Student loan debt at $880 billion and rising

primroselane · #1 12/22/10, 02:36 AM

The cost of a college education is rising faster than the cost of medical care and as much as three times as fast as consumer prices in general.

Americans now owe more on their student loans than they do on their credit cards

http://www.msnbc.msn.com/id/40772705...iness-cnbc_tv/

Callieslamb · #2 12/22/10, 08:32 AM

Is it the cost of college that's going up? or is it the amount people are borrowing is growing. I'd love to know the difference in the amount being borrowed and the amount tuition and fees have gone up and see which is growing faster.

Titles like this one make me feel that we are being set up to make thet case that a college education needs to be funded by the federal govt. We've seen what they've done with Primary education....really don't want to see them get their hands on colleges also.

beowoulf90 · #3 12/22/10, 09:34 AM

I also would like to add that the Banks that hold these loans are a bunch of crooks. They don't deal well with those trying to pay the loans off and always give them the run around..

Especially Wells Fargo, what a bunch of yahoos who don't know the difference a whole in the ground and their heads.. Unfortunately I can't really tell you what i think of these idiots and thieves...

primroselane · #4 12/22/10, 11:46 AM

In olden times, parents planned early in their children's lives on refinancing their homes to send kids to college. Now days, they have already refinanced the home to pay credit card balances so that they can live lives of self gratification.

Many others graduated from college based on sacrifice, saving and work alone.

Curtis B · #5 12/22/10, 02:36 PM

Quote:

Originally Posted by Callieslamb

Is it the cost of college that's going up? or is it the amount people are borrowing is growing. I'd love to know the difference in the amount being borrowed and the amount tuition and fees have gone up and see which is growing faster.

Titles like this one make me feel that we are being set up to make thet case that a college education needs to be funded by the federal govt. We've seen what they've done with Primary education....really don't want to see them get their hands on colleges also.

Four year schools (non private) here in KS are saying 13-15%. I think the average is around 8-9K per year (actual cost) for tuition and fees, not including books which run around 1500 per year. Two year schools are up, close to 3K per year not including books, but most have extra funding from the countys (note, alot of the classes you take at a 2 year will not transfer to a four year). I don't follow all states, but I do mine, so check your state, it may be different.

Callieslamb · #6 12/22/10, 04:10 PM

Quote:

Originally Posted by Curtis B

Four year schools (non private) here in KS are saying 13-15%. I think the average is around 8-9K per year (actual cost) for tuition and fees, not including books which run around 1500 per year. Two year schools are up, close to 3K per year not including books, but most have extra funding from the countys (note, alot of the classes you take at a 2 year will not transfer to a four year). I don't follow all states, but I do mine, so check your state, it may be different.

so tuition is up 15% how much is student loan borrowing up - per student?

**Roadking** · #7 12/22/10, 09:46 PM

Wife had Fannie loans...she wanted to pay them of early (10 or 15 ears ago). They said "Nope," basically, pay 50 a monthe for the next 20 years or whatever. She asked me to call them (she loves my persuasive attitude). 10 minutes later, we had the amount owed, less the early payoff discount, cut a check and sent it off. Story over, for us. Her (and my) colledge friends are still paing off their loans...STILL. I've explained it to them, but they don't get it. "They said you can't pay off early..."
"Fine, send them a check for your owed balance. If they don't end your loan, or only accept a portion, they are essentially forgiving you your debt...either way, case closed".
That was the explanation I gave the guy on the phone for my wife (then, bride to be). You could actually hear his butt pucker to his chair that someone knew this info (I was an accountant, go figure). BTW, he was a few rungs up the ladder of command.
Know your battles, and go in with the intention of winning.
Matt

SilverFlame819 · #8 12/23/10, 01:21 AM

Quote:

Originally Posted by primroselane

Americans now owe more on their student loans than they do on their credit cards

Add my name to that statistic!!

Oh, if only we could go back and get life "do-overs"!!!

Txsteader · #9 12/23/10, 07:17 AM

Quote:

Originally Posted by Callieslamb

Is it the cost of college that's going up? or is it the amount people are borrowing is growing. I'd love to know the difference in the amount being borrowed and the amount tuition and fees have gone up and see which is growing faster.

Titles like this one make me feel that we are being set up to make thet case that a college education needs to be funded by the federal govt. We've seen what they've done with Primary education....really don't want to see them get their hands on colleges also.

Remember, the federal government took over the student loan industry with the passage of the health care bill.

Isn't it odd that costs have since risen? Coincidentally, the rate of defaults on student loans has also risen.

Guess who gets to pay that bill?

Callieslamb · #10 12/23/10, 07:36 AM

Quote:

Originally Posted by Txsteader

Remember, the federal government took over the student loan industry with the passage of the health care bill.

Isn't it odd that costs have since risen? Coincidentally, the rate of defaults on student loans has also risen.

Guess who gets to pay that bill?

I had forgotten that.....but the health care bill isn't in effect yet so that can't be the reason costs have risen by the stats stated. It's a harbinger of what's to come though. Think of all the syphoning they can accomplish to make sure their buddies get money via creative book work at the expense of the tax payers.

My original point is that too many are borrowing living expenses with that tuition. It skews the numbers for the real cost of college. Often it's due to those that make the loans out - telling the kids they should get extra to help with the living expenses - just like they did with home loans also.

fishhead · #11 12/23/10, 08:13 AM

Quote:

Originally Posted by Txsteader

Remember, the federal government took over the student loan industry with the passage of the health care bill.

Isn't it odd that costs have since risen? Coincidentally, the rate of defaults on student loans has also risen.

Guess who gets to pay that bill?

College cost have been going up double digits long before the health care bill passed.

I don't know if Obama was able to get it passed or not but I read that he intended on taking the paperwork processing away from the banks. The banks were getting paid billions of OUR MONEY to process student loans but had no risk involved because the federal government (taxpayers) took all the risk.

It was another sweetheart deal for the insider banks that needed to be cut.

I just checked on a 3 credit on-line course at the local community college. $600 for 3 credits! When I graduated 20 years ago credits at a state college were less than $50.

Laura Zone 10 · #12 12/23/10, 08:17 AM

Someone HELP ME!!

How does one go to college and not walk out with a "mortgage payment" and a piece of paper that says 'you passed'??

I am NOT signing / co signing any loans (parent-plus loans). Sorry. Not happening.

Sounds like the best way to get an education is community college. Cheaper, and more flexible. But I have one child who is an athlete that will want to play his sport, in college at an NCAA level.....which means BIG BUCKS.

Are colleges like car dealers, I can walk in and haggle the price?

((My daughter went to an 'art school' for a culinary program. $475.00 a credit hour. The EXACT SAME CLASS at the local community college? $125.00 a credit hour.))

lilmizlayla · #13 12/23/10, 09:11 AM

i dont think it matters how much the debt is. this is a debt that WILL be paid..one way or the other. Death is the only way out of it. It is just like the IRS...there is no way out once you sign that paper.

i still think college is the best investment. with a degree, one can live most anywhere and survive pretty well.

glwalker · #14 12/23/10, 11:27 AM

It's possible to get a college degree without going into debt by studying independently and using credit-by-exam programs like the CLEPs. Here are a couple of links which have more information on this option:

http://testingoutofcollege.com

http://www.askdavetaylor.com/can_i_g...e_courses.html

This option needs more public attention than it gets. I also have numerous articles on the subject on my blog. (The link is in my signature.)