Hello and Hi Everyone! Because this is a new episode/upload I'll be signed on here for the next hour answering the comments and questions that roll in. So drop them below and let's talk about student loan debt (or anything else). Let's go! -Danielle
@@therecruiterchick I wish I could predict if this will happen! History is a really effective tool for discovering patterns in policy and behavior, but doesn't always give a clear image of the future. I'd hesitate to say definitively if student loan debt will be eliminated at the federal level/in one unilateral move. Lots of states and large cities are starting to try to meet 100% of identified student need (this is the case in my home state of NY and in NYC public universities, but the programs rolled out longggg after I was already out of college). And even if debt gets eliminated for incoming students moving forward, it's unclear what will happen to the people who have already taken out loans/still owe money from previous years. Some of those loans are as recent as 2019...but others stretch back years or even decades. I wonder if the state-by-state or city-by-city system will continue to spread, or if we'll see a more uniform and comprehensive system put in place soon? I'll leave that last question open to debate down here in the comments section though!
What does it mean to go bankrupt? I thought it was only for companies but can people do it too? Then what are the drawbacks of going bankrupt instead of paying off your student loans?
There are easy ways to clearing student loans and fixing your credit scores: Keep your credit card balances low. You don’t need to carry a balance to build a good score. Once you do that, you’re on a slippery slope to debt. Also pay your bills on time and in full; this is an important factor in getting your scores up. However fixing your credit scores and clearing loans can be nerve-wrecking. I was once in a bit of trouble fixing my credit so I enlisted the help of a repair team called Patch Credit Group who helped fixed my report and upgraded my scores in record time without hassles.You can as well contact them via their email ( PATCHCREDIT at GMAIL COM ) or via cell 323 325-5254. Tell them a previous customer referred you.
Don't be relieved. Now that you must live in servitude, or as I like to call it, corporate slavery, you will suffer the effects of our debt-based monetary system. The same way monopolizers profiteer debt and interest in the whole student loan situation, they profit from national debt. Except now, you suffer on a bigger scale. Income tax, fractional reserve banking, inflation, and manipulation of interest rates to profit when we go into an economic crisis, which is what we are heading into very soon. We the people must take the power that was given to the banks, so that our sons may live in prosperity and true freedom.
Am I the only person noticing that the US government didn't significantly subsidize higher education until it was an incentive for war? That makes me uncomfortable with the priorities of the country.
I have 2 friends who have the same degree as I do, they are veterans, they got jobs at the same company we all applied to and I didn't. the told me the company only hired them because they were veterans. your class isn't everything in america, it's the only thing.
Well, from the perspective of those in government, the Cold War represented as an existential threat to America's survival. Principles like limited government tend to get thrown out the window when statesmen get worried about the continued existence of their state. But, if it makes you feel better, some people argue all states are like that...sad consequence of the anarchical state system...
Lerkero The Soviet government did the same, so did the European Great powers before us with the exception of Great Britain. National security is always #1 priority for all nations. What you said may sound nice and thoughtful, but it ignores very basic and glaring facts.
@@enjoy-ly7zw just because you went to a "university" doesn't gurentee your degree is going to give you a top notch job upon graduation. Employers couldn't give 2 fucks. All it is in the end is a piece of paper. If you have job or work EXPERIENCE then that's what will get you a job. Just because one person went to a JC doesn't mean they are a bad person. And besides why would you even compare yourself about paying more for a damn school? Point is to pay less and not be in debt.
I don't remember who the comedian was. On tv many years ago he said "I spent $50,000 to get my college degree-glad I didn't do something stupid with that money, like buy a house!!!
Gosh, it is very difficult to focus on my classes when all I can think off is all the money I owe. Sometimes it feels like higher education isn't worth the cost and I could've just put a down payment on a house. I am in art school and instructors often tell us we will have to be working retail on the side for a steady income. So why are we in school then???
I got $65,000 debt for a 4 year STEM degree, and there are no STEM jobs available where I live and since I'm caring for my parents because their social security and medicare won't pay for the care they need, I can't leave to find a job for my degree. poverty sucks shit.
I believe it’s much wiser to look for higher education somewhere in Europe. It is much cheaper and still very good! And you also will get the opportunity to meet a foreign culture and of course you will be able to travel in Europe.
Sorry to hear that Feenefox. But this is one of the transparency things that needs to be dealt with. The actualy value of a degree can vary enormously, even though they all cost about the same. A degree in most art schools probably isn't a good financial investment, as much as that sucks to hear.
Eric Godfrey For the most part, simply having a bachelors degree in biology, chemistry, or physics will unlikely get you a well-paying job even though they are STEM degrees. In order to get a good paying job with a degree in bio, chem, or physics in today’s US economy, you’d have to get a masters or PhD in those fields. Obviously, there are exceptions, but that’s the general rule unfortunately.
We need to get away form the cultural phenomenon of having to attend college in order to be successful. Colleg degrees shouldnt be required for basic jobs such as an assistant or a front desk position. We are a country of over saturation of college degrees and more manual labor no one wants to do.
This is a challenging subject to wade through, but let's dive on in! On the one hand, as an educator myself I fundamentally believe that there is such a thing as the love of learning, and that everyone should be able to pursue the degrees they want, even outside of considerations about how much money they'll make afterwards. But I'm also a former student who realizes that this isn't the reality most people live in. Because of the prohibitive cost of a lot of college degrees, students are forced to make the decision about whether or not to go to college as if it's a business decision (which it is, considering those big price tags and the strain it can put on a family's finances). That being said, not every student thrives at a desk in a university staring at a someone lecturing in the front of the room. And there are some really entrenched ways we talk about college and what it means to be a "success" that don't benefit students who can and will learn better in another environment. So I have students who are in college and are doing well with that model. But I have equal love and admiration for my Originauts (aka all of my online students and life long learners) who just sign on to TH-cam and watch Origin or other great channels. There are so many ways to learn and so many ways for students to be engaged. We should start emphasizing how to celebrate that instead so that we can start telling kids there's more than one way to learn and more than one way to define success. Thanks for bringing this up!
