If you're going to take loans, PAY FOR IT ASAP! Work in college, even if it's like pizza hut or a small desk clerk. Every penny will save you from the future you. I promise.
I paid for my first year with no parental assistance and completely out of my own pocket--no loans (this was the product of working since I was fifteen and taking a gap year during which I worked many 60-70 hour weeks). I'm having to take out loans for my sophomore year, so this was incredibly helpful.
I paid mine off 2 weeks ago, but I’m still all for canceling student debt. It’s an anchor preventing many from moving forward with their lives and many of the loans were predatory to begin with.
@@billykhoury4038 Look at this way. In the US you have to wait until you are 21 to have a beer, yet, you are expected to understand the complexities of student loans by the time you're 18? Lets not forget that many private loan companies and even schools used predatory tactics to make students promises they knew they couldn't keep. Are we serious already forgetting know Corinthian Colleges (DeVry, Everest, etc) offered low standard classed for top dollar until they were sued and convicted of fraud? There are many causes like this, which is why current student debt needs to be canceled.
Pedro Portillo if an 18 year old does not understand of concept of borrowing money and paying it back maybe they are not fit to go to college. My parents never taught me anything, and I knew better not to go a college that I can not afford. It’s not that hard really. It’s no excuse really but stupid people are everywhere. As the say, a sucker is born every second, and whoever falls into the student loan trap is a sucker in my opinion. The only time you borrow money to attend college if one’s going for any type of medical field, engineering, or law school, but other than that just simply stick in states colleges.
Try to come up with your own thoughts instead of parroting others’. Also, Mark Twain didn’t say that: quoteinvestigator.com/2011/04/07/banker-umbrella/amp/
A lot of my friends think they'll never be able to pay off their loans. But there is a light at the end of the tunnel, with the right financial planning there is always a way out!
@@Ayyylien51 The average monthly payment is $320 or approximately $10 per day. A McDonalds meal. Such a soft generation. Why doesn’t this generation put senior medication costs first, homelessness first, hunger first??? NOPE for them it’s tuition first. I’m so sad for who we have become as a people.
Unfortunately most of us wise up too late. My friend got a full ride for undergrad, but took out loans for graduate school. He managed to pay them quite fast, dedicating everything that wasn't going to bills to it. Now he's done and trying to prevent his baby cousin from making the same mistakes. The poor kids eyes sparkled when he realized he could take out more money than he ever dreamed of. He's so excited to sign on the dotted line. Trying to talk to him so he'll make adjustments (cheaper school, work part time, community college then transferring etc) is very difficult. He doesn't understand our point. We figured he'll have to learn from his own mistakes.
I can relate. When i was 18 i wanted to learn from my own mistakes and be "self-made" but doing things that way can just end up making life unnecessarily difficult.
Student loan and credit card debt are the two things I see mostly everybody posting. I never see the one I’m looking for it’s called medical debt. I have not been able to find anyone on TH-cam or Google with information on how to understand or get help for it. I know there’s not a lot of information but no one talks about it.
I saw one TikTok user post about this. They discouraged people from paying off medical debt that's been sent to collections. The reason is because the debt is technically not included in your credit report, but once you pay it off or even do a partial payment it's record is now on the credit report.
Paying medical bills is a must. Just like any other bill. Often you can cotact the Provider's Billing Department and let them know what you can pay. I paid many of my Medical Bills by paying $5 or $10 or $20 a month and as I paid one of I used that money to pay the next one more getting them accomplished. Be transparent and sincere. Keep up with calling them if you need to skip a payment or pay later sometimes. This all keeps your credit score happy also because it doesn't go to collections. - Hope this may work for any one else.
Two mistakes I made, please don't repeat: 1) Don't think you can go and hideout in Graduate School to avoid the recession or bad job market. 2) This is my big mistake. You get a 6 month grace period to repay your student loans "only one time!" If you use it all or part of it, then that's it. I graduated from Grad School in May unemployed. Everyone was saying to me, "You have 6 months to find a job and get your s**t together." No! Auntie Sallie Mae wanted the next payment June 1st. Why? I used a few months of my grace period between Undergrad and Grad School. It hurt my credit. Also, being employers in the financial industry pull your credit; it hurt my job hunting prospects.
Wonderful video. I am also approaching 30 years old, so I felt that last part deeply. Life does go by very quickly. People under the age 25-ish have no idea. I appreciate you helping us.
Sadly, in this economy, there are VERY few majors that are worth borrowing a lot of money for. Further, most students who are 18 years old have no idea of their intended career path. Taken together, this is a recipe for disaster.
It’s better to go with debt than not go out at all. Def keep looking into it and try to do it the smartest way possible rather than being scared by numbers and thinking there is no smart way possible! Long as u get good degree good job is worth jt
This is really great info. I was so stressed about life and money and just did the minimum for a long time. I deferred for some time and my loans will almost cost me twice as much as what I took out by the time I pay them off. I finally sat down and took a hard look- it was painful! And now have them under control and am on a plan to aggressively pay them back. This part has been rewarding. The whole student loan situation is emotional and stressful and challenging. Another video on this topics and ways to pay them off faster would be great for those early in the process!
This is so interesting as in the uk the repayment is calculated as a percentage of your wage above a certain amount, so works much more like a tax, and is written off after 30 years so most don't pay the full amount. This is obviously for the government loan but the tuition loan and maintenance loan (for cost of living) is separate and maintenance is means tested based on parent income, not credit score. This means those that have the financial support from their parents don't get as big a loan as those that don't. This means very few should need extra loans if they are responsible with their money. So glad I don't have to deal with this it would stress me out so much.
We've really got to throw stones at the worship of academia where we don't question the price tag, and just think of taking out loans as part of the deal. Esspecially when the price of your education may be multiple times your expected gross salary. It is out of control and like it or not, giving students access to borrowed money is contributing to that problem.
90% of most college programs could be out on an automated online database, the tax money we pay is enough to set that up. For people who want and can afford the 4 year college experience that is fine for them, but a 30 to 300k debt load for a life of servitude that charges interest is just living in the plantation as a slave that will never really own anything for many people. It is demonic
I've budgeted to keep paying a bit (though not nearly as much as the regular payment) toward my loans during the pandemic even though the repayment and interest are currently deferred. Every bit of these payments goes directly towards decreasing the principal instead of being consumed by interest. It's not a lot but I think it will pay off in the long run.
