Another Obama bailout on the horizon.

Wait a minute....he has mentioned previously about given them "immunity" from their student loans.

Better check the fine print in the Progressive's budget, the continuing resolution, or the National Debt Ceiling Limit. We don't want another piece of legislation which "You have to pass it to find out what is in it".

"I maybe have about 100 dollars spending money a week – and spending money means gas, means food. I don’t go out to eat,” he said. "I guess I could get another job where I'm working 17, 18 hours a day."

Let's get a little less information here. Where is his money going? How much does he earn? What did he major in?

Without any of this information, his story is pointless and nothing but propaganda.

Too bad former students can't sue for a lousy education

Isn't it such a unique concept to borrow and have to pay back?

Welcome to the world of reality, students. Of course, you can always appeal to the Oblama libs to bail you out with our money.

Instead of trying to continually blame the colleges and the high tuition costs, how about we place the blame where it belongs - with the students. No one tells students to take out six figure student loans to get a liberal arts degree in a field where the average starting salary is at most $25,000/year and the average salary is at best $50,000. Education needs to be looked at as any other investment. How much is this degree going to cost me and what is the return I am going to get from that investment. Students need to start looking at taking core courses at local community colleges and then if they want they can transfer to a more prestigious and expensive school to complete their degree. The taxpayer should not get stuck footing the bill for these loans (that's who pays when people default on federal guaranteed student loans) because a person made what amounts to a poor investment decision. Also, this story does not tell you how much this person is making or what his bills are. Very often when you dig into these sob stories you find out the person has a $400/month car payment, $120/month cable TV bill, $100/month cell phone bill, etc. If you have bills to pay you do not go out and buy a $30,000-$40,000 auto, you buy a good used car for $5,000 and live with that until you pay off your debts. You do not get the cable premium movie and sports packages, you settle for basic cable. I am really getting sick of all the whining and blaming of everyone but themselves that the media is continually posting, trying to make us feel sorry for the person. It is time we started telling people to take responsibility for their own actions and stop whining and looking for handout or relief from debts you willingly took on.

I'm all for individual responsibility. However, what 18 year-old truly understands a lifetime of debt, and even with an explanation from an adult, will the message be absorbed? The reality is that these students feel they can live at the material level of their friends with the sinking hope that the debt will magically disappears. Of course, it doesn't help that students now take 5 years on average to complete what is a 4 year Bachelor's program.

At least half of the responsibility on the part of the universities, and the situation should be the same in the banking industry in which lenders handed out mortgages to unqualified borrowers. Lenders are the experts in assessing risk. If they lend money without collateral to a student entering a major with dim employment prospects, shouldn't lenders share the responsibility for this assessment mistake? Lenders with poor risk assessment performance should lose their jobs, and the banks should eat the mistakes. This would reduce the funds available for student loans, which in turn would lower prices.

Overall, the value of a college degree is its exclusivity. Today, as before, it is determined by the cost of the education.

Well said, JS in SD. College is expensive, but it is an investment. A person can make a reasonable living without a college degree, and a person can make a poor living with one. It's all about what you want to do, and being good at it. And then, when there, living within your means. I started college, and left after 3 semesters. I couldn't pass calculus, despite some genuine effort. Maybe I didn't put in enough effort, but now, I'm glad I wasn't saddled with a ton of debt. Now, I'm in better shape than some of my friends. I make about the same and have 4 years more experience. In addition, I can always use work programs to help me pay for my schooling, should I choose to go back.

JS in SD,

I sort of agree with you, but... until the last few years information on how much a degree could help or hurt wasn't exactly out there for the whole world to easily find. I do agree that they need to pay it back, but I also think schools need to charge far less and better information needs to be given. At an age well over 18, I started looking at going back to school to increase my earning ability and was shocked at the cost. There was no way I could ever make enough to pay off that much money, regardless of my chosen field and when I started looking at the number of people graduating with the same degree, projected potential employment numbers, etc. - I passed on it because it would have been lunacy. Schools should have to provide every student with an outline of total costs, estimated loan payments, possible earnings, current number of positions, projected opportunity growth, number of other graduates in the same field, etc. so they can make a more informed choice.

It's a scam COLLEGE is a scam because you can't get a job and no one hires someone in bad credit and debt it's a never ending cycle of misery i'm getting sued and everyone I know without a college degree makes more money because jobs only care about experience they don't give a @!$%# about a degree!!!!!!!!!!!!!

A person takes out student loans with the expectation of getting a job once they graduate. However many get some stupid degree in Liberal Arts or such and I don't see many possibilities looking over the want ads for such a degree.

The dirty truth about what is happening right now is the Obama Economy isn't affording these graduates opportunities for employment so they are moving back home with Mom & Dad, no income, and mountains of debt to pay. But leave it to the media to lay the blame anywhere else except at the feet of our big tax and spend President, which is where it belongs!! We can't keep sucking the private sector dry to fuel massive government and out of control spending and expect anything to improve!!

John, thats kind of the situation I was in, I had no experience but a degree. No one was hiring without any experience but I couldn't get it unless someone hired me. It was a never ending circle but I kept at it and eventually someone took a shot on me. I had to move to a different part of my state but now I have a degree and experience which is worth alot more than just experience. You just have to keep at it. My dad also insisted that I not get a degree in underwater basket weaving, he harped on it since I was probably in Middle School. It sinks in if you keep after your kids about it.

Student loans are a scam. Education is a scam. With that degree, you now know one thing. Back in the day, you learned many things while in school. Degree's are too focused on one single major and not more broadly used in a wider degree of fields when working.

Go take one class, make is something that is very important in a certain field. If you are not in that field, they will tell you that you can take it, if it isn't filled by students in that particular field. Why is my money less important than someone else spending 50k instead of 5k?

Come hell or high water, I am paying back my student loans. I overpaid each month for my undergraduate degree, and my Master's is no exception. I was waiting for a call back from Starbuck's when I got the call that I had a part time library position on the lowest rung. I would have loved to step right into the librarian position that my MLIS prepared me for, but them's the breaks.

It turned out that my low-rung position afforded me reference service opportunities anyway, being that there were only three of us and had to work as a team. Outside of work, I volunteered at museums and historical societies. I continued to learn new software and my library's LIS and database systems. Then I got promoted twice, and was published in scholarly journals five times in one year. That opened up other opportunities, including heading a genetics curriculum program, grant writing, and consulting.

Education is what you make of it. I may never be a full time librarian or archivist, or enjoy the predictability that such positions offered in the past. So be it. There will always be patrons out there with needs, increasingly digital needs: preparing resumes, applying for jobs or unemployment benefits online, doing online homework, etc. That's what being a librarian is all about: helping people find good information - in book, electronic, or whatever form - that they need.