That front desk job probably requires a working knowledge of Microsoft Office Suite, Google (you'd be surprised to see how many businesses schedule interviews or meetings with Google calendar and then conduct then via Hangouts), writing grammatically correct letters and emails, basic social media marketing, etc. All stuff that requires some form of post high school education.
Stepson #1 has $89,000 student loan debt. His wife has $63,000. There total payment, after adjustment, is $1,800. Stepson #2 has $72,000 debt. His payments after adjustment is $900. What you should never do: Attend a private for profit school. These schools are ripoffs. Stepson #1 paid $30,000 for an 18 month graphic design program. Only job he was offered was $7.35 per hour screen printing t-shirts. Nothing transferred so he had to start over from square one. Private for profits will promise you everything to get you enrolled. Again, these schools are RIP offs. Dont fall into their trap. 2. Use student loans for living expenses. Too often money for rent etc gets used for entertainment. I was a education/job counselor for 30 years.
I studied Computer Animation in 2000 and I graduated in 2003. First job was $12.95/hour. I knew I wasn't going anywhere so I continue to learn and expand my designing skill set doing graphic design, motion graphics, illustrator, video editing, and photography. Tuition was around 18-20k per year and I was able to pay all that off in less than 5 years but I busted my ass doing full time and a lot of side projects. Would I recommend young kids to join this field? Yes, but you really don't need to. It's all about your demo reel and all your past projects. You can get by by going to a community college that offers an associate program and it's a lot cheaper than private colleges. As long as you got a great portfolio and demo reel, you'll get hired. It's all about your art/creative talents. Honestly, I would go study programming and anything Blockchain related majors. That's where the future is. GLTA young guns.
It's better to go to a two-year community college (which is almost free), transfer the credits to a local university and get your degree in two years with a lot less debt. Some of these kids are treating the student loans like a ticket to attend a resort for four-years. Robbing Peter to pay Paul, is what my father used to preach. I worked my way through college and graduated with no debt and did the same thing for law school. I'm completely debt-free, including mortgage and vehicle. My education was successful.
Graphic Design Background. First job in the industry 8yrs ago I started off screen printing shirts while learning how to do design for screen printing. Now I own my own Design Studio specializing in art and separation for garment decorators and clothing designers making over 100k a year. There's actually a lot that can translate from Digital Design into Design for Screen Printing and can be very lucrative. I would suggest your son stick it out but learn as much as he can on the art side. After he's learned enough or all he can, try and break away and freelance. Yes working for someone else will hardly ever compensate you enough for your skill but taking advantage of the information that can learned while working for someone is priceless. All this said, hopefully, one: the place he is working for has knowledgeable artists that he can learn under and two: he enjoys designing for apparel as this type of design may be a bit different then other applications of design.
That’s exactly what ITT did. (Criminals/scammers) 30-40 k on a loan for drafting and design. If You graduated in (2007) you got 7.00-8.50 P/H . Printing business cards. Sad! But it’s too late when you realized it was a scamm backed up by sallie Mae and the government that allows this scammers. Glad they closed all those schools. Took me 10 years to pay for a quarter in itt...
Australia - pay college later only if you earn above AUD$40,000 a year. No interest. Only indexed to inflation. I never paid anything while i was in university.
@@danielalexsalazar333 lol our minimum wage is 40% higher, even converted in US dollars. And our taxes are not that much higher. We also have pretty much free medicare and cheap prescription pills. And if you are unemployed. You can get allowance while you look for a job. So we're better off and not supporting some corporate bank who only cares about payment.
@@therealnoodles7638 I cant speak for the US as a whole because each state is different. But in California the minimum wage is higher than Australia after converting and adjusting for purchasing power, and we have lower taxes.
@@danielalexsalazar333 what? California minimum wage is $11US. When coverted to $AUD, it's $15.88. Our national minimum wage in Australia is $18.93AUD. I don't know where you're pulling your facts from. You may have lower taxes but you barely have any benefits.
@@therealnoodles7638 you forgot to adjust for purchasing power and tax. Nominally you may earn $18 aussie as a minimum but what is net after taxes? Even if the net after taxes is higher in aussie dollars, you still have to adjust for purchasing power. For instance for arguments let's say there is no tax on you $18 aussie. The question becomes what can that buy you? Compare that to say $10 US or whatever the minimum wage is and see what that will buy you. I dont think your few bucks more in nominal aussie dollars will by you more than the US wage in goods. No secret that you guys have high cost of living to support your high minimum wage effectively inflating your currency.
I'm less than 6k away from paying off my student loans. My plan is to be finished paying them off by the end of the summer. Yes, a lot of my income goes to paying them off. But I'd rather not be in debt. (I started with 37k) I started in college in 2005, and my whole first year was paid for by Pell Grants, Cal Grants (resident of California), and scholarships. Then Cal Grants disappeared.
Yes figuring out how to pay back loans (while not breaking the bank in other areas of your life) is a huge undertaking. Congrats on almost being done paying this off! That's an achievement worth celebrating :)
@@oceanwave3 That's great to hear! They were probably reinstated awhile back. I went to college during California's financial crisis, finishing in 2011.
Keep the great work Stephanie. I'm glad you are almost done paying off student loans. It hurts now paying a lot of money towards the loan, but the reward is outstanding not having the loans years into the future.
This ignored all the massive spending pits in universities that don’t even improve the educational quality for the students. Things like multi-million dollar salaries for board members and directors and presidents, or enormous football stadiums to draw in even more money to the sports programs. Higher education is treated like a corporation with those in power leeching tens or hundreds of millions of dollars off the students annually without many significant improvements in the quality of lives of students and workers.
Greed. The answer is greed. University in Europe is free. Masters programs in *English* across Europe are also free. People in Europe laugh at Americans for allowing their system to be as corrupt as it is. Theres no reason for your health care to be expensive, theres no reason it costs $23,000 to have a baby in America and theres no reason for your university to cost anything more than $500 a year. Neither should you be outfitted with a lifetime debt at the age of 18. The cycle will however continue, and for the banks and loan offices, thats the best part.