That’s what my husband and I have been doing with his student loans. We will be able to pay one of his higher interest loans off completely and put some on the next highest interest loan.
i recently got into my dream MA Journalism program. I'd be an out of state student. i didnt have any loans for my BA...thinking about taking out just 10k for the first semester and also work while im in school to have most of it paid off within 3 years.
@@julecaesara482 Yes you are right, that is mainly for housing and support you while studying, so you do not need a job. However your first loan is usually free and not with private (for profit) banks. I know people who financed their lifestyle with student loans, but I can't think of a sane person who will do that.
Make Sure you pay more than the minimum payment. I paid exactly minimum for years and didn’t understand that was only paying interest, not the loan itself.
Depends on what minimum your lender has set. For my federal loans, if I pay the minimum that they set, I do pay some of the principal in addition to the interest (it winds up being about 1/3 of the payment going to interest and about 2/3 going to principal), so it does chip away at the overall balance if I pay the minimum, but slowly. The payment they set was enough for me to be able to pay off the loans in ten years. I'm paying above the minimum so that I can shave some of that time off, but it doesn't hurt me much if I wind up only being able to pay the minimum at some point. Now if I needed some kind of assistance due to a major income reduction or something, they would offer me a monthly minimum that may, depending on the circumstances, be less than the monthly interest, and in that case, yeah, just paying the minimum each month would do nothing, and I could even wind up gradually owing more. But the default minimum that they started me on is enough to slowly pay down principal.
This video is amazing! I’m in college right now and not one person in my life has had a serious discussion with me about student loans and the details within them!
The "counseling" session is such a joke. Like. No kidding. The more I take out the more I owe. You think this is a choice? I did nothing but work. I still save and work all the time. And I will still owe.
4.53 % interest on studentvloans? Mine is 0.16% (was 0.13 last year). It is expected the rate will lower the next few years. Thank God I'm not American...
Let this be a lesson to young people to avoid student loans. Either save up early, apply for scholarships, work while a student, attend community college first, etc.
We need more videos like this to teach the future generations about the responsibility of a loan. But after mine have been paid off, I really suggest students to find other options than a loan. Everyone deserves financial freedom in their life!
Which other options are there ? I’m really curious because I’m about to start school at Devry College I am scared of loans I hate owing and it seems like I’ll be paying them back for years 🥺
Working at a public, state funded university qualifies for the PSLF. When I turn 40, the government will be forgiving more than I ever took out. Even though the CARES Act suspended payments I've kept making them because I see that finish line.
@@ttr8141 Actually, it tends to be people not reading the fine print. Not knowing they are not on the correct repayment plan, not keeping proper track of the payments, etc. I will admit that they do not make it easy to find the bulk of the important information but they're not just not forgiving willy nilly.
Anyone else just not get any exit interview? My financial aid package was made between my grandma and the FA person at my college. I never received any exit interview and I still don't understand anything at all about them.
Americans have grown with A HUGE holdback when it comes to going to universities in Europe, where ELITE tuitions usually can go for 20000 euros or less. Therefore higher education can be very valuable, just not to the US’ extent. So going to college IS valuable, just not at a students’ expense.
I hope people see this and realize that the pslf program is a sham and avoid it at all cost. Why purposely put yourself in a most likely lower than potential income job for 10 years for less than a .3% chance of getting it forgiven. Just look for a good paying job and pay it in the 10 years.
Tasha Cochran from One Big Happy Life has a great rebuttal to this and our family is also benefiting from the PSLF program. There are many reasons those applicants aren't approved, you just have to know the rules up front. It takes a lot of work & research but it's WORTH IT! Good luck to everyone - I'm so grateful this is available
@@CHSwildcats19 Even if the reasons for rejection are more than reasonable, the percentage of people actually getting approved is low and that is all you should care about. You should tell yourself I am not more special than Gary or Ana who got denied. Yeah, maybe I can pinpoint the flaws of their application, but I should not assume that I'm immune from these same flaws. You are better off pushing to get the most out of your job potential and pay your loans.
Interest is the biggest killer when it comes to loans and what really holds people back. Forbearance and deferments only delay are useless if the interest continues to accrue, it merely delays the mess that's about to come. This student loan interest freeze is the best time to tackle your loans, assuming you still have your job.
So I’m a freshmen and only took student loans for this year which is 3,500 Its a direct subsidized loan is that all I need to pay back ? I’m not taking any other loans
*As a realtor I want to thank you for this video and educating people about it , it is very Important to know this information if you are planning to buy a house in the future👍🏻👍🏻*
Don't goto Law School. The field is seriously over saturated. There are new law grads only make 40K-50K with 120K in student loan debt. Try looking at jdunderground.com. If you haven't been accepted to a T14 program seriously don't go!
@Ugottalovepandas Graduate school loans are actually worse than undergraduate. As a grad student myself (starting September), we are only eligible for (Stafford) Unsubsidized and Plus loans. Unsubsidized loans accrue interest from the minute they are disbursed: while in school, 6-month grace period post-graduation, deferments, and so forth. The key is to pay off your monthly interests while in school, and if you want to pay extra, contact your service lender and instruct them that extra goes towards the PRINCIPLE, not the interest. The Plus requires a hard credit check, and if you have a funky credit score you will have to get a cosigner with good credit.
i have a question, it’s the one thing about student loans that i’m very confused about and i hope someone can answer it. at 3:49, it’s stated that you’ll eventually have to pay interest on the unsubsidized loans. i understand that the interest accrues for that type of loan while you’re in school, but it’s the second part of the line that’s confusing me. “Even while you’re in school.” does that mean we have to pay the interest we accrue on it while in school? we can’t let it accrue and then pay it after we graduate along with everything else? thank you to anyone who can answer this question for me!
I’m a little scared 😟 to take one out, but I feel at this point is my only option to be able to finish my Nursing degree. I’m almost there in less than a year to finish, but can’t keep up with work and school.