I'm actually resigning from one of my jobs and will take the time to assess my life. I want to work on my writing projects, plus I have new ideas - one of them being a traveling "computermobile" that is a computer lab version of the bookmobile of years past. I would love to organize more "star parties" (an event with telescopes and public speakers on astronomy, which I held a few years ago) and perhaps get into tutoring. I would also love to visit schools and talk about what being a librarian and an archivist means today.

When you anguish about the kind of career you think you deserve, life seem unfair and complicated. When you think about what your education taught you about your profession's principles and ethics, and its mandate to help others, life becomes very simple, and possibilities open up.

Rickintheforest...really, dbag? You get exactly what you put into it. If you didn't apply yourself in college do not blame the university.

Maybe, like the homeowners who could not afford the mortgages that they were seeking, students should not incur the debt that they cannot afford to pay back. Yeah, maybe community college while you're working is the way, not biting off a huge chunk of debt so you can party with your friends instead of going to class.

Also, how about doing a little litmus test: student applies for loan, says he wants to major in history...denied...no jobs that will allow him to pay back the loan. Next: student applies for loan...says he wants to major in ancient languages...denied...african american studies....denied...

Let's get these kids valuable degrees if they require a loan to pay for them. Let mommy and daddy pay for degrees in art history and philosophy.

Scam? Ripoff? What's a rip off are all these students who took out those loans willingly, then didn't plan for their repayment! 18 is considered age of majority, which means you're responsible for your debts, your crimes and yourself. Grow JeanValJean and alan_static! If a student makes these loans, they need to pay these loans! No one put a gun to their head and made them go into debt. I tell my legislators not to forgive or bailout these debts! You all made your bed, now lie in it.

The system is broken for the middle class college bound. Big business, banks, etc. can borrow money at little or no interest rate. The federal loans are at 8+% interest. What is up with that? Why can't our government at least borrow these kids money at a rate they borrow to the big dogs? I don't get it. Our education system touts all over the place, educating tomorrow's leaders. How can that happen when they are bankrupting those who don't have the cash for an education? The poor get grants, those with adequate resources do not have to pay the interest rates. The middle class takes another hit on the chin or is it a kick somewhere else. You may be wondering, what I base my comments on? Two children in college facing these wonderful governmet loans to pay off with the interest rate that is highway robbery. I am not looking for a handout, just looking for a level playing field.

My personal opinion is that it is a catch 22 situation...the norm used to be a high school diploma, which was earned in public school at no external cost to students/parents and then students were turned out into the work force, with those choosing to continue to college gaining faster acceptance to higher paying jobs, but those that worked their way up, still having a shot at higher paying positions over time. Now it seems that the new norm is having at the very least, an Associate's Degree and optimally a Bachelor's. These degrees must be earned at great personal cost, because no matter the college/university...the costs are rising out of control. It is like indentured servitude. There is no way out of the debt. We tell our students that college affords them the opportunity to study what they love and eventually find a job that they love...but from all the comments above...what they really have to do is study and obtain a degree that will get them a job that pays well...here's a news flash...we can't all be doctors and lawyers! Who will build our buildings, fix our cars, push the paper, take out the trash? Someone must be willing to do these jobs! We are seriously misleading our youth. College isn't for everyone, and we need to stop spreading the word that it is. We need to stop requiring a college degree to even look at someone's resume. Let's get back to the way it was, when someone got out of high school and got a job...learned a skill through experience, and if they are so inclined and their parents/they can afford it, then they go to college.

They promised you an education for money. It's your fault if you didn't learn anything while sucking on a bong and drinking beer from the breast of a co-ed, now pay up maybe if you dead beats payed your money the cost of education for those who real would use it would not be so high. They did not promise you anything else, that was you own false hope for an after life. A time of wasted chance.

@nodakota - the loan rate is that high because of the risk associated with the loan itself (ref. this story).

This kid can't afford to pay back his loan, eh? SHOULDN'T HAVE GONE TO GW! There are a dozen campuses cheaper in the northern Va/DC/Md metro area. Does he mean to tell us that it's unfair for him to be expected to pay back a debt he agreed and signed in to?

Lastly, there is a reason a college education costs more; demand. There are more people attempting to go to college now more than ever. At one time a degree separated you from the competition. Now, it's just a piece of paper. Competition will have a masters, JD, and/or some other post graduated education. It make may suck for all us involved, but that is life.

If you borrow money to go to school and you sign papers saying that you are going to pay that money back and you don't, then you should be sued. Maybe you shouldn't have majored in History of Film, expecting to get a high paying job upon graduation. Maybe you should have enlisted in the military and used your GI Bill to go to school.

Amnesty by definition usually relates to a political crime. Look to the home foreclosure impact on America for just how great defaulting on the repayment of student loan debt will fare.

Cannot feel sorry for this kid. He went to George Washington Univ, which is a very expensive private school. If he wasn't top drawer enough to get the big merit scholarships, or financial aid if he was needy, or if he wasn't needy and his parents did not have the means to contribute more, he should have picked a less expensive state school. It's been written to death that you should not take out more in student loans than what your starting salary will be.

@JeanValjean - STHU, and quit whining and expecting taxpayers to bail you out. If you foolishly borrowed too much, it's YOUR problem. Figure it out. So tired of the "entitled" attitude people like you have. AMNESTY ! Why don't you look up the meaning of the word for crying out loud.

What did he think was going to happen to those loans? They were just going to magically take care of themselves? Pay attention. Don't rack up 6 figures in student loans for a teaching degree. You will never be able to pay back the loan. There ARE cheaper ways to get a degree...State colleges, junior colleges. The nerve of these kids to go on to exepensive private colleges on loans and then whine that they have no money..this is the generation of "trophies for everybody" no need to earn it.

These people go to these expensive colleges. Then cry about paying it back. Should of went to a cheaper school. All these poor young people. They want everything free. Free college, birth control so they can have all the sex they want, free food, free health, insurance free housing, free babysitting, free preschool. Free free free. I paid back every loan I ever had. Pay one off one got another. Finally raised 4 children. Put those who wanted in college. Worked 2 jobs for 40 years. Averaged 80 hours a week for pay. Traveled out of town hundreds of miles most of my career with no pay.

The university here is only pursuing the $4000 he took out that were the need-based federal Perkins loans. He ought to be able to prioritize his debt and at least pay that off first. The other $60,000.00 (!) he borrowed is likely a combination of many different types of loans, some or most likely private ones.

As another poster said, it would have been nice if the lazy MSN writer had bothered to ask and tell us what his major was, and if he is now working in his field, and how much he is making, and what his current living expenses are, etc. But I guess that is too much to ask from MSN.....not exactly your source for solid journalism.

