So my daughter got into Marshall as a Spring '24 junior transfer student, and also UCSB (econ major but will change to communications as she just realized she has no interest in econ, just Business).
Issue is we’re a middle class family and will need to pay full tuition, so after parental contribution, we anticipate she will graduate from USC $60k in debt, or UCSB with no debt and even have $40k in savings from her parents.
I highly suggested UCSB to her only because of the cost, but she’s choosing USC. Marshall and the alumni network is definitely better for her career (we live 25 min away and she’ll live in LA afterwards) but I just don’t think an undergraduate degree from USC (or even an IVY) is $100k better vs UCSB, so wanted to get some feedback from USC students/families on which they would choose.
To me, there would be absolutely no contest. UCSB. Given the financials, not even a question to me. And the UCs have an extensive alumni network, if that really is her main argument. But no college is worth that kind of debt, not when you have an excellent low or no cost alternative.
To me $60,000 in debt for a bachelor’s degree is a big NO. I just would not let my children take on this much debt. This will significantly constrain what your daughter can do after graduating.
One daughter was frustrated by my “no debt” policy. This did constrain where she could attend (for example both BU and NEU were just not affordable, USC probably would have been in the same situation if she had applied). After graduating with her bachelor’s degree she was offered a dream job that she absolutely loved. However, this job paid badly (they could pay badly because it was that attractive as a job). She could only take the job because she had graduated with no debt. She did take the job and loved it. Perhaps just as important this job led to a second job, which set her up very well with experience that she needed for the graduate program where she is half way through right now (she is on break for the summer, and is doing related work). She did after graduating with her bachelor’s thank me for not letting her take on any debt.
Our other daughter was just as enthusiastic as I was about avoiding debt. She did not apply to a school that she liked that would have required debt, and instead only applied to schools that would be affordable. She attended a great university, had some great research experience, graduated with no debt, and graduated with some money in the bank from internships and a research project (she was paid one summer to continue her research, and also earned academic credit at the same time and collected the material for her honor’s thesis). This meant that she could afford to travel a bit before starting work, which she also enjoyed quite a bit and which provided a good experience for her.
I agree entirely.
$60,000 in debt for an MD would be an entirely different issue, but that is not what we are talking about. For a bachelor’s degree I would not do it.
Hmmmm - heck no on USC - and there’s lots of great b schools that will get her just as good a job - I don’t know her desire but a big name alone doesn’t get you the job and few fields will stand out for bigger pay.
But your SDSU, U of Arizona, Arizona States, UCR and UCI have business - if they’re saving the $60K, I’d apply again - and start over.
But USC is a big no.
btw - depending on what you want to do in business - you don’t necessarily need a business degree.
And getting to a location from anywhere - not really a problem today - with so much hiring on zoom - so if she wants LA, she’ll apply to LA jobs.
But communication often sets you in a hole too - so I’m not sure I’d go that route.
Putting a stranglehold around your neck - never a good option.
UCSB is a great school and I’d go with that in a heartbeat. Unlike some others I don’t think some debt is the end of the world - even for undergraduate- however $60k is too much and not worth it considering that UCSB is so highly rated itself. To me USC isn’t worth the premium.
If YOU could afford to take on the $60k debt, it might be ok. But I wouldn’t want my kid to take on that much debt.
I think young people sometimes have no concept of the reality of debt. Right now, she has stars in her eyes. When she realizes how long it takes to pay that money back, she might not.
Agree with Lindgraf. If the loans woudl not hurt your retirement, then maybe, but I would only go that route for a major with solid job prospects, such as Engineering or perhaps Accounting (Marshall). Comm majors are a dime-a-dozen, and no way I’d pay that kinda money for a major with not-so-good job prospects with a Recession possibly looming.
Well, her parents will provide $100k for her education and anticipate USC will cost $160k (UCSB ‘only’ $60k) for 2 years which is why I listed $60k debt for USC. That is a pretty generous contribution I feel - she will have to take on this debt on her own.
Will she be able to get $60k in loans without being cosigned by parents?
She can’t get the loans thank god - and is she full pay - because if she’s on or off campus, the COA is $90,291 - and that’s likely understated - and that’s without inflation.
$80K is the COA if you live at home.
The feds know debt is bad and they limit to $27K.
Loans mean higher costs…because you pay interest.
Loans - yes, schools want you to take loans. Schools market how great you are.
There’s no outcome at USC, short of maybe consulting or I-Banking if the student is interested, that is worth attending Marshall for vs. any other UC b school or lower cost out of state B School.
They’ll all get you to the same job and likely same salary.
Not sure why the student gets to decide which college to attend. This needs to be a family decision with parental input and financials as important factors – especially given that the parents will need to co-sign for a very significant loan.
Also, will the student transfer out of Marshall at USC? Has the student researched the chances to transfer schools/majors at both options?
And IMO yes the student will regret attending USC and taking out huge loans. Having this debt (and the loan payments) will handcuff the student’s decisions for years and years post-graduation.
Well, the decision was hers because I previously thought they would be the one responsible for the debt. Didn’t realize the parent had to co-sign the loans.
I would jump on the excellent affordable option in hand.
As a parent I would never co-sign a $60k loan (probably higher as costs keep increasing) for my child for college that he/she would be expected to repay.
For every kid you read about who graduates from USC with a 150K job, there’s a kid patching together three part-time gig jobs writing articles for a website, doing social media for a cosmetics company, and tutoring middle school kids in English composition. And the kid is thrilled to clear $45K, with no health insurance or retirement plan.
I’ve laid out our financial contributions, as well as restrictions multiple times in last year so she understands where her parents are coming from.
Just like you, I wouldn’t co-sign any student loan for my kids, especially after a $100k family contribution was provided. So that’s the new wrinkle that complicates our situation now.