I tried applying one on Salie Mae but it keeps saying they're unable to verify at this time which I did put the correct info but is just that it's not working.
like they did much to help college students the first time? literally erasing us from the stimulus check and giving colleges money that they could 'fairly distribute to the students' and not hog for themselves to use for 'safe meetings and ppe for students bla bla'
Don't believe the crap that with a college degree you will make more than $1million than someone without a college degree. Go to work out of highschool and find out what the real world needs for good paying jobs. You will find very few jobs looking for someone with a masters degree in HISTORY, ENGLISH AND ART. I worked with a guy whose son had 4 master degrees. He had put off retirement for 5 years to pay for his son's college degrees. The last I heard from him was that his son could not find any JOBS in the field of his Master degrees. His son was working at Lowes, depressed because his wife walked out on him, she had had enough of his way of thinking. If parent and college student would just say no to the high cost of cllege it would have to come down. When a college pays someone $20,000 to just to come and make a speach for 2 hours that is just a waste of money that adds to the cost for the student.
Hello everyone i am so confused! Forgive me for my ignorance! I just want to ask.. Why avail for student loan?? Where are their parents??? As far as i know, parents should pay the school bills right.? So why?? Just asking bcos we dont have it in our country bcos our parents pay for our school....
Watch out for the parent plus loan scam, they tell the kid he needs to have their parents apply for the loan in order to get more free money. The loan application has to be refused to get that money. The parents are under the impression that the loan will be refused because they can't pay it back. But to their surprise the loan is approved, because it is totally based on credit score not ability to pay. Interest on the loan starts immediately and to make matters worse the school takes out a larger loan than needed so they can cut a check to the student each semester so the kid can blow money around the college town. Even worse they have a mpn agreement attached so anytime more loans are needed they only have to ask the kid not the parents. I applied for 2500 for a semester and found out a year later they had immediately jacked it up to 10k .
If you become permantly disabled you can apply for you're student loans from the government with NELNET which is part of the federal student loan system.
for military veterans as well: If you’re a disabled veteran, you can qualify for disabled veteran student loan forgiveness by providing documentation from the VA that shows you have received a VA disability determination because you: (1) Have a service-connected disability rating that is 100 Percent Permanent and Total OR (2) Are totally disabled based on an individual unemployability rating OR (3) Have a service-connected disability rating that is 100% scheduler (it does NOT need to be P&T or TDIU).
Congratulations American students! Burdened with student loan debt? With our generous program, if you work for a qualifying* government employer for 10 years and make 120 qualifying* payments under a qualifying* repayment plan you have a 1 in 241 chance of having your remaining Direct Loan* balance forgiven! Otherwise have fun being burdened by a lifetime of debt! Hahaha you actually thought that we would care about you just because you spent a decade of your life in public service?
Or don't take one out! Go to Europe- lots of public universities are free and the best in the world i.e. Germany & Finland. You may need to pay for EU citizenship and a registration fee- but it will still be cheaper. Plus there are loads of courses taught in english if you struggle learning a new language. Do not restrict yourself- there is a whole world of education to choose from which is probably better quality than the usa.
I feel like we should discuss how student loans (like our society in general) are structured to severely penalize the working woman who wants to have a family. When you take that (unpaid) maternity leave your loans continue to accrue interest, even if you are in forebearance. For me that’s $23 a day in interest being added to my total debt.
If you dont have the money to go to a fancy college, then don’t. It’s that simple. You’re not going to get six figures out of college. Go somewhere cheaper, or dont go. College is not a right.
I'm not American, and I couldnt get through this video because it is giving me a headache. I feel extremely sorry for americans and continually try to understand why shit costs so much more, especially education??? Fudging disproportionate. In India, college is an utmost basal necessity and fees can range beginning for just a few hundred RUPEES a year. $1=80 rupees. And I'm talking prestigious govt. colleges. Average would be Rs40-50K (still the best colleges) and fees between Rs100,000 to Rs500,000 a year is considered extremely elitist private education. Still the best of quality. And if you want to know how good this education is, almost every above average student from such institutes will move to get their furthest education from Ivys and OxCam. That movement is sadly because of brand tag and the envmt. of people that the tag brings, and everybody wants to end their education with the highest quality the world will have to offer. I'm a high-school student. Connect with me on LinkedIn www.linkedin.com/in/sanchitagolder , while typing this comment, I just planned on doing an article about the college scenario in india and around the globe within this week. :) I'm also there on Instagram, Facebook and Twitter with the same name.
Student loans aren’t always the devil like a lot of these comments are saying. If you’re getting a degree that’s of value that’s going to allow you to make more money in the future, it’s worth it (obviously there’s more to that to figure out if it’s worth it). But there’s also the option of working through college. The people who have chosen to work through college or defer going to college because they didn’t want to take out loans is the reason why I don’t agree with canceling all student debt.
Lots of people cant handle the burden or cost of student loans and it ruins people. I feel like it should be cancelled. It's not even helping the economy but putting more debt into the economy. Times change, the USA is falling behind while other countries have free or low cost tuition, encouraging people to get an education.
"loan forgiveness" lol yeah a 00.41% chance of forgiveness after 10 years of payments (and only "qualified" ones so i assume anything late or short is on you bro) while working specifically in government jobs.
This video didn't really help much. It's a giant dump of information with virtually no explanation and extensive use of jargon words without defining them
We might be not the greatest in the world, but scholarship is really accessible here. 40% of my classmates can go to university, a great state university by this scholarship. No tuition, book is covered either by campus library or straight up giving the copy by lectures. There's no such a thing as education loan here. If we don't have enough money, we can always ask for aid. Yes we only have enough to live and can't go to parties... But hey. We don't want debt for the next 10 years.
I am German and 70% of students qualify for university... 500€/term max (including public transport), federal loans are at inflation interest and can be partly forgiven. Ps. Relining didn't sagregate my schools eaven if it takes 3 generations for immigrant children to reach average results, the system could be much worse.
As with most things in the US, it just depends on what state you live in. Some states fund tuition scholarships for students who make good grades and/or test scores. Many states have affordable state college/university options. The US has over 4 thousand colleges/universities that are not all expensive. Students just need to pick the right one for them and their finances.