CoRavensFan - Agreed. Yet the federal government choses - against 2 to 1 opposition by Americans (ABC poll) - to cut the military (guaranteed veterans educational benefits) instead of bureaucratic waste. Foreign aid, illegal immigrant education continue to be subsidized.

Student loans are a two fold problem. If you lessened the cost of going to school, as should be done asap, then you'll also lessen the loans needed to be taken out.

Additionally you should have to submit a plan of education to get loans which also details your intent to get a job after graduation and how your degree will assist in that goal. If you want to take a loan subsidized by the government, to go to college don't they have some right in understanding how you'll be able to pay them back afterwards?

You should begin to think about how you are going to pay back your loans the minute you think about borrowing.

The American people invested in me via their tax dollars so that I could get an education. Not only do I owe them and all U.S. citizens that money paid back plus interest, I owe them my gratitude and the fulfillment of my promise to protect the records that come under my archivist's magnifying glass and to help all patrons with whatever questions they have.

Master's in Library and Information Science: $35,000

Present salary: >$30,000 (I'm working on that.) ;-)

Helping a man turn his 30-year-old hard copy poetry into a Word document, a woman who is deaf email her resume, a man upload photos of his grandchildren to Facebook for the first time, a woman find a book that she read in childhood when she can only remember the cover image, and a mother with three kids find shelter for the night: GOLD.

justicenonexistent,

At an age well over 18, I started looking at going back to school to increase my earning ability and was shocked at the cost. There was no way I could ever make enough to pay off that much money, regardless of my chosen field and when I started looking at the number of people graduating with the same degree, projected potential employment numbers, etc. - I passed on it because it would have been lunacy.

You just invalidated your own position with regard to colleges providing information. You investigated, evaluated, and, subsequently, made a decision that it would not be economically feasible for you. Is this a testimonial your well grounded business sense and logic, or an indictment of those choosing to blindly go into debt "hoping" for a bailout later?

amcpike,

Now it seems that the new norm is having at the very least, an Associate's Degree and optimally a Bachelor's.

There is a reason for that, and although I do not believe that it is this simple, employers have learned-the hard way-that "graduation from high school with their social passing philosophy and subsequent guaranteed acceptance a college" no longer ensures that the person applying for the job can read, write, or do 'rithmetic

alan_static,

Maybe the institutions shouldn't lend someone so much money to someone who may make so little money.

Couldn't agree more. However, I can only imagine the PC uproar that would result for not giving every little Johnny or Jane a student loan for a degree in "finger painting" or whatever!

No Dakota#1.17, A big part of that high interest rate is due to the high default rate. Welcome to the club of those paying for others mistakes. Remember, students are receiving an unsecured loan, no collateral, just a promise to pay yet no guarantee that the promise will be kept. A program that most if not all banks have is loaning money on your CDs. I've used it on 2 motorcycles,3 computers and a car. The interest rate on the loan is 2% above the CD, which nowadays would amount to about 31/2%. It gives you a lot of flexibility, and with a part time job and some discipline, would go a long way towards a degree without a lifetime of debt. Once the loan is paid off, you get your CD back plus whatever interest has accrued, or pay off the loan midway by cashing in the CD at a maturity date and keeping the balance after the loan payoff. Another nice thing about it is it doesn't even go before a loan board. It's no risk for the bank, they're holding the CD (your or your parents money). Every time I did it, I applied one day and the funds were deposited the next.

OK, so these schools decide to sue the former students, who can't pay the student loans.

THUS, they end up with a judgement that the student can't pay.

Granted, there are some people who just decide to not pay, but the reality is if the schools would be more proactive about students getting jobs that pay enough to live AND pay off the student loans there would be no issue.

Maybe the institutions shouldn't lend someone so much money to someone who may make so little money. In most cases when someone has too much debt, bankruptcy is a way out. Except for our education system of course, the schools and lenders managed a nice exeption for themselves, college debt is not dismissible under just about any circumstance.

Just another way of keeping the population under control.

Alan: I think they will start to restrict loans. The Universities could get counter-sued. Taking in millions of students every year knowing there are no jobs for that many grads, therefore knowing the loans cannot be paid back is a responsibility the Universities assume for themselves. True, the students are supposed to have some smarts. A little job research should be required as an admission or course requirement. Borrowing $100k for for a degree program ought not be granted unless that student demonstrates a practical plan for paying it back. If the Universities cannot get into the business of postgraduate life possibilities, they'll need to cut down on their student numbers to a level thay can manage. Our economy is way passed the days when anybody can study anything and just tell the lenders "see ya, wouldn't wanna be ya ". A class action lawsuit of students may wake them up.

And just maybe people shouldn't take money they know they can't pay back.

Isn't it ultimately the responsibility of the individual asking to borrow the money to know what he or she can/can't afford?

NOPE - we don't take responsibility for any of our free-choice actions - its always somebody else's fault.

Lisa i think you are way off base and completely out of touch. we are told from day one of school we have to go to college to excell. higher education in this country is a joke; can't buy used books cause they want you to have the new edition which compared to the previous version is the exact same thing, and then you can't sell them back for anything hardly. i went to the same school as my older brother, same program, i attest i had it a bit easier because i landed a paid internship and i only took what loans i needed and yet some how i have accumulated almost three times the debt my older brother has in just ten years difference. and now my little brother who has been excepted into the same school and program and even a partial scholarship, his estimated debt afterwards is still going to be more than mine...now how is that? same curriculum with less of a chance to actually land a career. i'm not struggling by any means but the median income for my background has almost been slashed in half over the last seven years. you wanna know what really chaps my ass? i am now told by my academic peers that in order to stay relevant i need to pursue my doctorate. more debt? they can suck a fat one. no other country comes close to the costs of higher education than the US and the benefits of actually obtaining a degree are quickly dwindling

Sent from my iPhone

The responsbility for a loan is on the loaner and the receiver. If a bank gives $1 million to a 5 year old, how much can the bank expect back? Maybe put the kid into slavery for the rest of its life?

Aric, so you chose a career where you knew you were not going to get paid for the degree you picked and think you shouldn't have to pay for YOUR loans? And your brother is going to follow in your footsteps.....hmmm. There are other ways to get an education or training to get a job without taking on a debt you think you can never pay back. And you if think the education here sucks so bad, why did you go? Regardless, you did so quit bitching about having to pay for the education you got.

Alan, quit being a drama queen and comparing an 18 year to a 5 year old.

When I got my Broadcast Television Operations with
Computer Graphics Option diploma in 1993, school
was CHEAP, only $5,000 a year in tuition plus $3500
a year for living in residence so $17,000 which was
well worth it because I have squeezed every penny
out of that education which I have used EVERY DAY
within the high technology/aerospace sector.