A much more budget friendly number for new students, for sure! Since plenty of people travel internationally during the course of their degrees (and their lives) it's always good to look into the local college costs wherever you end up. These numbers can fluctuate a lot based on the institution and the location, so this is a good reminder for our viewers. Thanks!
@@DebraJohnson I started my prerequisites summer 2014 while working full time and graduated December 2018 still working but cut down to part time 12x2/week night shifts as a trauma tech once I started the official program
@@wedgepressure4313 You didn't have an adult disabled daughter at home to pay for, did you. You weren't trying to get disability for her while her mental health declined. You didn't have to abandon a semester because she went into the mental hospital, did you. Not everyone has it as easy as you.
@@TippyPuddles That sounds very difficult. I was providing for a wife and 2 kids while I was in school, so while it wasn't a cake walk it was still a challenge to provide for them. . We had a mother who was homeschooling her 5 children while she went through or program, she was seriously incredible. And many people have disabled children while doing through this schooling. Your situation while very difficult is not something impossible or uncommon and it may require student loans to get through so that would be understandable if you had to go into debt to get your RN.
Working on RN, couldn't stop working to go so I went the EMT to Medic then RN bridge. Lots of hard work, night classes, sacrifice and patience. If you want it enough and have patience to do it, you can. Cringe so badly at these students who want instant gratification then whine about the debt.
The Student-Debt Crisis Hits Hardest at Historically Black Colleges • HBCU alumni have a median federal-debt load of about $29,000 at graduation-32% above graduates of other public and nonprofit four-year schools. • The majority of HBCU grads haven’t paid down even $1 of their original loan balance in the first few years out of school. Robert F. smith is awesome for his generosity for agreeing to pay off Morehouse ‘19 graduating class $40M in loans.
The public HBCU is St. Louis is the cheapest university in Missouri and if you received the full Pell Grant you could even get a couple hundred dollar refund. You still have to figure out housing and whatnot, but there are still options in making higher education affordable. I think the big thing being honest with students what they are getting themselves into and their options. I would expect Morehouse to be more expensive since it's a private university, but still one the lower end of private universities. Considering that HBCU are usually cheaper, why do you think the federal-debt is higher for HBCU alumni?
Chelsea Pretz Though HBCUs typically cost less than other public and nonprofit four-year schools, these colleges have long trailed those peers on measures of debt and repayment. Now they are trailing by far greater margins. Many HBCUs see a mandate in giving opportunity to disadvantaged youth, who often start out with fewer financial resources and a diminished ability to pay. • HBCU alumni have a *median* federal-debt load of about $29,000 at graduation-32% above graduates of other public and nonprofit four-year schools. • The majority of HBCU grads haven’t paid down even $1 of their original loan balance in the first few years out of school. • America’s 82 four-year HBCUs make up 5% of four-year institutions, but more than 50% of the 100 schools with the lowest three-year student-loan repayment rates.
Unfortunately this is so true. Most HBCUs are private institutions. African Americans are already at a disadvantage yet they take the risk to go to an HBCU in order to be in an environment that caters to them and their unique experiences. It's a dilemma many black college bound students face. My first choice was Spelman College but when we looked at out of state tuition , it would have cost me $60k a year. I opted for an instate public PWI. Mind you, I couldn't make up my mind on what to do with my life and had to get two Undergraduate Degrees. I regret not going to a community college and transferring, I would have saved plenty of $$$.
There’s almost no choice in the matter. It’s a double edged sword. Most good (not great) paying jobs require at least an associates degree to qualify. It’s harder to get good paying jobs with just a high school education
College is still marketed like the plague. And I can only imagine the moral dilemma high school teacher must go through to advocate college when they themselves are drowning in debt.
Many of us are raised to believe that you MUST go to college, and that'll it'll be a guarantee for not only financial stability, but upper-middle class if not higher, status. It's the mark of a good student, good person, and upstanding person of society to have a degree, especially from the more expensive Ivy Leagues. The more exclusive, the better. The push for STEM, doesn't help either, as anything not-related to a STEM career is looked down upon, like the arts or even education for k-12, especially with their infamously low salaries. Part-time jobs for youths in retail and the food industry is also believed to be a mark against your character (especially since high-school students are the only ones who are supposed to be "doing" these jobs), as struggling with money, in general, is not looked upon highly - it's considered a failure of character. You're supposed to believe you're gonna go through university not worrying about money, and then immediately land a job in your field once you graduate. That's not a guarantee for the vast majority of people, so retail jobs tend to be the job of choice until then.
@Ceylon Blue I don't know about you, but I was raised to believe there IS no path to success WITHOUT a college degree - I knew in theory that you SHOULD be able to, but the statement that you succeeded without it still shocked me. Many students have to believe they're failures if they don't have a degree, and that they can't get any path in life without it. Very rarely do you learn about careers or job paths that don't need a degree first, like the emphasized STEM paths.
Here in Belgium my daughter has done Veterinarian studies, 6 year college. Because my income was quite low and I was a single mother she could apply for a state scholarship of about €3500 every year. The college fee was reduced to € 80 per year. She was also lucky to find a room in a University owned complex. Those rooms are at reduced prices for people with low income. Off course the books and other things she needed for her studies were the usual price. The government gives out these grants so that children of every income can do university studies. There are a lot foreign students at our universities, what makes it quite interesting.
Good job covering the topic! I paid off my student loans last year. About 35k, 5 years after graduating from my trade school. College costs are insane, it is amazing to me that there are high school grads still signing up. What is even more amazing to me is the lack of guidance from parents or adults in kids lives. The government is the biggest reason why this is a problem, but if my kids tell me they want to take out 60k in federal loans at 8 percent interest over 10 years for a degree in philosophy I would tell them absolutely not. That's what parents should be doing right now. Learn how to tell your kids no. Learn how to say your dreams are stupid, get a hair cut and a real job. Skilled labor is where the money is at right now anyways.