@@DeidraBeee So all degrees are equally valuable? The university of Trier and Munich are graduating people by the same standards as in Barcelona and Prague, without pricing going haywire and people discarding state college applications.
@@fionafiona1146 So, I could go on for pages answering your question! Short answer: Not really, but the differences aren't as drastic as people lead themselves to believe. I do not think for profit schools are as valuable. For profit schools are also a huge cause of student loan problems in the US. Nonprofit colleges/universities should be...for the most part...equally valued...but they're not equally rigorous. The average job application does not request "a bachelor's degree from the top 100 schools in the US" the job application will require ANY degree from an accredited institution and will want to know your skills and experiences. So people need degrees AND a good resume. It doesn't matter if the college is in Texas or Tennessee, it's still an accredited degree. There's so much more to say on the topic. There are "higher ranked" and "well known" schools across the country. But students don't have to go to those schools to get a quality education. My main point is that there are affordable options. And if a student isn't pleased with their affordable options, they can borrow money for what they view is a better option for their personal desires. Don't get me wrong, the system is messy. But for the most part, I think people in the US forget or are unaware of their options.
Don't worry about your student loan. There's political push to forgive student loans, which will eventually happen. or the dollar will collapse, which will wipe out everybody's debit.
Economically speaking student loan forgiveness will actually produce a rather large bump in GDP. The takeaway is that the implications towards the government budget are yet to be determined. In my opinion this will be a mixed back with more good than bad. Given the fact that this is a broad program, there are going to be undesired effects but i think that it’s disingenuous to focus on them alone just because you’re uncomfortable or philosophically opposed to the bill. I am someone who will have part of my debt paid off. But if i had the option i would’ve passed off the forgiveness to someone else because i can personally afford paying off the debt. Frankly speaking i think that the selfishness and apathy that many people have shown in the face of this bill is something that i’m chiefly opposed to. I have qualms to pick with people who pass off the idea that predatory loans or major interest charges, are just part of this dog eat dog world that we live in. And that’s really the whole crux of this debate. People giving way to altruism or self interest. I’ll keep my eyes open and track the results of this bill.
Not always. Depends on what that money does for you. For instance, I took out loans to go to pharmacy school. It was a lot of debt, but the income increase that a career in pharmacy provided was enough to make it a worthwhile investment from a financial perspective.
I can’t be the only one who rolls their eyes at the whole “but all our teachers and high school counselors told us to go!” excuse. If you are under the age of 35 you had access to Google. If you lacked the basic observational skills to think “hmm, maybe I should do a bit of independent research on my own instead of blindly listening to people so bereft of talent they ended up as high school counselors making 30k a year”, that’s on you. While I agree the cost of college is ridiculous, how things “should be” is completely irrelevant to responsible decision making. To be frank if you were gullible enough to somehow find yourself six figures in debt, you’ll likely just find another way to ruin your life soon.
If you're going to take loans, PAY FOR IT ASAP! Work in college, even if it's like pizza hut or a small desk clerk. Every penny will save you from the future you. I promise.
Gta5
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How is it going🥺
No shit
I paid for my first year with no parental assistance and completely out of my own pocket--no loans (this was the product of working since I was fifteen and taking a gap year during which I worked many 60-70 hour weeks). I'm having to take out loans for my sophomore year, so this was incredibly helpful.
i wanna do this bit they literally require you to pay for it asap or else their dropping u from ur classes
I paid mine off 2 weeks ago, but I’m still all for canceling student debt. It’s an anchor preventing many from moving forward with their lives and many of the loans were predatory to begin with.
No.
Why cancel? They all agreed on paying it back if they can not afford it, they can go to a cheaper school.
@@billykhoury4038 Exactly. It is not an anchor nor predatory.
@@billykhoury4038 Look at this way. In the US you have to wait until you are 21 to have a beer, yet, you are expected to understand the complexities of student loans by the time you're 18? Lets not forget that many private loan companies and even schools used predatory tactics to make students promises they knew they couldn't keep. Are we serious already forgetting know Corinthian Colleges (DeVry, Everest, etc) offered low standard classed for top dollar until they were sued and convicted of fraud? There are many causes like this, which is why current student debt needs to be canceled.
Pedro Portillo if an 18 year old does not understand of concept of borrowing money and paying it back maybe they are not fit to go to college. My parents never taught me anything, and I knew better not to go a college that I can not afford. It’s not that hard really. It’s no excuse really but stupid people are everywhere. As the say, a sucker is born every second, and whoever falls into the student loan trap is a sucker in my opinion. The only time you borrow money to attend college if one’s going for any type of medical field, engineering, or law school, but other than that just simply stick in states colleges.
“A banker is a fellow who lends you his umbrella when the sun is shining, but wants it back the minute it begins to rain.”
― Mark Twain
Try to come up with your own thoughts instead of parroting others’.
Also, Mark Twain didn’t say that:
quoteinvestigator.com/2011/04/07/banker-umbrella/amp/
A lot of my friends think they'll never be able to pay off their loans. But there is a light at the end of the tunnel, with the right financial planning there is always a way out!
Where is the best place to ask for a loan?
I don’t understand, I really don’t. 40,000 is the cost of a car. What’s the problem paying for a car payment?
@@wheelie642The problem is hardly anyone is buying a new car, they're buying the old ones for 5-9 grand.
@@Ayyylien51 The average monthly payment is $320 or approximately $10 per day. A McDonalds meal. Such a soft generation. Why doesn’t this generation put senior medication costs first, homelessness first, hunger first??? NOPE for them it’s tuition first. I’m so sad for who we have become as a people.
@@wheelie642 no one can afford a McDonald's meal per day either, what kind of detached argument even is this?
As an Australian, the fact that you need to pay interest on your federal loans is terrifying
As an American, I agree.
well you do here too but it's at 1.8% which is around the rate of inflation so kind of net zero interest
ofc you do lmao there is inflation
Isn’t it!!!
When u put zero down and the lender has nothing to repossess. Of course interest will be high.