The SAME PROGRAM today is now almost $15,000 a year
and residence is now almost $7000 a year or $44,000 for
two years AND if you take the four year program you're
looking at almost $90,000 and other living costs are EXTRA!

Education is now BIG BUSINESS and costs ARE
now completely out of control! I feel sorry for
today's young people, where at your 21st birthday,
you're getting a bill for $90,000+

SUCKS TO BE THEM!

Lisa, i don't have a problem paying back my loans. when i chose my educational path the economy was 'fine and dandy' i graduated fall of 2007, spring 2008 the economy took a crap. i went to college because as i grew up the adults in my life enforced in my mind that unless i wanted to be a loser flipping burgers i needed a college degree. once i graduated highschool i had barely any world knowledge let alone other countries education institutions. why should i though? once again enforced begining at a young age 'America is the best' 'nothing better than an american higher education.' i am not "bitching" about my situation, because i honestly have it under control. yeah, so...it will take me 40 years to pay back my loans instead of 20. no, what i am voicing is these same promises and expectaions are pushed upon all our youth. i was lucky to have parents that taught me financial responsibilty, most youths today have no concept. we push them into the 'real' world, intice them with 'easy money' with false promises that with a solid GPA and a gold embosed stamped piece of paper and everything will work out. the cost of higher education are skyrocketing and the hope for a well paying job. here's another kicker 80% of people with a degree today work in a field completely unrelated to their study.

you don't have to read the article, but look at the graph

Sent from my iPhone

The problem you guys are explaining is called "Inflation".....which if you check government statistics......we don't have any of. Yes, it's a fact gas prices are higher, grocery prices are way higher, utilities are way higher......but these things, along with the cost of education......are part of the governments inflation equation.....this way our politicians can tell us everything is fine while everybody struggles to survive.

Hey alan_static, maybe those students shouldn't take out those loans in the first place! No one forced them to do it.

Ireadyou...another big f**ing problem...lawyers and litigation. For what?

Really, the students are going to file a class action lawsuit because they applied to school, were accepted, took out a loan, promised to pay it back no matter what, couldn't find a job that supported their food, shelter, clothing, drug and alcohol habits AND allow them to pay back their loan?

Any judge should throw them outta the court. And fine the dumbass lawyers for wasting the taxpayers' money.

Idiots.

It is so interesting that people who have worthless degrees just say "I GOT MY DEGREE" bla bla bla. People who have useful degrees will always tell you what they got them in. It is these types that think you can learn "STUFF" and it will somehow magically become a job because you have been enriched yourself. Maybe they need to learn the lesson of the underwear gnomes.

I understand how lisa (#2 above) way of thinking causes her to state things the way she does. She seems to have no feelings for young students who get these loans. In all probability she has a resentment towards those who have received an education because they get the better jobs, have the higher pay, live in the better houses, are able to buy things she'd like to be able to acquire, etc. But the facts are, Lisa, being evil towards others with higher education should not be your only consideration.

alan _static -- you could always move to Russia and see what your whining getsyou. You're probably one of those people that are able to actually "WORK" but chose to sit on your backside and wait for your monthly Federal Check and Food Stamps.

Aaron -- you need to pay your student loans. You could have had the loan put on hold for a period of time (forbearance), you could have requested part of your loan be forgiven due to hardship, you could have requested your loan be restructured. You chose to take no action at all and expected the loan to vanish. It's pretty obvious College did nothing for you and was most likely a wast of time & money. Making $60,000 per/year - let's break it down - that's about $2300.00 bi-wkly, take $600 in taxes every check and that leaves you $1700 bi-wkly, take $600 monthly Student Loan ($300 every 2 wks) that leaves $1100 remaining every 2 weeks. Aaron you have at your disposal $about $2200 a month to pay rent & utilities. YOU AARON ARE A LAZY DEADBEAT FRAUD who wasn't completely truthfu in this story. Like most people expecting a free ride and others to pay your upkeep, you are a basic deadbeat. Crying poor-mouth while you are more than able to pay your own way but are basically just lazy. Get a cheaper apartment or drive an older car, you should have learned how to manage money in college and if you didn't you should have stayed at McDonald's because you didn't learn anything in College. You selected the school, you signed an agreement to pay your loans, you got your degree from the College. Now Grow-up and enter the REAL WORLD where mommy & daddy are no longer supporting you. My bet is you voted for O'Bama, both time, and now you know that was a big mistake. You did it because you thought he would pay your bills, but since O'Bama has destroyed the economy and caused massive unemployment, but instead you got screwed. But like a True O'Bama supporter you Aaron have selected to balme others for your total failure.

@JeanValjean - what a mental case you are. What makes you so sure Lisa doesn't have a college degree? Do you have ESP? LOL. You're so blinded by your bitterness that you can't see that YOU are the evil one.

Oh, and for the record, I have a BS degree too. Worked 2 jobs to pay for it while in school, and 2 afterwards so I could pay off my student loans as quickly as possible. Lived with 2 to 4 roommates all through my twenties to save money. No eating out or nightclubs, no "condo" expected after graduation with cable, no vacations other than car drives to visit family. Met a great person who thought the same way and did the same thing. We lived frugally throughout our thirties also and began to aggressively save.....including money for college for our two kids.

aric - if you spreading your student loans out over 40 years, you in fact do not "have it figured out."

Also, these bumps in the road, such as recessions, happen regularly. It's called ADVERSITY, and you best learn how to deal with it. Whining is not an acceptable coping strategy. I graduated at the height of the 1981-83 recession. It's been researched and noted that the job market back then was just as bad as now.

Oh, and dumping that i phone can enable you to put more money towards your student loans. Wonder what else you are wasting money on......

Jean Valjean -- you sound like a Social Worker. Maybe you whould like to volunteer to personally pay off some of these loans? Jean you need a reality check, you sign for a loan - you payoff that loan without expecting the tax payer to help you.

Henry Eckstein - Everything is more expensive. We owe 16 1/2 trillion in debt - the federal government spends $50,000 per minute. China is evaluating the clean coal and natural gas resources in America, along with agricultural lands in the midwest to determine whether gaining those resources for repayment of the loans our federal government has indebted us to will be enough to repay our mounting debt to them. Isn't it interesting that we have already given Russia the islands off of Alaska and now China is looking at parts of America the Beautiful as their newly acquired property? Do you think perhaps we may default on our debt? Perhaps our excuse will be that things have gotten too expensive. I believe every American should be exceptionally concerned that China may not be willing to just 'forgive' our debt. China can ready a standing army in the millions overnight. How about us?