In order to finish my degree I had to take out exorbitant loans at ridiculous rates to finish my final year. I've been paying on my loans for eight years and I still have over $50k left to pay off. Thinking about how I was taken advantage of in my last year makes me so angry! No one told me that in order to make my degree worth anything I would have to study abroad. When I find this out and go to study abroad, they assume my ramen noodle 3x a day self has $40k to pull out of my ass for a SINGLE YEAR. Needless to say, my degree is now worthless. And the alumni association still has the NERVE to ask for more money. I can't even begin to express how furious at the whole situation the whole college experience has made me. Not to mention that the money I would be using to save for a house is all going to student loans. I feel like I'm stuck paying for a house without the house.
@J Smith I have two degrees and I'm a locomotive engineer. I didn't even need to go to grad school to make $100k+ but I'm stuck working a 24/7 on call job and I'm sick of it.
So an 18 year old that recently graduated high school is expected to know how to deal with all of those weird names and numbers? No wonder they don’t know about all of their options for paying college
this was so good and so maddening. It sucks that lower and middle class young adults get taken for this ride and not enough is being done to protect us/them. Information is the best weapon. If students didn't have to focus on class they could protest but it seems so much harder to have a bargaining chip when you're paying to be there. I graduated Dec 2012 and I'm dealing with debt. I have had other privileges that make it hurt less but it's still a hassle. And with how much I'm paying back it makes ODU begging me for donations suck that much more. If only more billionaires made like Robert Smalls and gifted hard-workers a better future. I don't want graduates to have to sign away their next 20 years to a debt mountain.
In New Zealand, all student loans are issued by the Government through Studylink. They are interest free, so long as the student stays in the country, and parents are not means tested for it. The repayments get automatically deducted with your tax, if you work.
A lot of money could be saved if they stopped subsidizing for-profit education. If your credits don't transfer or graduates don't have a high percentage of employment for their studied fields then no money for you.
J Smith State and Private schools have a much better track record on average. And the people have a stronger influence over state schools than For Profit schools. And most private schools aren’t really charge you as much as it really costs. Ones that do well and treat their students well are more likely to get donations from them on the back end. The only ones that don’t need it are ones with huge endowments. For Profit schools like 90% of their funding comes from loans and they don’t have the best success rate.
My response to all those who went to college and think every situation is as simple and easy as your own. My husband retired and moved out of state leaving me with an adult daughter with mental disabilities. I was a stay at home mom for 20 years. I returned to school because I could not get a job that paid me enough to live. I live in the country with an old car and no public transportation. Could not afford to move, no credit cards. I took out student loans to try to keep a roof over my daughter's head as well as my own while attending college. Her mental health declined and being abandoned by her father didn't help either. After several years and abandoning a few courses to take care of her, my debt climbed. You think your getting somewhere, and that when you get out of college you'll have a good paying job. After a few years and a few stays in the mental ward, my daughter finally got SSI. Now I have a hodge podge of classes and only accomplished a general associates. Not worth the debt but I have a place to live. Would I make different choices if I'd known the future, you bet. But it is what it is now. Please realize not everyone goes to expensive colleges and just racks up debt living it up on student loans. Real people are struggling to have a better life.
@@atmodlee Nothing else explains the rise better. Services are constrained buy what people can pay. If a third party like government steps in and guarantees everyone can pay it allow this kind of price growth. Nothing else could facilitate this price increase to this level, even conventional loans from banks. Because with bank loans those are dependent on your ability to pay them back while a government guarantee is simply a blank check to everyone. No need to over think the obvious
I went to college for 1 semester for a 3.4 GPA and never went back. I then went and got a trade that will always be in high demand. I now make over 100k yearly. I love my job and I owe no student loan debt.
A great explanation of how complex the situation is. Reminds me of the complexity of increasing healthcare costs/debt in the last 30 years. Anyone offering a simple solution to the problem should be made to watch this video to understand all the steps that got us here
Sadly for me I got student debt bc I went to college to get a fancy piece of paper that sadly hasn't helped me at all. Nearly all the jobs (that I want to work at) all keep asking for years of experience. That's where my frustration comes from, not so much that I have debt but that no job will let get the experience many require so then I can pay off the loans faster.
I am so grateful to be living in a country where I am expected to finish university with zero doubt. Wow. Education should not cost you your life. Also I'm living in the Global South and in a middle income country - America has very few excuses to continue this trend in my opinion.
@@a.citizen7668 hey not that you were speaking to me, but I get paid about $12/for a job that doesn't require a 4year degree... which I have, and can't pay back the loans.
@@carolyperez8075 Ms. Perez I wasn't talking to you. I was speaking to Kevin. Hang in there and try to find a higher paying job. I've been at both extremes - very low and very high.
IVY League I see. Great job! You do an excellent job with your dialogue with presenting these various topics. That alone amplifies my engagement to stay tune from start to finish. Bravo!
High possibility . I had several friends who their advisors mistakenly (or purposely) who were told they missed a class to graduate, but in reality didnt need it. Other friends, the school wouldnt accept their transfers and they ended up taking the same GE class at the university. I had a friend who wanted to graduate early, so he went to the department head and asked for a course overload for more than 20 units. She asked why he wanted an overload, and he simply said he didnt like the school but he was in too deep to just transfer. She wouldnt give it to him because she felt “he couldnt do it” and told him to take a year off of school and then come back. And in my personal experience, I had a set goal to graduate in 3 years due to my AP’s and summer courses i took to graduate early. I had to prove I had a full plan to take the courses that did not align with the curriculum sheet that they gave us. Long story short, my advisor didn’t expect me to the all the research but I did, he signed it, and graduated in early may with only spending 3 years to get a bachelors. While my school was a public CSU, I could only imagine the advice these private schools more expensive public universities are giving
Message to minimum-wage workers: if you want to earn more you need to learn more, build up your qualifications. ... worker takes that advice, takes on debt--because they sure-as-heck couldn't build up savings on minimum wage. Message to student debtors: you shouldn't have taken on debt you couldn't afford. The US is collectively shooting itself in the foot by making higher education a for-profit enterprise. We've been in an age for a long time in which a highly educated populace is a must. We're going to see very soon the rise of highly educated people augmented with AI and nothing will save the US then.