Unfortunately most of us wise up too late. My friend got a full ride for undergrad, but took out loans for graduate school. He managed to pay them quite fast, dedicating everything that wasn't going to bills to it. Now he's done and trying to prevent his baby cousin from making the same mistakes. The poor kids eyes sparkled when he realized he could take out more money than he ever dreamed of. He's so excited to sign on the dotted line. Trying to talk to him so he'll make adjustments (cheaper school, work part time, community college then transferring etc) is very difficult. He doesn't understand our point. We figured he'll have to learn from his own mistakes.
I can relate. When i was 18 i wanted to learn from my own mistakes and be "self-made" but doing things that way can just end up making life unnecessarily difficult.
I hope he does things his way and shows you we don’t “always” know what’s best. Always support him.
Student loan and credit card debt are the two things I see mostly everybody posting. I never see the one I’m looking for it’s called medical debt. I have not been able to find anyone on TH-cam or Google with information on how to understand or get help for it. I know there’s not a lot of information but no one talks about it.
I saw one TikTok user post about this. They discouraged people from paying off medical debt that's been sent to collections. The reason is because the debt is technically not included in your credit report, but once you pay it off or even do a partial payment it's record is now on the credit report.
@@teendetective013 not true
@@teendetective013 Not true, I have a $100 ambulance bill that I have not paid on my credit report right now
Paying medical bills is a must. Just like any other bill. Often you can cotact the Provider's Billing Department and let them know what you can pay. I paid many of my Medical Bills by paying $5 or $10 or $20 a month and as I paid one of I used that money to pay the next one more getting them accomplished.
Be transparent and sincere.
Keep up with calling them if you need to skip a payment or pay later sometimes.
This all keeps your credit score happy also because it doesn't go to collections.
- Hope this may work for any one else.
@@teendetective013false. My negative credit hits are from medical.
Two mistakes I made, please don't repeat: 1) Don't think you can go and hideout in Graduate School to avoid the recession or bad job market. 2) This is my big mistake. You get a 6 month grace period to repay your student loans "only one time!" If you use it all or part of it, then that's it. I graduated from Grad School in May unemployed. Everyone was saying to me, "You have 6 months to find a job and get your s**t together." No! Auntie Sallie Mae wanted the next payment June 1st. Why? I used a few months of my grace period between Undergrad and Grad School. It hurt my credit. Also, being employers in the financial industry pull your credit; it hurt my job hunting prospects.
Damn that sucks
Wonderful video. I am also approaching 30 years old, so I felt that last part deeply. Life does go by very quickly. People under the age 25-ish have no idea. I appreciate you helping us.
Sadly, in this economy, there are VERY few majors that are worth borrowing a lot of money for. Further, most students who are 18 years old have no idea of their intended career path. Taken together, this is a recipe for disaster.
This is why I will ALWAYS endorse community college.
I’m a Junior in High School and my can I say this was extremely helpful. I’m already worrying and thinking about my future.. thank you so much
It’s better to go with debt than not go out at all. Def keep looking into it and try to do it the smartest way possible rather than being scared by numbers and thinking there is no smart way possible! Long as u get good degree good job is worth jt
This is really great info. I was so stressed about life and money and just did the minimum for a long time. I deferred for some time and my loans will almost cost me twice as much as what I took out by the time I pay them off. I finally sat down and took a hard look- it was painful! And now have them under control and am on a plan to aggressively pay them back. This part has been rewarding. The whole student loan situation is emotional and stressful and challenging. Another video on this topics and ways to pay them off faster would be great for those early in the process!
did you take inflation in to account
This is so interesting as in the uk the repayment is calculated as a percentage of your wage above a certain amount, so works much more like a tax, and is written off after 30 years so most don't pay the full amount. This is obviously for the government loan but the tuition loan and maintenance loan (for cost of living) is separate and maintenance is means tested based on parent income, not credit score. This means those that have the financial support from their parents don't get as big a loan as those that don't. This means very few should need extra loans if they are responsible with their money. So glad I don't have to deal with this it would stress me out so much.
Also Scotland has a fully funded system. No loans required for permanent residents.
We've really got to throw stones at the worship of academia where we don't question the price tag, and just think of taking out loans as part of the deal. Esspecially when the price of your education may be multiple times your expected gross salary. It is out of control and like it or not, giving students access to borrowed money is contributing to that problem.
Student loans can be a great investment to a fulfilling and rewarding career, but only if done correctly!
Well I agree
Agreed, if you are going to college or trade school you have to pick a major that will lead to money
90% of most college programs could be out on an automated online database, the tax money we pay is enough to set that up. For people who want and can afford the 4 year college experience that is fine for them, but a 30 to 300k debt load for a life of servitude that charges interest is just living in the plantation as a slave that will never really own anything for many people. It is demonic
I've budgeted to keep paying a bit (though not nearly as much as the regular payment) toward my loans during the pandemic even though the repayment and interest are currently deferred. Every bit of these payments goes directly towards decreasing the principal instead of being consumed by interest. It's not a lot but I think it will pay off in the long run.
That’s what my husband and I have been doing with his student loans. We will be able to pay one of his higher interest loans off completely and put some on the next highest interest loan.
Great idea...hopefully we come up with more of them like reducing the cost of "HIGHER" education.
i recently got into my dream MA Journalism program. I'd be an out of state student. i didnt have any loans for my BA...thinking about taking out just 10k for the first semester and also work while im in school to have most of it paid off within 3 years.
Its' truly astonishing that this is a thing in America (from Germany here).
It's a first world america problem. Kinda insane lol
It's very terrible.
There is a thing called student loans in Germany but I don't know a single person who took this offer from their bank
@@julecaesara482 Yes you are right, that is mainly for housing and support you while studying, so you do not need a job. However your first loan is usually free and not with private (for profit) banks. I know people who financed their lifestyle with student loans, but I can't think of a sane person who will do that.
It is a thing in many countries, don't judge Americans.
You should definitely add the importance of seeking aid from you state if available!!! That's HUGE! Big oversight there.
Can you be more specific?
So grateful within the next week I’ll be 10k left to completely paying my off 100k debt.
How were you able to do it?
