Forum: Adults / 20 Something

Student Loans
By SaraTheGrouchmember has saluted, click to view salute photosPremium member
On Sun Feb 23, 2014 07:15 PM
Edited by SaraTheGrouch (63195) on 2014-02-23 19:40:17

So, I didn't have any loans from undergrad. My first masters didn't cost me much, in comparison to the one I'm supposed to be starting in the fall. In all, I currently owe $18,000ish in federal loans, $9,000 to my mother, and it's looking like $150-170,000 for the next degree. I'm staring down the $200,000 barrel. And I'm not even going into a profession that makes a whole lot of money.

Thankfully, there are programs that allow us to make 120 payments based on a figure thats 30-40% of our salary and after the 120, the rest of the loan amount disappears. But 120 months is still 10 years of an estimated $600ish a month.

Does anyone else have A LOT of student loan debt? Can anyone help me stop panicking? I'm pretty much freaking out over this.

Edit: I can't make payments right now on my current loans. They are in deferment. And I won't be able to work during school. This will be my first time without a job in YEARS.

12 Replies to Student Loans

re: Student Loans
By majeremember has saluted, click to view salute photosPremium member
On Sun Feb 23, 2014 07:27 PM
Edited by majere (186163) on 2014-02-23 20:36:39
I don't owe that much. By the end of my masters I will owe about 32k. I have been paying on my undergrad loans for the past two years and have made a tiny dent in it. That loan (two consolidated loans) is in deferment now since I am in school, but I am still making payments.

Can you pay on the past loans? Are you going to be working while you go for this degree?

EDIT: According to my loans web site I will have my loans paid off in 2029. So, I'd be 39. I've been making bigger payments than I need too (which is partly why I still live with my parents).
re: Student Loans
By ballerinatwirler
On Sun Feb 23, 2014 07:46 PM
Well I haven't looked in a while but I should have around $45,000 just for my bachelor's. I will most likely be going out of state for my Master's so that will be an extra $30,000 plus living costs for the year because I will not be able to work at all.

I'm slightly panicked because I have friends that have little to no debt.
re: Student Loans
By UberGoobermember has saluted, click to view salute photosPremium member
On Sun Feb 23, 2014 11:25 PM
Are these all federal loans? IBR I think only requires you to pay 10% of your income or so each month not 30%! And then I assume you will be taking the PSLF option so they are forgiven after 10 years. But 30% of your income doesn't sound right at all.

I'm looking at $250k plus but I have a career guarantee to pay it back (medicine). Makes it actually more confusing because IBR is probably only advantageous for me for a short while. I will meet with a financial advisor who specializes in med school loans before I graduate to help me decide how to pay it back and how to consolidate, etc.. Idoes your program offer any such services or can they refer you somewhere?

It sucks but there is no other choice. It is worth it to be happy I think. I love my life and I makes me sick to get my notification letter each year but this is the road I had to take to be happy.
re: Student Loans
By SaraTheGrouchmember has saluted, click to view salute photosPremium member
On Mon Feb 24, 2014 07:43 AM
Uber, someone on gradcafe said 30-40% for IBR. I haven't looked it up myself. However, someone else factored their payments at $350 a month with a total of about $80,000 in loans, so in theory, I need to double mine if they did the math correctly.

Also in the midst of panic recently, I asked my friend the neurosurgery resident (4th year) how he was planning on repaying his loans. He said that his sign on bonus into a practice will cover the entire amount of his loans. And they're a huge amount. So, for doctors, loans are whatever. I've never met one who was worried about repayment.
re: Student Loans
By Moonlitefairy06member has saluted, click to view salute photos
On Mon Feb 24, 2014 09:19 AM
One thing I found with IBR is that sometimes it isn't enough to pay off the interest. My loans actually went UP this year even though I paid every month. For federal loans I have 68,000 (and another 10 for state). I started last year paying $190/month for my 67,000 in federal loans. And basically just threw away the money since the loan went up. :( And of course I'm still looking for a permanent job nearly two years after I finished my master's. It's a vicious cycle.
re: Student Loans
By UberGoobermember has saluted, click to view salute photosPremium member
On Mon Feb 24, 2014 11:47 AM
Here's some IBR information and the site includes a calculator. www.ibrinfo.org . . .

This is this official site: studentaid.ed.gov . . .

I can't recommend enough talking to the financial aid people at your school. That is what they are there for! They hear these concerns all the time and may know of other programs to help you pay them down faster.
re: Student Loans
By Kettricken
On Mon Feb 24, 2014 12:47 PM
Yeah, some careers have it made with loans. I have a relative who paid for his entire college career with student loans, since he couldn't get scholarships. Undergrad and up, he ended up being something like a pediatric psychiatrist with some sort of specialty or something. His loans were paid off in a year or so, plus he bought a house and a car. Not fair.

I had almost 40k when I graduated. It kinda sucks, but sometimes you have to put money into your education if you want a job in a field you care about. We (my husband had a very tiny amount compared to me, maybe 5k?) paid the monthly amounts until individual loans get down to where we can just pay them off.

