next 3 FA years, what will you do? (yes, you’ll go thru this for 3 more FA years because this loan is only for spring (that’s 1), then you have next year (2), then you’ll have your 8th semester (that’s 3).</p>

<p>You have to think beyond this one semester of loans for Spring. You’ll soon be trying to arrange loans for next fall/spring. Then you’ll need loans for that last semester. Who is going to co-sign all those loans? </p>

<p>Don’t you see what you’re potentially facing? You’re already facing a situation where you won’t have the funds to continue. Even if you manage this semester, the problem keeps returning. </p>

<p>Do you realize how horrible it would be if you ended up accumulating even more debt and then had to leave NYU because you couldn’t get the loans? </p>

<p>This happens all the time. Kids go to unaffordable schools for the first year or two (borrowing their way thru) and then can’t get anymore loans. Guess what? They end up either dropping out (bad) or they end up having to transfer to some local state school where they get their degree…but they still have the big debt from their first couple of years.</p>

<p>Rockingjuice… You are getting yourself into excessive undergraduate debt. How do you plan to
PAY for grad school?</p>

<p>I’m going to be harsher than mom2. I do not think you should return to NYU. You simply do not have the money to go there. You say its your dream, but really you are setting yourself up for enormous debt. Find a school in CA where you can finish your degree. You need to attend a MUCH less expensive school.</p>

<p>Not to gang up on you, but also please understand that becoming a creative director first requires experience; not just a degree, and CERTAINLY not a degree in Art History from NYU. I am in the creative profession and own an agency. I too can snag a graphic designer among hundreds of applicants for an annual salary which wouldn’t even MEET your loan commitment in entirety.</p>

<p>I am here to tell you that the program you say you are in is not worth the price from a vocational standpoint. If you want to work in NYC, do summer internships and participate in industry training/seminars through IAB etc. Please find a portfolio-based-admit A&D BFA program elsewhere at a more reasonably priced institution and transfer.</p>

<p>Does anyone besides me think that is unconsciouable (sp, I know) for the NYU finaid people to encourage this?</p>

<p>Does anyone besides me think that is unconsciouable (sp, I know) for the NYU finaid people to encourage this?</p>

<p>I always knew that NYU gave poor aid- but the article megmo linked & the OP’s case makes it sound like a school to stay away from even if you could afford it.</p>

<p>But I thank OP for posting- it motivated me to add up D’s loans ( since a few are unsubsidized) and breathe a sigh of relief she is attending an instate public school.</p>

<p>NYU financial aid office is only doing what they are required to do. Students are legally allowed to borrow money for school, and schools certify the amount they want to borrow. Somewhere along the line, the individual has to be responsible for his own actions. As we can see from this thread, this young person will borrow the money to attend NYU regardless of the admonishments of the adults on this thread. Do you honestly believe that NYU’s finaid folks have any more pull with this student than any of us? The only way NYU could keep students from borrowing to afford the school is to stop admitting students who cannot afford the school without borrowing. That would involve collecting personal income and debt information … I don’t see that as being acceptable. </p>

<p>In the end, it is the individual who decides to borrow or not borrow. (I realize personal responsibility is not in fashion in some circles, but I still believe in it wholeheartedly)</p>

<p>Kels, I certainly beleive in personal responsibility, but I also beleive in ethical behaivor and sometimes we have to do more than the law requires or less than the law allows. That the more experienced/trained person should not take advantage of the lesser one.</p>

<p>So how do you propose a financial aid officer go about this? Should she refuse to certify the loans for this young person?</p>

<p>Do you honestly believe that NYU’s finaid folks have any more pull with this student than any of us?</p>

<p>No- and from the OPs 2009 posts- money has always been a huge concern.</p>

<p>I do know a student who had such an amazing offer of need/merit aid from NYU that she accepted it despite their reputation. Unfortunately after her sophomore year, her custodial parent died & NYU refused to make it possible for her to continue.
She had to drop, compounding her difficulties at an already difficult time.</p>

<p>Kels, I dont know. It doesnt seem like the school has addressed likely income (and did OP turn out to be an Art History major), with the student. I think the school needs to give out serious warnings – </p>