The government should immediately stop making loans to people who have no means to pay them back.

What's so hard to understand about that? The economy is in toilet, jobs are more scarce than hen's teeth, wages are laughable... to loan money to students when over a trillion dollars is outstanding in unpaid loans is insanity.

Pay your own way, let the rosters show massive declines, and maybe the tuition fees will become more reasonable.

Not everyone with student loans majored in Russian Literature and the like. My boyfriend graduated with a bachelors degree in Computer Engineering and a minor in Computer Science in 2011 and was offered a position at a Fortune 500 company during our senior year as a software developer. Now the higher ups are saying that they plan to outsource the entire IT department overseas by the end of the year, and if they decide to keep anyone they will be contracted out so they don't have to pay for benefits. We are hoping he is able to find another job before then because we have student loans to pay in addition to other bills. My sister who is a Nuclear Medical Tech is in a worse situation. She has gone from being a full time employee to her hours being cut to 10-15 hours/week and can be laid off any day like many of her coworkers. She has been looking for another job for the past couple of months without success. Like us, she has student loans to pay in addition to paying for her own health insurance, rent, etc. When time runs out how will she continue to stay current on her $40,000 in student loans that she has been diligently paying for the past 4 years? Even with regular monthly payments the balance has barely budged since the interest compounds daily on the principal. The daily interest capitilization makes student loans for anyone very difficult to manage while trying to save for a rainy day, a down payment on a home, starting a family, etc. The vast majority of us who borrowed loans have every intention to pay it back, but may end up falling on hard times and now have extreme difficulty paying it.

Many who have started their careers in Engineering, Nursing, Science, etc. during the recession have been having a difficult time, not just liberal arts majors. Graduates with these so-called in demand majors are stuck competing with people from China, India, the Phillipines, etc. who graduated with degrees from their respective countries without student loans and are willing to work for much lower wages in the U.S. and outside. How are we suppose to compete with other countries when our citizens continue to be saddled with debt? The average student loan balance among graduates is $25,000 and will continue to grow as long as tuition continues to skyrocket (in Connecticut, going to community college for 2 years and transferring to a 4 year state university for the last 2 years will cost you almost $30,000 and that is only tuition and fees without room and board- no books, gas, car insurance, etc!). Even trade schools and certification courses are becoming expensive. The majority of the almost $1 trillion of outstanding student loans is not even in repayment status. Instead of sitting there blaming students for taking out loans, we need to address the issue and find out a way to fix it before it gets worse because it will become everyone's problem; to think otherwise is naive.

This is NOT inflation. College tuition costs have outrun inflation by a large margin....this is due to the easy access to loans given by banks and the federal government. With easy access to money, the overall demand for an education increases...and the college or university sets the price with the demand. Take the easy loans away, the demand drops, the supply increases, and the schools have to lower their prices. Believe me, the administrators are making away like bandits. Cut access to the loans, and the prices WILL drop. It's a bubble...the exact same thing happened with the housing market.

Tbone, you hit the proverbial nail on the head.

@Common Sense Mike true, inflation can account for some of the rising costs but overall the cost of higher education has increased over 1100% since 1980.

@bill0000 i never stated what my degree was in, environmental science with a minor in analytics, please tell me that is a useless degree. since junior high all you hear was that green was the way to go.

thanks to the previous administrations decision to postpone regulations that would have seen this industry flourish has now been over saturated and my job that had a median income of six figures has literally been cut down to almost half. this change happened while i was in school. i did not choose a useless degree. i chose a relevant degree that has been made practically obsolete and not in a time of decades as can happen, no, this shift happened right before my eyes.

@jac-931625 i was being facetious...the fact is it is going to take me significantly more time to pay back a loan for an education that cost me almost three times as much as my brother who took the same program just ten years earlier.

all those deferments and forbearances that people keep mentioning...yeah, i don't qualify for those because both my parents and i make too much money to qualify and i had to get a second job right after i graduated just to maintain along with a new $850 a month payment. then it took me three years to find a job that would pay me in lieu of my degree, but of course not even related to what i went to school for in the first place.

And Attorney or Politicians.....they should have to pay back double what they borrowed.

I can not believe the idiocy that is spewing from most of these comments. In most countries education is highly valued and an educated person, no matter what the field, is looked on with much respect. In the US if you try to better yourself through education you're seen as lazy or irresponsible.

Why are there so many calls to restrict higher education? Is it that those calling for restrictions on who can go to college or post-grad studies are bitter that they did not take a chance, or is it that you all just want to continue the dumbing-down of America. Wake up! Why continue punish those who have taken a chance or opportunity and who would be in the best position to help the economy grow. Yeah, let's just beat down the educated and encourage the citizenry to be as ignorant as possible. Sounds like a successful formula to me.

To those of you who don't know, of which there appear to be many, there is no particular degree that is more unemployable than any others. Those with advanced degrees are struggling to find gainful employment across the board. Investment in education is never a bad thing. Only a fool would think so, again of which there appear to be many.

By the way, working while going to school isn't an option for everyone. It wasn't for me as I had dialysis treatments to go to during undergrad studies. Should that mean that I am not eligible to earn an education. According to most of you, it would. It's not about being PC and it's not about making higher education a right. It is the mantra of this country that everyone is able to better their selves. Education has historically been seen as a way to better yourself. Shame on you for making appear otherwise. Keep yourself ignorant, not those that want to learn.

John what are you smoking. I promise you if you have most engineering degrees you can have your pick of jobs. It makes a huge difference what your degree is in. You think that just because you put your time in sitting in a chair you are entitled to a job. Sound almost like a union worker to me..but a white collar one I guess.

People with engineering degrees do not get their pick of jobs now. But the degree does make a big difference.

We are in a declining economy, and a declining society. No matter the education there are not good prospects for employment. There are many causes for this decline - and people can list their favorites. But there are no signs anywhere indicating the decline is slowing or stopping. This is why it's time for the Universities to start taking responsibility for the loans they make. The students, even the ones picking smart programs and with pure intentions to pay back are in no position to guarantee good results anymore. Universities need to get in the business of "owning" the loans. Banks have to be smart who they lend to. Universities have to start that now. Fewer students being admitted, stronger admission standards geared toward picking Stus more likely to graduate, curricula with higher probability to provide payback are what they have to do. Of course not lending is an option. If a stu wants Russian art history, or Uzbek language arts, OK, but the U doesn't have to lend them any money because it's a bad bet. Either failure to repay is a problem or it isn't. IF it's a problem, then changes have to be made. Simply continuing to give out cash and crying when it's not returned is stupid. Let's fix the stupid.

I can see the point of it not being able to be discharged. If you could discharge student loan debt then everyone would file bankruptcy after they graduated.