@@saanvi848
@@saanvi848
@@steffan683 who is your financial coach, do you mind hooking me up?
@@saanvi848 Her name is Mrs Loretta Wilkinson you can look her up online
I can’t even fathom how many people have asked me what their interest rate means
It basically means how interesting you are as a person.
Yup
Make Sure you pay more than the minimum payment. I paid exactly minimum for years and didn’t understand that was only paying interest, not the loan itself.
Depends on what minimum your lender has set. For my federal loans, if I pay the minimum that they set, I do pay some of the principal in addition to the interest (it winds up being about 1/3 of the payment going to interest and about 2/3 going to principal), so it does chip away at the overall balance if I pay the minimum, but slowly. The payment they set was enough for me to be able to pay off the loans in ten years. I'm paying above the minimum so that I can shave some of that time off, but it doesn't hurt me much if I wind up only being able to pay the minimum at some point. Now if I needed some kind of assistance due to a major income reduction or something, they would offer me a monthly minimum that may, depending on the circumstances, be less than the monthly interest, and in that case, yeah, just paying the minimum each month would do nothing, and I could even wind up gradually owing more. But the default minimum that they started me on is enough to slowly pay down principal.
I genuinely feel safer after watching this thank you
This video is amazing! I’m in college right now and not one person in my life has had a serious discussion with me about student loans and the details within them!
The "counseling" session is such a joke. Like. No kidding. The more I take out the more I owe. You think this is a choice? I did nothing but work. I still save and work all the time. And I will still owe.
4.53 % interest on studentvloans? Mine is 0.16% (was 0.13 last year). It is expected the rate will lower the next few years. Thank God I'm not American...
Let this be a lesson to young people to avoid student loans. Either save up early, apply for scholarships, work while a student, attend community college first, etc.
This is the best video ever for college students. Thank you so much omg ur a lifesaver
We need more videos like this to teach the future generations about the responsibility of a loan. But after mine have been paid off, I really suggest students to find other options than a loan. Everyone deserves financial freedom in their life!
Which other options are there ? I’m really curious because I’m about to start school at Devry College I am scared of loans I hate owing and it seems like I’ll be paying them back for years 🥺
Working at a public, state funded university qualifies for the PSLF. When I turn 40, the government will be forgiving more than I ever took out. Even though the CARES Act suspended payments I've kept making them because I see that finish line.
PSLF rarely keep their promise. Their is a good chance the Gov will find some reason why you should not have your loans forgiven.
@@ttr8141 Actually, it tends to be people not reading the fine print. Not knowing they are not on the correct repayment plan, not keeping proper track of the payments, etc.
I will admit that they do not make it easy to find the bulk of the important information but they're not just not forgiving willy nilly.
Great vid! Please do one for graduate program student loans, consolidation, etc 🙏🏾🙏🏾
Anyone else just not get any exit interview? My financial aid package was made between my grandma and the FA person at my college. I never received any exit interview and I still don't understand anything at all about them.
Americans have grown with A HUGE holdback when it comes to going to universities in Europe, where ELITE tuitions usually can go for 20000 euros or less. Therefore higher education can be very valuable, just not to the US’ extent. So going to college IS valuable, just not at a students’ expense.
I hope people see this and realize that the pslf program is a sham and avoid it at all cost. Why purposely put yourself in a most likely lower than potential income job for 10 years for less than a .3% chance of getting it forgiven. Just look for a good paying job and pay it in the 10 years.
Tasha Cochran from One Big Happy Life has a great rebuttal to this and our family is also benefiting from the PSLF program. There are many reasons those applicants aren't approved, you just have to know the rules up front. It takes a lot of work & research but it's WORTH IT! Good luck to everyone - I'm so grateful this is available
@@CHSwildcats19 Even if the reasons for rejection are more than reasonable, the percentage of people actually getting approved is low and that is all you should care about. You should tell yourself I am not more special than Gary or Ana who got denied. Yeah, maybe I can pinpoint the flaws of their application, but I should not assume that I'm immune from these same flaws. You are better off pushing to get the most out of your job potential and pay your loans.
Brand new to student loan. If I want to purchase a computer using my student loan, what is the process to pay for it?
3 1 7 9 4 3 3 3 8 4 would help you
Interest is the biggest killer when it comes to loans and what really holds people back. Forbearance and deferments only delay are useless if the interest continues to accrue, it merely delays the mess that's about to come. This student loan interest freeze is the best time to tackle your loans, assuming you still have your job.
I am a Syrian student i am willing to study abroad but i couldn't find a way to get student loans ,any information ?
JUST completed mines! ✊🏾💯💯💯💯💯💯🦋🦋🦋🦋🦋🦋😍😍😍😍😍😍
So I’m a freshmen and only took student loans for this year which is 3,500 Its a direct subsidized loan is that all I need to pay back ? I’m not taking any other loans
Hellooooooooooooo
Here 👆🏾 is what you need
It has been of help not just to me but everyone
"At least take solace in the fact that you are very far from alone"
Haha very funny
Chelsea you are coming with all the right financial videos for us! Are you reading our minds? LOL
*As a realtor I want to thank you for this video and educating people about it , it is very Important to know this information if you are planning to buy a house in the future👍🏻👍🏻*
Does any of this apply for graduate school? I'm going to Law School and I'd like to know my options. Thank you 😊
Don't goto Law School. The field is seriously over saturated. There are new law grads only make 40K-50K with 120K in student loan debt. Try looking at jdunderground.com. If you haven't been accepted to a T14 program seriously don't go!
@Ugottalovepandas Graduate school loans are actually worse than undergraduate. As a grad student myself (starting September), we are only eligible for (Stafford) Unsubsidized and Plus loans. Unsubsidized loans accrue interest from the minute they are disbursed: while in school, 6-month grace period post-graduation, deferments, and so forth. The key is to pay off your monthly interests while in school, and if you want to pay extra, contact your service lender and instruct them that extra goes towards the PRINCIPLE, not the interest. The Plus requires a hard credit check, and if you have a funky credit score you will have to get a cosigner with good credit.
Grace Sigunga Wow... Thank you for the information! Best of luck this semester!
