Congratulations, Class of 2015. You’re the Most Indebted Ever (For Now) "The class of 2015 is reaching new heights, though perhaps not the way it had hoped. College graduates this year are leaving school as the most indebted class ever, a title they’ll hold exclusively for all of about 12 months if current trends hold. The average class of 2015 graduate with student-loan debt will have to pay back a little more than $35,000, according to an analysis of government data by Mark Kantrowitz, publisher at Edvisors, a group of websites about planning and paying for college. Even adjusted for inflation, that’s still more than twice the amount borrowers had to pay back two decades earlier." Congratulations, Class of 2015. You’re the Most Indebted Ever (For Now) - Real Time Economics - WSJ
I think that before I feel sorry for these kids, and I do outright, I'd like to see a breakdown of loans. Specifically I want to see any excess payments that each student took. Tuition $8,000, Loan Amount $10,000...what happened to the $2,000? I want to know how much of each students loans are the much looked forward to"tuition refund checks".
Besides … “Who’s Most Likely to Default on Student Loans?” (Re: WSJ, 02/19/15, Real Time Economics) Who “Millions of Americans are struggling to repay their student loans. But somewhat counterintuitively, those with the smallest balances are struggling the most. Defaults were most common among those with the smallest debt burdens and least common among those with the largest. (The New York Fed defines default in this case as a borrower having gone 270 days with no payment, the standard used by federal government, the primary lender in higher education.) Among those who owed less than $5,000, one in three had defaulted at some point as of Dec. 31, 2014. Those borrowers made up 21% of the entire pool of those with debt.”
We often make a lot of the size of loans, and I agree it is excessive, but I believe that to be true for everything else we buy today, unless I am mistaken? Most items are going up in cost. I admit education is rising higher than, but it is still a good investment.......from my perspective. Should we figure out less expensive ways to deliver it? Of course, just like health care, but the opinions on how vary widely.
The guaranteed student loan people routinely loan money for tuition and living expenses. My question would be: if you borrowed $10,000 and paid $8,000 in tuition, how did this student get by on $2,000 a year?
I have always thought the best way to pay for college is to find a father that is very rich (or at least affluent) and very generous. Unfortunately, most people are too damn stupid to figure out how they're going to pay for the kid's college before they have sex.