It's not the schools, banks or lender's fault that his education is not paying off. He still has a responsiblity to pay it.

I agree, but it takes two to have a loan; a borrower and a lender Nobody is forcing you to lend. Be careful who you lend to.

If someone loans an 18 year old $20,000 a year how responsible is that? The banks and schools take a risk.

No they don't take a risk. They will get their money.

So if I make a car loan to someone I may not get paid back that's OK because I know the risks. But for the colleges, no we have to make an exemption for them, and they will always be paid back by force of our federal government.

Yep, that about sums it up. Any other debt you can chump on not education.

if i remember correctly, schools don't hand out student loans. the schools have nothing to do with borrowed money except for the fact that tuition is ridiculously high.

Schools help you fill out the FAFSA (whatever it's called) and they help you obtain student loans (why wouldn't they, that money is going into their coffers).

Also a sign of the real economy we aren't hearing about....even graduates from top-tier schools can't find a job when they graduate.

I am not so sure. Not every Ivy-league grad is motivated. Most are and they do get the top jobs--many for good reason, most because of where they went to school.

The reason there are no jobs is because for the last 2 decades our well paying manufacturing jobs have gone to China and Mexico. Look at all the money Apple made it's shareholders at the American workers expense.

And why did corporations leave? The corporate tax rate for American business is now the highest in the world. Want a job? Force a bipartisan Congress to lower the tax rate from 40% to 10% and watch the unemployment rate drop to 3%.

Force a bipartisan Congress to lower the tax rate from 40% to 10% and watch the unemployment rate stay around 6% while corporations rake in even more obscene profits.

Fixed that for you. I'm tired of hearing this talking point about taxes and "job creators" when all empirical evidence points to the contrary. Lower taxes doesn't mean more jobs, it means more companies hoarding larger sums of money, CEOs getting even larger bonuses for the same amount of work, and failed executives getting even larger golden parachutes. Meanwhile, the party that proposes these very tax cuts is also the party most amenable to corporate outsourcing out of country so companies will still ship jobs to countries where they can pay slave wages.

Trickle down economics was a failure in the 1980's and it will not magically create jobs or strengthen the middle class, no matter how much you repeat the lie.

That would make too much sense.

Then only the rich would go. One more reason to have a banana republic economy. Bad debt expense is a cost doing business. Be careful who you loan. It take two have a bad loan. A borrower and and lender.

That would mean the poor wouldn't be able to go to college.... aka discrimination. Can't have that. Not in this f'd up PC world we live in.

Not only would that severely restrict who can get into colleges, it would also drive the cost much higher. Very few people in their teens can afford to pay the ridiculous tuition colleges charge these days, and the greed of today's profit-obsessed colleges knows no bounds.

gday67

That would mean the poor wouldn't be able to go to college.... aka discrimination. Can't have that. Not in this f'd up PC world we live in.

If it's sarc, LOL, and good point! If it was a complaint, that has been the case for all of society throughout history - you don't get it, if you can't pay for it - no matter what "it" is. Besides, if you earn it, it is more valuable than if it was "given" to you.

The loans are the reason why college is becoming so expensive.

@alan: My theory, too! Same with skyrocketing medical costs. So long as a 3rd party (lender, insurance co, govt) is more than happy to write the checks, the consumer has NO incentive to shop wisely....for tuition, for health care, etc. If you don't have the sense you've got some skin in the game, you're not going to question rising costs, foolish expenditures, billing errors, questionable practices. We MUST find a way for Americans to write their own checks as much as possible (HSA's are a good example).

gday67

It's not about PC. The only way I could go college and grad school in the 70's was with federal grants and loans. Today, I am in the 1% and retired early. I pay more in federal taxes each year even in retirement than I borrowed for all of 6 years of school. That is why you make education available/affordable. I think society's investment in me paid off. But, if you want opportunity available just for the inheriting rich (like my son) and well connected, then you are on your way. My immediate concern with society's well being is slowly ending. This is how a country becomes a banana republic. I guess I better start thinking about that armored car.

To hold the position that 'greed' is what drives schools and businesses, what determines that? They can only charge what people will pay. Profit is not crime. It is a product or service for sale. If you cannot buy it, for you it is too high. If you can buy it, the price is right. If it is cheap, you may not want it at all.

They can only charge what people will pay. Alim, and therein lies the problem. With the easy to obtain loans, they will pay whatever is required, and if classes are constantly full, why in the world would/should the schools lower fees. Students are in effect a commodity, and the schools will charge whatever the traffic will bear.

This was a federal loan program, not a commercial bank loan.

My question is why is a university lending money? Their job is to educate people, not lend money.

I believe they are administering a federal loan program. Check with your representatives in Washington DC as to why they have these programs.

If it's a federal loan program then why isn't the federal government going after him?

gday67,

Boeing loans money to airlines to buy their airplanes. Chevy will lease you a car. GE will finance wind turbines. Why? To sell product. That is why schools loan money. If only those that could afford to go to college went, most colleges, and many supposed good ones would go out of business.

Peter17,

This is why the Feds have these programs.

The only way I could go college and grad school in the 70's was with federal grants and loans. Today, I am in the 1% and retired early. I pay more in federal taxes each year even in retirement than I borrowed for all of 6 years of school. That is why you make education available/affordable. I think society's investment in me paid off. But, if you want opportunity available just for the inheriting rich (like my son) and well connected, then you are on your way. My immediate concern with society's well being is slowly ending. This is how a country becomes a banana republic. I guess I better start thinking about that armored car.

When I got these loans, they are callled National Student Defense Loans. It appears that back then the idea was part of a strong defense (against communism, I guess) was to have a well educated workforce. I guess we don't need smart young people anymore to defend ourselves. We just need "cannon fodder".

As much as they charge for tuition they should be able to let some people off the hook. They will put themselves out of business soon enough the way they keep raising tuition rates. Then again, with the dumbed down American people now days, they would probably still take out loans to pay for it.

That is definitely a big part of the problem. Perhaps if they were to limit the loan available to a percentage of what the career is expected to pay the student wouldn't go so far into debt.

The problem is #1....these colleges and universities are ridiculously overpriced. #2....many of the private colleges want FEDERAL money/grants so their financial aid offices approve ANYONE, regardless of their ability to pay back the money. #3.... most parents and students have no idea that taking out a student loan isn't like getting a loan for car, for example. You know...you borrow $20k and you may pay about $5-6K back in interest during the life of the loan ( 5-6 yrs) and so you've paid $25-$26k. Do you realize that while the student is in school and that loan is being deferred for payment until after graduation that by then the original amount has almost TRIPLED or more ? They don't realize that a student loan is like taking out a MORTGAGE. They don't realize that even though they only borrowed, say $60k that in the end that $60K is going to become closer to $200K+ with all the compounded interest.