Elimination of current loans is unfair to some students. Some students paid almost their entire amount, whereas some others have not started paying. This policy discriminates against the students who repaid their loans to a large extent. A better policy would be an equal releif policy. Everyone gets the same relief amount, if you have already paid some of your loan, you can keep the money. If you have only started paying, your debt would be substantially lowered.
Work while your in college in jobs or fields that actually have value and can pay. Going 200k in debt for a social worker degree and field that maxes out at 35k is stupid. Tech jobs don't care about your degree, but you need to be willing to learn.
Yeah that's right. Why would we as a society want to pay a reasonable wage to people doing dumb worthless jobs like social work or teaching... All those kids need to pick themselves up by their boot straps
This is a false solution and inaccurate. I work in tech. It's an oversimplification to say they dont require a degree. Most do, although there are some companies that may consider bootcamp graduates or self taught learners, but those with degrees are typically preferred (unless they fail the technical assessment). Also, working while in college in most cases will hardly lut a dent in your overall debt.
When I was in college, the public university I attended decided to raise tuition by a fairly decent percentage to pay for a shiny new fitness center. Last time I checked, you go to a university to get a degree in a hopefully marketable major. You don't go in order to work out on a treadmill or lift weights. The cost of that tuition increase far exceeded the cost of joining a private gym. It's crazy, and we the students had no choice in the matter.
I think one of the primary contributing factors is rarely talked about. Too many students choose majors that interest them instead of majors that will make them employable. Borrow $100k to get a degree in accounting, engineering, or computer science. You'll be making at least $25k more than if you didn't have a degree and you can pay it off in 5 years with the excess. By the time you're 30 you'll be out of debt, and for the rest of your career you'll be making a lot more than you would if you didn't go to college. Borrow $100k to get a degree in art history and you'll get the same job that you would have gotten if you didn't have a degree, not to mention the four years you weren't earning any income, and you'll never be out of debt. If you get a useful degree you'll be better off going to college even if it means borrowing. If you get a useless degree you're far worse off than if you don't go to college. If art history interest you, read a book about it.
finao o useful is subjective in some places say newyork that art degree could end up as a six figure job but in wyoming its toilet paper. know your area, lots of friends did chemistry and cant find work local...its like yeah no shit dumbasses
I've read somewhere, if a college wants a student, the college should guarantee loan payback from their endowment funds; or otherwise pay outright tuition costs from endowment funds, which, for most schools, have grown astronomically over the past decades.
Student loans are horrible. I attended a private grad school and was expected to pay almost $1500 a month. I asked for a income based repayment plan, it was approved... then it went back to about $1500 with not one notification. Once I contacted them, the website reported that the uploaded pay stub font was small and hard to read... so they just didn't do anything...
Although most of this video is geared towards undergrad student loan debt, grad school loans/debt present their own logistical issues. Sorry this mix up happened, but hoping it gets sorted soon (or has been sorted out already)!
Must be fedloan. I have the worse experience with them. They have gotten a lot better but for years you could not trust the people you were dealing with on the phone. So many times they said they would take care of a matter and nothing happened. It was always something that I did wrong or the kids on the phone were giving me the wrong directions. I got to thinking they were doing this on purpose. It took talking to an upper manager to get results. I too have IBR. This time I uploaded my 5 pay stubs and would you believe it!!! A week later I called to check up on these people and my upload "never made it to my digital drop box" the next guy told me I should only upload 1 check stub, they got it and finally lowered my payments to 245 a month, very manageable. I pay far above this amount into the principle each month about 1400.00. 42,000 is now 29000 and will be 18000 by next year then another year and the loan will be payed off. I'll never barrow money again in my life time unless I can make money off it.
I only borrowed 15k student loan by going to state school in computer engineering then got a job as a software engineer getting paid 130k right out of college. Paid off my loan immediately. Now getting paid 190k 3 yrs later. Make right decision ppl. Life without a loan feels so good.
Comparing Canada where I am with the US it seems that the US costs roughly twice as much in tuition and fees as Canada. For domestic (same state/province) students in each country in US dollars for yearly undergrad tuition and fees, it costs on average ~$5,000 in Canada and $10,000 in the US [1]. Now this varies a lot by province/state and increases far more dramatically for out of state students than out of province ones and even more dramatically for international students. Another thing that makes post-secondary cheaper in Canada are RESP savings which are registered tax-free savings that parents put aside for their kid's future education. And these appear to have been fairly effective since around 59% of school costs (more than just tuition) in Canada in 2018 were paid by RESPs [2]. So although it is unusual to be like me and finish an Undergrad without any debt in Canada due to RESPs, work terms, and scholarships, it is probably far more common here than in the US. I wonder how the history of education and loans compares here with our southern neighbours. And I wonder how some current decisions in Ontario will affect the cost of education in Canada in the future [3][4]. [1] www.topuniversities.com/student-info/student-finance/how-much-does-it-cost-study-canada ($6600 CAD is $5000 USD), www.topuniversities.com/student-info/student-finance/how-much-does-it-cost-study-us [2] www.macleans.ca/education/the-cost-of-a-canadian-university-education-in-six-charts/ [3] globalnews.ca/news/4856924/ontario-tuition-cuts/ [4] www.theglobeandmail.com/canada/article-new-metrics-for-ontario-university-and-college-funding-include/
The same snowball effect mechanics that she points out here which caused education costs to balloon are similar to those which have caused healthcare costs to balloon. It all starts with a short-sighted government program to "help" these items become more affordable. A vicious cycle.... awful
As I was watching this video I was wondering about the culpability of the students for taking out the loans as well as the majors and schools that they choose. Then I saw that the pitch for new show 'Monstrum' and the person with the PhD in literature with a focus in monsters.
That's why it's important for students in high school to seriously think about if college is right for them personally . Because student college debt is over $ 1.2 Trillion Dollars right here in the U.S.A. now in 2020 😒. Truly Yours Mr.Cottrell 😉.