I can't be much help, since I've been out of college for almost ten years, and I'm not up the subject. All I can say, is that you do what you have to do, and eventually it will hopefully work out. Can your financial aid department help iron out numbers/details/plans for you?
re: Student Loans
By dancerxiv
On Mon Feb 24, 2014 01:22 PM
I was an idiot and went to a small private liberal arts school where my undergrad debt totaled around $80,000 by the time I graduated. (and I had a scholarship that cut tuition in half!) So, after five years I'm down to $70,000, and I'm pretty much going to be paying them forever, and right now I'm paying more than the minimum and my monthly payment is about $500. Granted, I'm hoping they should start dropping a little faster now I just paid off my two smaller high interest rate loans (9.75%... what was I thinking...)
re: Student Loans
By saaammiemember has saluted, click to view salute photos
On Mon Feb 24, 2014 02:59 PM
Wow, all this makes me realize how lucky I am (and how I really shouldn't complain about my loans...)

Tuition is free here, but the government offer all students, regardless of their family's financial status, the same grants and loans to cover living expenses.
The grant is $300/month and the loan is $900/month so a total of $1200 to live on.

It can be done, but it's much more difficult on the bigger cities since housing is extremely expensive and scarce here.

So a student with a master's degree (5 years) will graduate with approx $52 000 in debt.

But the terms are VERY generous, the current interest rate is 1,4%/year. The repayment is based on 7% of your total yearly income, and the loans are written off when you turn 68 if they aren't payed off by then.
re: Student Loans (karma: 2)
By pokomember has saluted, click to view salute photosPremium member
On Wed Feb 26, 2014 05:09 AM
Threads like this make me feel very blessed to live in Australia, where we get it pretty damned easy when it comes to education and fees.

I don't have any financial advice, except to not let it weigh you down. Make a plan and stick to it, and don't let it rule your life.
re: Student Loans
By SarahdncrPremium member
On Mon Mar 03, 2014 05:05 AM
Edited by Sarahdncr (214611) on 2014-03-03 05:38:28
Edited by Sarahdncr (214611) on 2014-03-03 05:40:16
O.k., A couple of thoughts come to mind if I can help.

Did you say correctly that your second (2nd) Masters is going to coast you between $150 - 170K?? Is that right?? My god....that's like paying for almost a complete 4yr medical school education at a top flight medical school.

You said in another previous post that you intend to get a second Masters in Social Work (MSW), correct? Have you looked into other (esp. public university's) schools besides for the one you have chosen to go this coming fall? A MSW is a fairly common graduate degree, and there have got to be other schools near you that offer an MSW, at a cheaper price.

I assume you want to attend a private school. Again, in-state schools where you are paying in-state resident prices will probably be much more affordable. Would you consider moving to another state, and becoming a resident where you could attend one of the big comprehensive Mega/Enormous State University Land Grant schools?? Most are located in the Mid-West US (think all the good football and basketball powerhouse state schools), but I know folks who have sent their kids to them, because even their out of state tuition prices were better than the in-state resident tuition prices for the state my friends were living in. And of course those schools in-state resident tuition fee's were dirt cheap.

My first Masters, at a private well known university, (which the govt did not pay for by the way) cost me just about $30K for 2.5 yrs, as I did a bit of extra course work with it. A MSW is just 2 yrs also, at about 48 - 50 credit hours, and I am just having real trouble wrapping my head around any 2 yr MSW program that costs upwards of $170K.

So, after those thoughts, you asked for student loan load payment help. As a few know here, I am a product of the Forces. I know, not for everybody, but they do have excellent loan repayment and student loan forgiveness programs for those who join up either as Active Duty, or maybe better for you in the Reserves or National Guard. Even for just a 4 yr hitch, they would pay off a lot of your loans or fund a good part of it, and if you go the Reserve route you can go to school full time, get paid as bit by the reserves/guard, and they pay for school all at once. Plus with the wars drawing to a close, your chances of getting deployed now a days has dramatically fallen. Problem is the openings are becoming fewer and fewer.

Next, Can any of the credits from your first Masters, transfer over to your second, thereby saving you some courses you would not need to pay for. I know a ton of folks in LE, with CJ degrees, and a lot of them have a ton of social work type classes they had to take, so I would think a few courses would be interchangeable.

Finally, have you researched going to work for some impoverished school district, hospital district, or geographical location that is vasty in need of MSW's? You may want to check out what if any of the Alaska Native or US Buru (sp??) of Indian Affairs (BIA) or US Public Health Service (USPHS - another great federal agency to work for by the way) will offer to pick up your loans for you in exchange for your indentured servitude to them for you agreeing to live/work XX number of years in some pretty remote place. Probably you would get great job experience and a lot of self - satisfaction helping others who really need it, but the locations they will have you living in will be primitive in either a Native Village out in the Bush or on a Reservation somewhere in god forsaken southwest Arizona.

Well, I hope these thoughts have helped. Do feel free to PM me if you have any questions or would like more info on any of the programs I have mentioned to try and help. Good Luck to you.
re: Student Loans
By LlamaLlamaDuckmember has saluted, click to view salute photosPremium member
On Mon Mar 03, 2014 10:22 AM
Wow that's scary... I don't think I paid $30,000 for 6 years post secondary education.

No advice but I really had no clue how bad it was in the US

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