That's ridiculous. Student loans should be INTEREST FREE or they should be SIMPLE interest like a car loan .... not COMPOUND interest like a mortgage. We need to go back to FREE STATE UNIVERSITIES like it used to be when I went to college.

Actually.....I think going to college today is a waste of time and money. I encourage kids to find a SKILL/TALENT where they don't have to rely on being employed by someone else.... designer, graphic artist, chef, electrician, plumber, realtor, etc. Vo-Tech colleges, online courses, apprenticeships are more economically feasible. These professions all make decent money and sure you can work for someone but it's just as easy to be self-employed and self-reliant. Someone with a real SKILL can almost always find employment.

My mortgage amortizes - there is no compound interest. Make your payments on time = interest on outstanding principal is paid monthly, then the remainder of the payment reduces principal. No interest added to principle (not a compounding loan).

The schools are suing because they need more money for new stadiums and other on-campus frivolities. You can be assured that none of the money recovered goes into actual education.

Haha! This article is odd. When a student gets approved for a SL, the money goes directly to the school, anything extra goes back to the student...at least that's how it was done with I was in school. Has something changed since 2005???

When students borrow Federal Perkins Loan monies, they pay back the school directly. The federal government awards the school the money, the school loans it, and the graduate pays the school back. This loan has traditionally been a self-funding one, meaning, as graduates pay back their loans, it generates more funds for future students at that school, hence when students default everyone loses. This loan has a 9 month grace period, subsidized interest while the student is in school and during the grace period, and a 5% fixed rate of interest for the life of the loan. Schools really get hurt when graduates do not pay back their loans. When the accreditation team visits the percentage of graduates in default on their student loans is held against the institution and if a default rate hits too high a school could lose its ability to award federal aid in the future (this includes grants and loans).

I started my career in higher education in the financial aid office-- I think everyone who ever works in higher education as an administrator or faculty member should have to spend time in the aid office. It is a very sobering experience. We are told from day one to tell parents and students to "borrow conservatively" and having had a decent amount of student loans myself (that I am still paying back) I was even more conservative with my parents and students and forced them (in a very kind and diplomatic way) to think about what their child(ren) are going to major in vs how much they are willing to borrow for school and then to think further about their career options after graduation. The parents are often worse than the students. I don't expect a 17 year old undergraduate to understand the binding nature of a student loan, but I do expect the parents too, especially parents who have signed for their own mortgages, car loans, credit cards, etc. But, still they sign their lives (and their children's) away on these loans. All in the name of letting junior (who in some instances is a subpar student and should be at a community college-- so underused in the Northeast; I am a huge community college advocate) go where he or she really wants to go. Everyone reads and signs a master promissory note, and all students (and parents in some instances) have to complete what we call "loan entrance counseling" which is primarily done online now, so you can't just "pretend" to have read and understood the terms, you have to answer questions about it to get to the next screen. And every college graduate has loan exit counseling too-- which I think was better when it was done in person than online. There is only so much we as the schools can do. It is frustrating that the schools always take the blame. School is expensive, no doubt, and every student has free will to choose a $50,000 a year school or a $10,000 a year school. No one forces you to go to an expensive college, just as no one forces you to buy a $400,000 house. I completely agree with the posters who speak of the need for skilled workers and not just college educated ones.

I don't work in financial aid anymore, but in admissions now at a highly selective graduate school-- I had an information session this morning with prospective students and I have a whole section on costs and borrowing. Graduate students are even worse than undergraduates they will look you in the face and tell you they don't want to give up "their lifestyle" for school. I worked 20 hours a week and completed a full time Ivy League masters program...it wasn't easy, but I could not loan out any more than I had already for undergrad and I needed a masters degree to advance in my chosen career in higher education. I paid less for my Ivy League degree than I would have for one from the state university because I worked and got a scholarship, just had to borrow a small amount. There are some wonderful income based repayment options today that young people should be looking into rather than just not paying at all.

Great post. Very informative.

I think there are a perhaps 20-30 schools where the long-term benefits (contacts, job prospects) are worth the money...sort of like buying beachfront property. The rest have done a good job marketing a cross between "Club Med" and "Ivy-wanna-bees". These are rip-offs and are not worth it. A case in point was my graduate program. I was there in the 70's. It almost went out of business but it was cheap and easy to get through while I worked part-time. Clock the time and get the degree. It actually worked out well for me.

Then in 1980's, during a televised football game, a 20-year old kid on the school team threw an incredible touchdown pass to clinch the game and put this no-name school on the map. Today it builds and prices like an Ivy League, but it's not worth it.

Most adults are financial illiterates and have little command of math. Most people can't think beyond next Tuesday. The schools prey on people's weaknesses. I think the most gullible are folks who themselves have graduated from college. They want to "buy" up for Johnnie and Suzy. My father was an immigrant and had no clue about Ivy-League or any kind of league. He just wanted me to "go to college" For that matter, I was pretty naive too. I just picked a couple of cheap schools, got in and off I went.

I did well in my career because I loved the industry in which I was employed. I spent 35 years fighting the "discrimination" of not having a "pedigree" education but that is neither here nor there anymore.

My advice to any kid is to do something you like and be passionate about it. Success will follow.

There would not be a problem if these loans were for getting a degree in Computer Science or Engineering. We continue to have a shortage in those career fields.

I myself have a degree in Computer Science from 10 years ago. Last year, after doing a bunch of other jobs, I decided to try giving the CS job hunt a try again and believe me, competition for the Software jobs is extremely intense. I'm in the Washington DC area so that means the odds are in favor of those who have Security Clearances and Masters Degrees, as opposed to just a plain Bachelors in CS. But if you know of anyone that can help me, just send me a PM.

There would not be a problem if these loans were for getting a degree in Computer Science or Engineering. We continue to have a shortage in those career fields.

No, actually, we don't. Any "shortages" are manufactured in order for businesses to get more H1B Visas. Plus these fields are two of the largest in terms of number of jobs being outsourced overseas.

As scott accurately states, "entry level" for CS/IT has become Master's Degrees or better (or Bachelor's Degrees with 10+ years experience [a practical impossibility with the rapidity with which the industry changes]). Colleges are churning out record number of CS and IT graduates every year because they keep pushing the Department of Labor's message that CS and IT are "the jobs of the future" while employers continue to cut CS and IT jobs, hire foreign workers for less, or outright ship them overseas.