@@Ugottalovepandas Thx, and good luck to you as well in law school!
i have a question, it’s the one thing about student loans that i’m very confused about and i hope someone can answer it.
at 3:49, it’s stated that you’ll eventually have to pay interest on the unsubsidized loans. i understand that the interest accrues for that type of loan while you’re in school, but it’s the second part of the line that’s confusing me. “Even while you’re in school.” does that mean we have to pay the interest we accrue on it while in school? we can’t let it accrue and then pay it after we graduate along with everything else?
thank you to anyone who can answer this question for me!
I’m a little scared 😟 to take one out, but I feel at this point is my only option to be able to finish my Nursing degree. I’m almost there in less than a year to finish, but can’t keep up with work and school.
why on earth would you not take one the averge nurse makes 6 figures
@@weirdflex8158 why on earth do you ask like that
Everything you need to know about student loans: AVOID THEM LIKE THE PLAGUE! Pole dance and make it rain before going down that rabbit hole of debt.
I tried applying one on Salie Mae but it keeps saying they're unable to verify at this time which I did put the correct info but is just that it's not working.
I have a private lender if you need .
Looking forward to seeing what the next Stimulus Bill does for student loans!
like they did much to help college students the first time? literally erasing us from the stimulus check and giving colleges money that they could 'fairly distribute to the students' and not hog for themselves to use for 'safe meetings and ppe for students bla bla'
Don't believe the crap that with a college degree you will make more than $1million than someone without a college degree. Go to work out of highschool and find out what the real world needs for good paying jobs. You will find very few jobs looking for someone with a masters degree in HISTORY, ENGLISH AND ART. I worked with a guy whose son had 4 master degrees. He had put off retirement for 5 years to pay for his son's college degrees. The last I heard from him was that his son could not find any JOBS in the field of his Master degrees. His son was working at Lowes, depressed because his wife walked out on him, she had had enough of his way of thinking. If parent and college student would just say no to the high cost of cllege it would have to come down. When a college pays someone $20,000 to just to come and make a speach for 2 hours that is just a waste of money that adds to the cost for the student.
One of My loans are more than what I have to pay back.
Hello everyone i am so confused!
Forgive me for my ignorance!
I just want to ask..
Why avail for student loan??
Where are their parents???
As far as i know, parents should pay the school bills right.?
So why??
Just asking bcos we dont have it in our country bcos our parents pay for our school....
Hellooooooo
My payment came in just two days ago
It has been of help not me alone but everyone
I didn't expect it come so fast but I'm glad it came in
_ugh student loans_ 😩
Watch out for the parent plus loan scam, they tell the kid he needs to have their parents apply for the loan in order to get more free money. The loan application has to be refused to get that money. The parents are under the impression that the loan will be refused because they can't pay it back. But to their surprise the loan is approved, because it is totally based on credit score not ability to pay. Interest on the loan starts immediately and to make matters worse the school takes out a larger loan than needed so they can cut a check to the student each semester so the kid can blow money around the college town. Even worse they have a mpn agreement attached so anytime more loans are needed they only have to ask the kid not the parents. I applied for 2500 for a semester and found out a year later they had immediately jacked it up to 10k .
Great video
Wouldn’t be necessary if the government actually helps provide money like other countries
True
geez that was way more terms and info then i could digest.
"Go to college, then you can rip people off and get paid for it. It's called capitalism."
― Michael de Santa (GTAV)
Very informative! I needed to hear this ! Thank you so much !
Don't get one unless you plan on paying it off. I paid mine, I don't want to pay yours.
Thank You
If you become permantly disabled you can apply for you're student loans from the government with NELNET which is part of the federal student loan system.
for military veterans
as well: If you’re a disabled veteran, you can qualify for disabled veteran student loan forgiveness by providing documentation from the VA that shows you have received a VA disability determination because you:
(1) Have a service-connected disability rating that is 100 Percent Permanent and Total OR
(2) Are totally disabled based on an individual unemployability rating OR
(3) Have a service-connected disability rating that is 100% scheduler (it does NOT need to be P&T or TDIU).
Thank you SO MUCH for this video. I understand must better now
Thanks Financial Diet ♥️You guys have being very informative abt money matters to me.
Love from India
Is this only applicable in the USA?
Most likely. Try searching your country’s education department (or equivalent) for a start.
Hopefully I won’t be taking any loans out till vet school 🙏🏼
Interest should really be illegal. It's so jacked up. That's evil.
What about Class of 2003? Am I the last one still paying? lol
If I have a student loan and then gain a GI bill would I be able to use the GI bill to pay off my federal loan?
thank you
Please add this series to the TFD COLLEGE Playlist!!! 🙏
Congratulations American students! Burdened with student loan debt? With our generous program, if you work for a qualifying* government employer for 10 years and make 120 qualifying* payments under a qualifying* repayment plan you have a 1 in 241 chance of having your remaining Direct Loan* balance forgiven! Otherwise have fun being burdened by a lifetime of debt! Hahaha you actually thought that we would care about you just because you spent a decade of your life in public service?
Or don't take one out! Go to Europe- lots of public universities are free and the best in the world i.e. Germany & Finland. You may need to pay for EU citizenship and a registration fee- but it will still be cheaper. Plus there are loads of courses taught in english if you struggle learning a new language. Do not restrict yourself- there is a whole world of education to choose from which is probably better quality than the usa.
Not a lot of people has the money to get to Europe. I’m currently in college.
If I dont use all my student loans for that semester what happens to the money?
Lol there is no audio
I feel like we should discuss how student loans (like our society in general) are structured to severely penalize the working woman who wants to have a family. When you take that (unpaid) maternity leave your loans continue to accrue interest, even if you are in forebearance. For me that’s $23 a day in interest being added to my total debt.
If you dont have the money to go to a fancy college, then don’t. It’s that simple. You’re not going to get six figures out of college. Go somewhere cheaper, or dont go. College is not a right.
