<p>On behalf on my friend I am asking a question: My friend, got his final financial aid award. He is from Nebraska and will be attending University of Georgia. After scholarships and financial aid it shows that he will have to take out 28k in loans for the 4 years. So he will be 28 k in debt after college and will have 9 months to pay it back before interest starts kicking in. The loans were institutional loans. Of this 28 k his dad said he will pay 10 k of it the day after he graduates. He will have about 18k to pay back. Is this 18k worth it for University of Georgia (school he is currently in love with) vs a full ride to University of Nebraska? Any opinion would be appreciated. Thanks!</p>
<p>My opinion? No, I don’t think it’s worthe$28K more to go to UGA unless there is some hot program that is there that cannot be gotten at UN. But if that’s what a student wants, I think it is an affordable proposition. My kid is going to an OOS school that about double what an instate public would have cost, so yes, I understand the reasons. The amount is not an overly onerous loan amount and he’ll be in good company.</p>
<p>I will tell you that it is a blessing to my older kids not to have loans on their heads now that they are out of college. It’s been a rough go for them even so. And my son that is at the OOS public now has a better grasp of the fact that he and we are paying a lot for what he wanted. He took out a small ($3500) loan last year and trying to pay it back, and is horrified at how the 7% interest ballons this loan. It’s been tough to eradicate. </p>
<p>Also a good friend of mine with the same choice as your friend, elected to stay at OSU over UGA after doing the numbers though the idea of living Ohio was enticing. Yes , she is thankful of that choice now as teacher who is stretched budgetarily even without student loans.</p>
<p>Well he is going there for Public Affairs where UGA is ranked Top 10 vs Nebraska’s no ranking lol. Also, he is positive if he gets a job after college, he can pay the 18k back before the 9 months. His uncle has agreed to employ him if he cant find a job after college. Now with that job he can pay the 18k back. The reason he wants to go to Georgia is because he loves the South and doesn’t want to live in Nebraska no more. He really enjoys the south especially with the weather everything. I visited the Georgia campus with him and I remember that he really loved the campus.</p>
<p>BUMP lol!!!</p>
<p>Arbitrary “rankings” are virtually meaningless for undergrad.</p>
<p>Are there grade restrictions on the scholarships? Occasionally you see ones that require something like 3.5 for renewal, which is a bit risky. 3.0 is fine.</p>
<p>He knows that financial aid is applied for every year? If he is getting some kind of federal grants, then if family income increases or some other circumstances improve, he could have those grants reduced and be expected to pay more. Just something to be aware of.</p>
<p>My daughter also wanted to get away from the cold northern winters and has chosen a school in a warm climate. She had other more important reasons also, of course, but that did play a role in decision. I can understand that.</p>
<p>We are very debt averse, so any loans sounds like too much to me, but on the scale of loans kids are taking out these days it doesn’t sound that onerous, as long as they are clearly understanding the financial package so that that is the actual upper bound on the debt.</p>
<p>My two brothers both left the north to attend UGA. My dad lived in GA and they established residency by completing HS there, so cheap. Both live in Atlanta area to this day.They loved the school. Athens is a super nice college town.</p>
<p>I can understand why someone prefers one school over another. Atmosphere, location, going away are all factors. But believe me, the difference in rep for his field is not likely to make one iota of difference. And I wish him luck in paying back $18K in 9 months I’m not as able and neither is my son who is struggling to get that small loan paid off and has learned first hand that it is not so easy. </p>
<p>It seems to me that he’s made up his mind anyways, so why even ask here? There are many intangibles that make a college preferable to another though another might pick the other school. If he’s willing to pay the difference in price, that’s his decision. And, yes, I can understand it. My kids, nor I, went to the least expensive choice.</p>
<p>Well his scholarships were awarded by the city due to his HS accomplishment so they will not be taken away. As for his FinAid, he is aware but he is optimistic that it won’t chance. Yes I told him about the 18 k but apparently his uncle will give him a job or something. Not too sure.</p>
<p>I don’t think borrowing $18K for the education that he wants is at all unreasonable. </p>
<p>For a 10 year amortization at 6.8% it’s $207.14/mo $2485/yr. </p>
<p>The debt shouldn’t be crippling or life changing.</p>
<p>No, it’s not worth it.
18k is a lot of money, especially compared to 0.
That brings up something your friend needs to look into: Are they really going to get a free ride? Free rides are not common.
Either school will provide a fine education.
As for weather, stick it out for four years and then look for a job in the South.</p>
<p>My son out of college for year is making what is considered a very nice salary. Still a $200 a month payment would really be a crimp, and he lives in a low COL area. Here in NY, it’s really a killer. If you need a car plus public transportation, rent, utilities including internet, cable, cellphone. That’s a monkey on your back. When family can help a bit here and there, not so bad, but for those kids who have to shoulder all of their expenses on their own, plus maybe give parents/siblings a bit of help, that’s a grind. Can be the deal breaker in terms of buying a home, and making a lot of commitments. i think it’s a lot of money, and i would hesitate even at our income levels. </p>
<p>But if that’s something important to a person, yes, as long as s/he understands it. For Georgia Tech vs Nebraska, maybe, or Emory vs Nebraska, certainly Harvard vs Nebraska. But it’s all personal preference that one is paying for when it comes to UGA vs Nebraska.</p>
<p>UNL gives full tuition plus $2K/yr plus a book scholarship to NMF. If he were to be in Raikes CS/Mgmt, they have a competitive rm/bd scholarship. So it is possible to get a full ride there that way, or if you are from Lincoln and live at home, the NMF scholarship pays for most everything. Sounds like there may be some kind of outside scholarships involved? Renewable?</p>
<p>He told me its a mixture of FinAid, school scholarships, and an organization linked with UNL that hes a member of.</p>