<p>OP, did NYU discuss with you likely earnings of your major, cost of living in NY etc.</p>

<p>WE ARE GIVING OUT SERIOUS WARNINGS!!! I don’t understand what miracles you expect from financial aid officers.</p>

<p>Kels, are you with NYU, becuase I am certain some schools are giving serious warnings?</p>

<p>ALL schools give serious warnings. Not all students heed them.</p>

<p>I worked at an urban, public university. We counseled students regarding debt. We had workshops, budgeting sessions, etc, etc. Some students benefitted … others either didn’t show up (despite our personal invitations and timely reminder calls to all those who borrowed) … others told us they “didn’t learn anything.” You can lead a horse to water, but you can’t make him drink.</p>

<p>Kels, I dont doubt for one minute that you are doing EXACTLY what you say are doing.</p>

<p>I wonder re OP.</p>

<p>One thing I think schools could do differently is to not include Parent PLUS loans when they send out financial aid packages. </p>

<p>Example of two hypothetical packages:
Cost of Attendance: $55,000
Grants/Scholarships: 10,000
Direct student loan: 5,500
Amount due: $39,500</p>

<p>or:
Cost of Attendance: $55,000
Grants/Scholarships: 10,000
Direct student loan: 5,500
Parent PLUS loan: 25,000
Amount due: $14,500</p>

<p>Now, most people on this forum realize that these are identical packages. The problem is that most 17 year old kids (and it seems, most of their parents) think that the second package is a much better deal.</p>

<p>Of course schools have to certify loans as required, and should provide basic information on how to get PLUS loans (and I suppose private loans) but it shouldn’t be made to seem that taking them out is the norm.</p>

<p>Note: I have no idea whether NYU practices this sort of packaging, but if I recall correctly from DS’s freshman packages a couple of years ago there were several that included PLUS loans as if the schools were doing us some sort of favor.</p>

<p>Again, I thank you all for your feedback, but I’m taking it w/ a grain of salt. I’m not worried by the amount of debt I’ll accumulate because I know that I’ll be able to pay it off.</p>

<p>Right now my concers revolve around figuring out how I can cover this semester’s financial gap. I’m going to speak w/ a representative tomorrow morning regarding my parent’s credit decision and how to appeal it. If I can’t I’ll need to find an endorser. Unless someone can recommend a provider that is more lenient when selecting borrowers then those are my only options. </p>

<p>Thank you.</p>

<p>“I know that I’ll be able to pay it off”</p>

<ol>
<li><p>There’s no way you KNOW you’ll be able to pay it off, many things are due to chance.</p></li>
<li><p>What’s your plan B, if you realize you can’t pay it off?</p></li>
</ol>

<p>It’s time to start listening to some of this great advice. These are honest people trying to help you!</p>

<p>How sad to read this thread and see OP spurning advice from experts in financial aid, personal finance, and his chosen field. It’s like watching someone walk off a cliff. Unfortunately many college students are simply too immature to be making these kinds of decisions, and it seems in this case the student does not have a responsible parent to advise him. We can only hope that he and his mother are unable to obtain any further loans so he is forced to turn to an affordable Plan B.</p>

<p>*It’s like watching someone walk off a cliff. Unfortunately many college students are simply too immature to be making these kinds of decisions, and it seems in this case the student does not have a responsible parent to advise him. *</p>

<p>Exactly…where are the adults?</p>

<p>The aunt was a fool with a pen…the mom was a fool with a pen. (borrowing the phrase from Sybbie…thanks. lol) </p>

<p>Both adults seem to think that they won’t get stuck with these loans or a credit ding…when it’s very likely that this student will not be able to make the payments.</p>

<p>It actually would be a blessing if this student can’t find another naive person to co-sign more loans, but only if the student finishes her education in Calif without more debt.</p>

<p>this is just a tragedy…it’s very likely that this student will end up with huge debt from a school that she won’t be able to get a degree from…and will finish at a school that will cost a whole lot less. so, what was the point of the debt???</p>