<p>Justamom,</p>
<p>Sorry if you resent the holier than thou. The problems I typically see are with the kids in the middle - the ones who aren’t financially needy by the college’s IM, and the ones that can’t pay full freight. You know, the ones in the middle. </p>
<p>Case in point, a student who is told by his ED school that he is obligated to pay between $40-$50K per year - I think it is about $46k, even though his EFC came out to about $20k on FAFSA…because the CSS Profile and the IM for the school assumes the parents can afford to make up the difference. Some can. Maybe Dad can borrow from his equity in his house. Maybe he can’t. Maybe he doesn’t want to, I don’t know. (He runs a small business and may not have that much available equity.) But this one kid I am referencing comes from a family where parents are divorced, one lives in an apt, one in a house, and lives on the West Coast. Both parents together make $120K - but they aren’t together. They are in two households. There are other children to support. Mortgage/rent/etc to pay for. It is an impossibility to come up with that cash, unless it is students or parents loans. That is what I am referring to. Remember, sticker price is not the same for every kid who is attending that college. </p>
<p>Expenses vary by state and region, but even though it is not a wealthy area, rents and mortgages are high…and that is before everything else is factored in. </p>
<p>Hey, not everyone complains or tries to break their ED contract. That doesn’t mean it isn’t an absolutely agonizing problem for these kids and their families when they crunch their numbers after getting financial aid. Colleges will let kids out of their contracts, especially if given supporting documentation that the kid can’t fund it. In the meantime, they may have missed applying for colleges that may have offered them better financial aid, possible merit scholarships and more choices.</p>
<p>It is up to the kids to decide whether ED is for them. It has to be an informed decision, but when the lights of a school are in these kids eyes, it is often hard to pull them back into reality. The colleges know this. It is a good game for them. They win - they know the kid is coming. It helps their yield percentages. They will never get rid of it, if they know that most of those kids will come. They have to…they signed on the dotted line. </p>
<p>I am not saying it can’t work - but for me, in my line of work, I have seen more bad outcomes than good ones. If it has worked for you, your kids, your friends kids, your students, good for you. I am happy to hear it. That doesn’t mean it is best, overall, for students.</p>