America is pretty much screwed when it comes to student loans or loans on general
I'm not American, and I couldnt get through this video because it is giving me a headache. I feel extremely sorry for americans and continually try to understand why shit costs so much more, especially education??? Fudging disproportionate. In India, college is an utmost basal necessity and fees can range beginning for just a few hundred RUPEES a year. $1=80 rupees. And I'm talking prestigious govt. colleges. Average would be Rs40-50K (still the best colleges) and fees between Rs100,000 to Rs500,000 a year is considered extremely elitist private education. Still the best of quality. And if you want to know how good this education is, almost every above average student from such institutes will move to get their furthest education from Ivys and OxCam. That movement is sadly because of brand tag and the envmt. of people that the tag brings, and everybody wants to end their education with the highest quality the world will have to offer. I'm a high-school student. Connect with me on LinkedIn www.linkedin.com/in/sanchitagolder , while typing this comment, I just planned on doing an article about the college scenario in india and around the globe within this week. :) I'm also there on Instagram, Facebook and Twitter with the same name.
Now you tell me!
Student loans aren’t always the devil like a lot of these comments are saying. If you’re getting a degree that’s of value that’s going to allow you to make more money in the future, it’s worth it (obviously there’s more to that to figure out if it’s worth it). But there’s also the option of working through college. The people who have chosen to work through college or defer going to college because they didn’t want to take out loans is the reason why I don’t agree with canceling all student debt.
Lots of people cant handle the burden or cost of student loans and it ruins people. I feel like it should be cancelled. It's not even helping the economy but putting more debt into the economy. Times change, the USA is falling behind while other countries have free or low cost tuition, encouraging people to get an education.
"loan forgiveness" lol yeah a 00.41% chance of forgiveness after 10 years of payments (and only "qualified" ones so i assume anything late or short is on you bro) while working specifically in government jobs.
This video didn't really help much. It's a giant dump of information with virtually no explanation and extensive use of jargon words without defining them
You mean my 0% real interest loans. Because I'm not American.
I’m about to join Devry College and I am terrified to start because of these loans😪😪😪 scared that imma mess up😭
#1 TIP: AVOID STUDENT LOAN DEBT AT ALL COSTS🔥🔥🔥
We might be not the greatest in the world, but scholarship is really accessible here. 40% of my classmates can go to university, a great state university by this scholarship. No tuition, book is covered either by campus library or straight up giving the copy by lectures. There's no such a thing as education loan here. If we don't have enough money, we can always ask for aid. Yes we only have enough to live and can't go to parties... But hey. We don't want debt for the next 10 years.
I am German and 70% of students qualify for university... 500€/term max (including public transport), federal loans are at inflation interest and can be partly forgiven.
Ps. Relining didn't sagregate my schools eaven if it takes 3 generations for immigrant children to reach average results, the system could be much worse.
As with most things in the US, it just depends on what state you live in. Some states fund tuition scholarships for students who make good grades and/or test scores. Many states have affordable state college/university options. The US has over 4 thousand colleges/universities that are not all expensive. Students just need to pick the right one for them and their finances.
@@DeidraBeee
So all degrees are equally valuable? The university of Trier and Munich are graduating people by the same standards as in Barcelona and Prague, without pricing going haywire and people discarding state college applications.
@@fionafiona1146 So, I could go on for pages answering your question! Short answer: Not really, but the differences aren't as drastic as people lead themselves to believe. I do not think for profit schools are as valuable. For profit schools are also a huge cause of student loan problems in the US. Nonprofit colleges/universities should be...for the most part...equally valued...but they're not equally rigorous. The average job application does not request "a bachelor's degree from the top 100 schools in the US" the job application will require ANY degree from an accredited institution and will want to know your skills and experiences. So people need degrees AND a good resume. It doesn't matter if the college is in Texas or Tennessee, it's still an accredited degree.
There's so much more to say on the topic. There are "higher ranked" and "well known" schools across the country. But students don't have to go to those schools to get a quality education. My main point is that there are affordable options. And if a student isn't pleased with their affordable options, they can borrow money for what they view is a better option for their personal desires.
Don't get me wrong, the system is messy. But for the most part, I think people in the US forget or are unaware of their options.
Don't worry about your student loan. There's political push to forgive student loans, which will eventually happen. or the dollar will collapse, which will wipe out everybody's debit.
I’m glad I never took out student loans I’m paying cash out of pocket for my tuition
Economically speaking student loan forgiveness will actually produce a rather large bump in GDP. The takeaway is that the implications towards the government budget are yet to be determined.
In my opinion this will be a mixed back with more good than bad.
Given the fact that this is a broad program, there are going to be undesired effects but i think that it’s disingenuous to focus on them alone just because you’re uncomfortable or philosophically opposed to the bill.
I am someone who will have part of my debt paid off. But if i had the option i would’ve passed off the forgiveness to someone else because i can personally afford paying off the debt.
Frankly speaking i think that the selfishness and apathy that many people have shown in the face of this bill is something that i’m chiefly opposed to. I have qualms to pick with people who pass off the idea that predatory loans or major interest charges, are just part of this dog eat dog world that we live in.
And that’s really the whole crux of this debate. People giving way to altruism or self interest.
I’ll keep my eyes open and track the results of this bill.
Movies and shows
7AM
7AM
Why wouldn't you also detail graduate student loans
“Every time you borrow money, you're robbing your future self.”
--Nathan W. Morris
Not always. Depends on what that money does for you. For instance, I took out loans to go to pharmacy school. It was a lot of debt, but the income increase that a career in pharmacy provided was enough to make it a worthwhile investment from a financial perspective.
Withered 31 year old. Chelsea, you're hilarious 😂😂😂
I can’t be the only one who rolls their eyes at the whole “but all our teachers and high school counselors told us to go!” excuse. If you are under the age of 35 you had access to Google. If you lacked the basic observational skills to think “hmm, maybe I should do a bit of independent research on my own instead of blindly listening to people so bereft of talent they ended up as high school counselors making 30k a year”, that’s on you.
While I agree the cost of college is ridiculous, how things “should be” is completely irrelevant to responsible decision making. To be frank if you were gullible enough to somehow find yourself six figures in debt, you’ll likely just find another way to ruin your life soon.
This is literally more information they ever offered.
simple. don't get them
:(
She kinda bad
Little tip: stop using capital letter for each goddamn word. It is just annoying to read.