I had student loans and paid them off - I just hunkered down and did it. A long term view of a purchase (in this case, spending tens of thousands of dollars) with borrowed money can be helpful, but I think that many people do not take a long-term view that would serve them better. Any purchase a person makes has consequences, and nothing is guaranteed to us. I am sorry that so many people got it to so much debt by borrowing so much money for college. They made a decision with a calculated risk, and now they are being held accountable for their decisions. There are many stories of people who lost their homes when the 2008 housing bubble burst. So many people took on loans for houses they simply could not afford. They made poor decisions and paid the price for those decisions. But, looking at the front end of how they got themselves in to those situations - low paying jobs, balloon mortgage payments, auto loans also, and so on - they had no business taking on those mortgages. Look, they can borrow what they want - but there will be consequences. There are some parallels, I think, with the student loan situation. No one is forcing people to take out student loans. I live in a college town and I see how many, though certainly not all, students live. They have a lifestyle that shows they are spending someone else's money. In a way they are, but since the money is borrowed, they are really spending their own money, or they are spending money from someone else that will take them many years of work to repay.
Thanks for having this video about student loan debt. I am 70 years old and I just paid off my massive un-subsidized and subsidized student loans that were 6 figures, Thank god it only took me 35 years to do it. Now I am debt free and ready for the nursing home or grave yard, Thanks america!
Had to work my way through a non-traditional college. Was on my own. No roommates, as it was a hard situation for myself to create living where I do. I did well in college and only acquired $22,600 in debt when I left college. Here is the thing, I could not find a job that paid $30,000 a year, back in 1999. In fact, it took me 13 years to start making that much money and I had to work 7 days a week to make $30,000 a year in the human services field. My loans which I was unable to pay on soared up and up and I will never be able to nick the principal in this lifetime. Ultimately, what this woman is saying is absolutely correct. Recently, I heard a graduate on TV news state, "If we do not pay our loans back we won't appreciate our education." Well, as far as I am concerned, I have paid for my college education physically, and emotionally. I worked full time while attending college, and between working full time, and studying I missed out on having a relationship, and children, and everything else life has to offer. Then there is a debt that has crippled me emotionally leaving me with great angst.
Only big thing I have to disagree with is that no only for profit schools increase their prices by 300% since I believe 1994, but so did nonprofit traditional school raise their prices. Even state schools increased prices.
I used to work as a secretary in a NYC university nearly 20 years ago, and even then I saw this kind of thing happening all the time. The university graduated thousands of kids every semester with enormous debts and degrees that are worth nothing. Colleges know this, they know there are no jobs for these graduates, and they do it anyway. It is just greed. They don't care about the kids, because the college has their money. I also blame parents and anyone else who takes out these loans and pay these prices for useless college classes. Too many colleges all claim their degrees will give you a good job, but it is just a lie. This is the real lesson, never put out this kind of money if you have no way to pay it back. No degree is worth putting yourself in debt for life. Parents and young adults alike need to just stop paying the utterly ridiculous cost of colleges. Colleges keep raising prices because people keep paying----and they need to stop. No employer cares what degree you have, all they want to know is what your experience is. A degree is essentially worthless 20 years ago, and today. Just get a job, doing anything. At least you won't have a huge debt hanging over your head for life.
In Trinidad, tertiary education used to be totally free for about 10 years (and right before that it was 50% subsidized) and thankfully I was one of those who benefited. Now it's subsidized based on a means test.
My parents went to college in the 1950's. Tuition and fees and books were much cheaper, but still cost a lot back then. My parents were both struggling to become middle class. My mom put herself through college while working, without help from her mom and stepfather, who were a butcher and a grocery store / bank clerk; my grandmother was a poor farm girl who'd moved to the city and worked. My dad was a farm boy, not rich, and he'd served in the army and then went to college after, while working, probably on the G.I. Bill for education. Their college fees and book fees were only in the hundreds of dollars per semester. -- My own college fees were already in the thousands of dollars per semester in the mid 1980's, and my parents were upper middle class at the time, so I worked some but basically got support from them for college. Yet later health problems and a bust in the engineering and oil and gas industry ruined much of my parents' savings, and then taking care of my grandmother completely ruined my savings and what I'd gotten from my parents, who had passed away. The cost of a single college semester now is outrageous. I wonder how I would've been able to go to college, even with the comparable income we had then and if I'd worked during college. I didn't graduate the first time around. I went back and got a two-year associate's degree with honors, while working hard. Costs were already climbing then. Now, I'm over 50, still handicapped, and can't really afford to go back to college full-time. This cycle, where people are at risk of falling out of the middle class, of losing their paths to a better life and income and education, is a dangerous thing, when it can affect so many middle class and working class people. They deserve a good education. Their work and ideas are the engine that drive our economy. Destroying the ability for the average American to get a good education could doom our country's future. Somehow, we have to solve the student debt problem and make college attainable for every eligible student. If you are smart enough and hard-working enough to get a college education, then you are needed; you deserve that; our country's future depends on that. We can't know who the next great people are who could change the world for the better. It might well be that immigrant kid whose family don't speak English yet, or that black or brown kid from the projects, or that middle class suburban white kid, or that handicapped kid, or that gay kid. Notice I said kid, not boy or girl, because it could be either or both, who make those great changes to better everyone's life. That's what's at risk. Just because you're different or poor, you still deserve that chance at an education, or we all risk losing out on what you might contribute. Everyone is needed and deserves an equal chance.
I also had the same concern on student debt. I joined the US Marines and got my first Bachelors and Masters. I got out debt-free and the GI Bill paid for my second Bachelors and second Masters. No debt whatsoever. Maybe more people should join, even the coast guard. It makes you fall in love with your country all over again, you make lifelong friends, have fun, and get no debt in the end!!! Not a bad deal at all.
The US invaded Iraq based on a lie about WMDs, and killed at least 150,000 people, most of them women, children, and other non-combatant civilians. How do you feel about joining an organization whose mission included killing 150,000 innocent people?
Norman _ I see your point and it is tough to see the reality of the US actions. Then, I looked into it some more. Very few countries, if any are free of atrocities. I am not justifying the US but an option for me or anyone would be to leave the country which we don’t agree with, that’d be the easy part. Where would we go? Countries have killed innocent people all over and throughout history. What country would you align yourself with? Again, I see your point and I hate war. There’s an old quote, “War is not won by who is right, but rather by who is left.” This is also why opting for the Coast Guard can be good. Now you can go from countries or their military services to religions, former empires, and civilizations of the past. For as long as we’re here, humans will continue to kill other humans for thousands of years. That’ll never change, then, is it time to opt for another planet or another species? We might not make it to find out.