I'm right with you. I worked while in college and paid the interest on the loan I had so it wasn't getting added to the principal amount. Also I had different payment options that I was able to chose from. I picked one that had a lower amount because I didn't know how much I was going to be making & I also had a car payment to make. I may be paying it off longer but I'm able to handle the monthly payment. When I have extra money I send it & apply it to the principal. These students who have issues paying need to contact the loan holders & try to work something out. Also if you can't afford a school (like Harvard) then you have no business going there unless you are on a scholarship. I went to a state school because it was cheaper then going out of state. If I had to do things differently I would've gone to a community college first & gotten my gen eds out of the way & then transferred to keep the costs even lower but it's information I will pass to my kids.

which could be because of the student not the university. I know someone who got a great education in a good major but they didn't apply themselves & are working in jobs they don't like. They also feel that the job they want should be contacting them not the other way around & that they shouldn't have to start at the bottom of the chain to get to the position they want.

@UDunnoBro: Can I tell that to the bank that lent me the money to buy my condo---which is now worth a whole lot less than when I bought it?? That I don't really owe it to them anymore because "I didn't get my money's worth"?

Students who've defaulted may not be able to repay it all upfront, but MIGHT have to give up the big iPhone bill, get a cheaper apartment, get a second job, eat out only 1 X month, etc. to pay it back the best they can....

You should feel sorry for them. They didn't have proper guidance. When you're a kid, you don't know these things until you get out in the real world. Have a heart, man

Who's to say that he majored in something worthless? Fact of the matter is, despite our economy is slowly rebounding itself, jobs are harder to find in present day than back even 10 years ago.

Dexter,

Maybe students ought to actually meet with their advisors or the career center (paid for with tuition dollars) to figure out the job availability and economic reality of their majors. Borrow in an informed way, don't just borrow because it is offered. Yes, college is expensive, at least in part (for public institutions) due to double-digit drops in state funding over the past decade. A decade ago, tax dollars provided about 50% of the cost to attend the state institution I teach at--today, 13%. You tell me where the missing money now comes from. As a scientist, I could make 2-3 times what I currently do outside of academia, so please don't scream about faculty salaries--we don't all make 6 figures (try about half that).

You do realize an education is 300% more expensive than 25 years ago don't you? Speak from a position of knowledge and you'll be rewarded. Well, that's what they tell college students anyway!!

http://money.cnn.com/2011/06/13/news/economy/college_tuition_middle_class/index.htm

Regardless of the price, if you can't afford it you shouldn't be going. Find a trade school or pay as you go and work.

Bravo OldSarge. College is not a "right" or an "entitlement" but clearly many cannot figure that one out.

Bravo OldSarge. College is not a "right" or an "entitlement" but clearly many cannot figure that one out.

You're right, it's not. But it is practically required for just about any job. No, you don't need a degree to flip burgers at the local McDonald's but many of them now prefer (some franchises, like the largest one where I live, actually require) at least an AA to simply move up into management roles.

Vocational education through public schools was destroyed in most municipalities over 20 years ago and the public school system leans heavily on public community colleges to fill that void. Those degrees are often 2 year Associates of APPLIED Arts and Sciences which can't be transferred for credit towards a 4 year degree.

College isn't a right or an entitlement but good luck amounting to anything other than minimum wage slave labor without some form of degree, even if it's just an AAA or AAS.

One of my oldest, high school, friends has learned this the hard way. He's worked for a local grocery chain since 16 and has been an assistant manager for the last 8 years. He's been continually passed over for promotion to store manager despite tenure, management turnover, and location expansion. Why? Because they require a BS degree for all of their store managers. So some fresh faced college kid who just graduated and has no clue how to manage a retail establishment or how to manage employees gets hired for the position as opposed to someone who has spent 19 years working for the company, all because the college kid has a piece of paper. Sure, my friend could go to school and get his BS degree in business but the measly $5k increase in salary per annum from assistant manager to store manager doesn't justify the cost of the 4-5 year BS program.

says the generation that ran the country into the ground...

Scams for real..Check out daytime or late-night tv and see how many diploma mill schools encouraging people there are booming opportunities in massage therapy, fixing jet engines, medical assistant and so on. If the viewer is lucky and alert they will see a disclaimer quickly whip by saying no guarantee of employment (fair enough). Money grab promoting jobs that are scarce and pay next to nothing..

Apples and oranges dude.

Nope test scores just measure your ability to sit in a class and learn crap. There is a huge difference between being able to pass a class than having the common sense to learn things you enjoys yet at the same time will get you a paycheck in the future. You can't test common sense....The college can outright TELL these students the degree is worthless for getting a job and they will not listen.

.I wish my guidance counselor had suggested getting the gen ed requirements done at a community college then transfer to get the degree at the 4 year college because it would've been a whole lot cheaper to it that way. But I'm ok with paying back my loan. I had different payment options I could chose & picked one that best fit how much I was making along with other payments I had like my car. But I also worked while I was in college & was paying the interest on the loan so it wouldn't get added to the principal once I graduated.

I have a 2 year technical degree and I was gainfully employed for over 10 years, but my salary was maxed out. I decided to go back to school for a 4 year degree (electrical engineering). I graduate, debit free, in December and my internship pays almost as much as my caped out technical job did. Additionally my internship pays $4 an hour more than my wife makes with her 2 year degree. The real issue is why people think they must go to a big name school. When I shopped for a school looked at the industry required accreditation and found a school that had maintained that accreditation for many years and was reasonably priced, and here I am at a nationally ranked engineering school (NMSU) for about 3,000 a semester.

Not to take away from the ones who really are getting screwed by the loans. But there are former students who don't apply themselves once they are done college. I know of several people who have been set up by friends for job interviews in their field & they don't want to go to them because they feel the job is beneath them because it's not in the position they want. They refuse to work from the bottom up. Or because the job doesn't pay as much as they think it should (which it would if they had experience), or because they would have to move away from their family who is already paying for everything for them. It's all a case by case. Yes some Universities should be held accountable but also someone who can't afford a 60K college shouldn't go to it. I wanted to go to one but realized I was going to be paying for it so I went in-state and worked while i was in college.

Sweden did this years ago. If you graduated with a degree and could not find a job they paid you a percentage of the salary as a job seekers allowance. School was almost 100% paid for also by the government.

Of course what happened was the students all majored in fields like being a astronaut ...but sweden doesn't have any astronaut jobs. But now I get lots of money for life. Didn't take real long before the social democrats were kicked out of office along with their great programs like this.

From a student who is paying her loan & we're paying my husbands. I agree 100% with you!

I think more high school guidance counselors need to push going to the community college especially to get the classes that will transfer to a 4 year college out of the way. Mine didn't do that & wish they had. But I also had parents who encouraged going to an in-state public college because it would be cheaper then going out of state or going to a private college. I also worked before & during college & knew full well I was going to have to pay back my loan.