Author Topic: Federal Student Loans  (Read 1158 times)

mxt0133

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Federal Student Loans
« on: October 15, 2018, 08:32:48 AM »
I keep seeing posts here where people have upwards of $200k in federal student loans.  How is that possible when the max for both under graduate and graduate is below $200k?  I assume that these are not private loans that someone co-signs. Forget about the logic of going for a degree that pays 1/4 of the cost of the degre, which completely baffles me.

https://studentloanhero.com/featured/maximum-student-loan-amount-limit-federal-student-aid/

Sugaree

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Re: Federal Student Loans
« Reply #1 on: October 15, 2018, 08:37:44 AM »
My first thought would be that the $200k balance includes interest that builds up during school and/or deferments.  At one point in time, spouses could consolidate loans (I don't have first hand knowledge of how this works, I just know that some of what DH is paying off includes his ex-wife's loans) so that could drive the balance up too. 

waltworks

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Re: Federal Student Loans
« Reply #2 on: October 15, 2018, 09:07:08 AM »
The Feds will basically loan you as much as the school costs, so schools just keep raising their prices.

I was astounded back when I had rental properties how much school debt people in their mid-20s with good jobs had. It is pretty common to run a credit check and find $100k+ worth of federal student loans. I don't think I remember ever seeing anyone with $200k but I only ran maybe 20 credit checks total, I'm sure they're out there.

I'm not normally a libertarian but I have to say, I think the ease of getting loans has really contributed to the cost of higher education. It might be time to rethink that system.

-W

mxt0133

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Re: Federal Student Loans
« Reply #3 on: October 15, 2018, 12:46:54 PM »
The Feds will basically loan you as much as the school costs, so schools just keep raising their prices.

I'm really hoping the trend that companies are no longer requiring college degrees catches on.  I'm all for college and continuing one's education and do believe that some people do better at a place like college or university vs self-study, however when people put them selves into that kind of debt just because they can kind of defeats the purpose of using education to better your situation in life.


https://www.cnbc.com/2018/08/16/15-companies-that-no-longer-require-employees-to-have-a-college-degree.html

fuzzy math

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Re: Federal Student Loans
« Reply #4 on: October 15, 2018, 07:53:01 PM »
The Feds will basically loan you as much as the school costs, so schools just keep raising their prices.

I'm really hoping the trend that companies are no longer requiring college degrees catches on.  I'm all for college and continuing one's education and do believe that some people do better at a place like college or university vs self-study, however when people put them selves into that kind of debt just because they can kind of defeats the purpose of using education to better your situation in life.


https://www.cnbc.com/2018/08/16/15-companies-that-no-longer-require-employees-to-have-a-college-degree.html

You mean I shouldn't have gotten a BS in Chorizo?

 

Wow, a phone plan for fifteen bucks!