The biggest problem with this is if you seek to join the military AFTER receiving your education. You see, student loan repayment programs in the military are being cut left and right and none of them account for Sallie Mae loans, which take up the largest chunk of student loans. Myself, I already got my physics education and seek to be a Nuke Tech in the Navy, however I just found out today that my loans will still be mine to pay off both during and after my service. Apparently the military only wants uneducated youths. OCS candidates are screwed, as are anybody enlisting with a degree.
I also love that on one hand, we have people telling us "Well if you want more pay, get a degree and get a better job!" and on the other hand we have people saying "Well if you don't want the debt, skip college and work your way up in a company! Experience is the main thing!" I don't know when you last looked for a job, but everything entry-level right now requires a Bachelor's degree. You might squeak through with an Associate's, but most need a Bachelor's. And none of those pay well. Theoretically you could get an unpaid internship or an internship with a stipend, but how will you pay rent during that time? Work another job? Minimum wage doesn't pay rent, and then add debt payment on top of that? This system is broken. Some people can manage to maneuver themselves into a comfortable position after years of work and a lot of luck, but a few success stories don't negate the fact that for the vast majority of people, this system is BROKEN.
Because they're expected to go (in order to pursue a career) and if they don't have parents supporting them, scholarships, or if they're not working themselves then they can get into a lot of debt. It's not necessarily a bad thing because most will be able to pay off the debt in a reasonable amount of time if they get a decent income
I went to CUNY YORK and QUEENS COLLEGE 1999-2005 I drove up about $30,000 in student loans and credit card debt. I got my BA in 2005 and at the time had a 503 FICO. Did a study abroad in Shanghai, China’s 复旦大学 #1. I was able to get a scholarship towards an MS so I took out a student loan to CONSOLIDATE MY STUDENT LOANS AND MY CREDIT CARD DEBT. That stopped the harassing phone calls and garnishments. #2. I started working at $50,000 a year and got a second job+ Youtubbing. I applied most extra cash directly to my debt. #3. Paid off my student loan by 2015. #4. Paid my second MS degree in cash out of pocket. Total was $18,000. I am 39 now with a 850 FICO and two houses. When I see what has become of student loans today - where a kid is literally coming out of a bachelors degree with more debt than I have ever accumulated in my entire life even when you add my first and second mortgage, it really upsets me. But fortunately, my war is over
I watched my tuition almost double between 2005 and 2007, I paid attention to it all right! The trouble was that I had already borrowed a significant amount and believed if I just press on and finish I would graduate and make enough to pay it back quickly and maintain a decent standard of living. Boy was I wrong!!!
Everybody saying don't go to college but if you have no skills or no idea what you want to do in life then you kinda should. It doesn't have to be a university, you could go to a trade school or community college full-time or part-time and work a job.
I had to go to a meeting before I got my loans. A lady bank employee told us if we Never paid a single cent on our loans after 10 years the Federal government would pay the bank back for all our loans.
It is one type of debt that is harder to clear up in bankruptcy, although you can do it. My understanding is that the student has to prove that paying back the loans would be an extreme hardship. So it's technically possible, but the threshold for proving this can be high. But it would be wisest to reach out to an attorney who can tell you all of the laws and procedures for this in your area. A lawyer will be well versed in what's possible for the student and can outline all of your options. When in doubt, ask those experts!
Although this may be an odd way for me to phrase it, this actually is within the realm of employers who pay for college and degree programs. Some employers extend this benefit to all employees for any degree that they decide to go back and get. Others have some restrictions (e.g. they'll only pay for a degree that directly relates to your job responsibilities. So if you're an engineer they'll pay for engineering degrees but not a degree in an unrelated field). The military was an early adopter of this model, but the historian in me also just wanted to contextualize it within larger trends in the 20th century. Thanks for watching and commenting!
Blind Squid I cried too, I’ve gone through hell and back I’ve gone through ridiculous times of my life. I’m no different than you, but I pulled my self together and I got it done. The notion of people not paying their debt back is ridiculous. If you borrow money from a family wouldn’t you pay them back? Think about that.
Majority of youngsters I’ve met that why do they attend a university instead of community college. They always responded with only answer called the ‘college life “ experience thing and the university feeling...
I`m writing from Colombia. here, private universities are really expensive so the only option left for low income families is to apply for the public ones, that are still cheap (sometimes for free, if you belong to an ethnic group, faraway towns or settlements or your gfamily income is low) yet they have demanding admission exams that very lucky few pass. I explained that to our American English language assistant at the uiversity I work for, she asked me "how much did you pay back then" I made the conversion to American dollars plus inflation and it was worth around US$ 440 a year. She was shocked!!! she owed thousands of dollars. She couldn`t believe that even with such a low tuition, I struggled to pay tuition as back then I had no job. We in Colombia are fighting for our right for keeping and expanding publicly-funded education, if there's money for a large military in a small country (we have almost the same military personnel than that of Brazil) why not to fund public education to avoid the debt trap that's starting to grow down here??
i like this fam. i got out of school before all this nonsense started happening. my student loans were 24k after a master's degree (2004) in engineering and the interest rate was around 2%. soon after, i started hearing other folks having higher int rates and higher balances. i had no idea it was this deep. now im concerned for my kids ability to go to college.
Yes. This means that even middle class students with good grades can have difficulty getting a good college education without accruing huge debt loads to pay back over their entire lifetimes. If you happen to be in any way outside the norm / majority, such as handicapped, minority, LGBTQ, immigrant, working-class, poor, anyone who might be just as deserving as those students from families with more money to put into their students' educations, then...how are you going to be able to afford a university education without taking on more debt than you can possibly repay in 10 to 20 to 30 years? Answer: Increasingly, many cannot. If we put a good education out of reach of deserving students, middle and working class, minority or majority, how do we expect our country to remain competitive and growing, for our own citizens, and attractive to other countries and businesses for trade or education or information-trading, investing, any of those useful things? How can we cheat the next great thinkers, inventors, creators, artists, scientists, engineers, out of an education and a foothold that could allow them to be the next great people to make everyone's lives better, world-wide? It is a terribly short-sighted thing. Every student with the grades and/or intelligence and drive needed to get a high school and university education (and community / junior college and continuing education) ought to be able to do so in a way that is affordable short-term and long-term. Everyone. Or we risk losing tens, hundreds, thousands of the next great people who could improve life for everyone. Just because some high school kid doesn't have enough money or their skin isn't as white as some people's does not mean they can't be that next person whose ideas brought to life could change the world for the better, permanently. We need every single talented person to be able to get that good education. They deserve it.
Its a big problem TODAY because all through high school parents and teachers tell kids "If you want a Good job, you Need to go to college." Then they basically leave it up to a 18 year old to figure out Where they are going to school, to sign up for all the grant money and loans they can, get a dorm room, furnish their dorm room, party it up like any college kid will for the first year or two before they get serious and after 5-6 years graduate with that "4 year" degree in some already overcrowded field- and just end up taking any job that pays over $14/hr. and get roommates, disillusioned with life, and regret every moment of college for the rest of their lives. It was a fun experience, but not worth the price tag. They could have gone to disney world 30, 40, 50 times or so. They could have been saving up to get their clunker car traded up for a newer one. They could be buying a house, starting a family. But no. They got a degree. And its not really helping them. Thanks for being honest though. Government handouts screw people over Every time. College rates went up outrageously as soon as they saw all that money the government wanted to give out to spend on college. Hmm, exactly like how medical costs skyrocketed when medicare/medicaid became a thing. Pull the plug on the money, watch how fast those fields drop their prices.
Veteran here, I used my GI BIll and Navy College Fund to pay for college. That was 20 years ago and I can easily recommend military service to anyone struggling with the decision to take on incomprehensibly expensive student debt for college. My first house purchase cost me $105K and it blows my mind to see some recent college graduates with more than that in student loan debt!
@@gordongoodman8342 Hilarious... if you leaned that non-sense from your university then I'm sad to say you got horribly ripped off and you deserve a life of crippling student loan debt.
@@thund3rstruck I learned, like many others around the world, that the US lies it's way into wars resulting in the the murder of innocent people. This is common knowledge by now. Don't play coy.
The costs of university and the inevitability of student debt is why I seriously considered going abroad for my education. I still want to live abroad regardless, but the costs of schooling made the idea of going much sooner much more attractive.
I love this channel! Im not sure if there is enough information on this and would like to know more about why the school day end two hours before the workday?
I just graduated thinking I would be able to start work and start paying my loans immediately. Then COVID-19 shut everything down. Yet I'm still expected to start paying my loans soon. Wonderful.
Have you ever read the classic Think & Grow Rich? Napoleon Hill talks a lot about how--no matter how well he did in the correspondence courses he took--the lesson he learned came from the persistence of the debt-collectors ... kinda showing 'the way "schooling" becomes "education"'---when pressure forces you to put your studies TO USE.
I went to community college and then transferred to a four year college on my hometown. I graduated debt free, with good savings in my bank account and I will be starting grad school and have money in the bank to pay for tuition. I know not everyone has a college in their hometown but if you do it's a good idea to stay and avoid debt, you can go find yourself afterwards not by going to another state and into debt
Hello and Hi Everyone! Because this is a new episode/upload I'll be signed on here for the next hour answering the comments and questions that roll in. So drop them below and let's talk about student loan debt (or anything else). Let's go!
-Danielle
Do you believe the federal government will eliminate student loan debt? There was just an article about the dropping home ownership and birth rates?
@@therecruiterchick I wish I could predict if this will happen! History is a really effective tool for discovering patterns in policy and behavior, but doesn't always give a clear image of the future. I'd hesitate to say definitively if student loan debt will be eliminated at the federal level/in one unilateral move. Lots of states and large cities are starting to try to meet 100% of identified student need (this is the case in my home state of NY and in NYC public universities, but the programs rolled out longggg after I was already out of college). And even if debt gets eliminated for incoming students moving forward, it's unclear what will happen to the people who have already taken out loans/still owe money from previous years. Some of those loans are as recent as 2019...but others stretch back years or even decades. I wonder if the state-by-state or city-by-city system will continue to spread, or if we'll see a more uniform and comprehensive system put in place soon? I'll leave that last question open to debate down here in the comments section though!
What does it mean to go bankrupt? I thought it was only for companies but can people do it too? Then what are the drawbacks of going bankrupt instead of paying off your student loans?
@@fennecfoxfanatic because student loan debt does not qualify for bankruptcy relief. I know because I have a family member who looked into it.
Origin Of Everything, could you all expand on this series of class to discuss charter schools and their growth?
I just paid off my student loans two days ago. It only took me 21 years to do so...😬
Gives me hope. Currently in med school, I try not to look at my total debt...
Either way congratulations!
Wow... congratulations on your debt free life!
There are easy ways to clearing student loans and fixing your credit scores: Keep your credit card balances low. You don’t need to carry a balance to build a good score. Once you do that, you’re on a slippery slope to debt. Also pay your bills on time and in full; this is an important factor in getting your scores up. However fixing your credit scores and clearing loans can be nerve-wrecking. I was once in a bit of trouble fixing my credit so I enlisted the help of a repair team called Patch Credit Group who helped fixed my report and upgraded my scores in record time without hassles.You can as well contact them via their email ( PATCHCREDIT at GMAIL COM ) or via cell 323 325-5254. Tell them a previous customer referred you.
Don't be relieved. Now that you must live in servitude, or as I like to call it, corporate slavery, you will suffer the effects of our debt-based monetary system. The same way monopolizers profiteer debt and interest in the whole student loan situation, they profit from national debt. Except now, you suffer on a bigger scale. Income tax, fractional reserve banking, inflation, and manipulation of interest rates to profit when we go into an economic crisis, which is what we are heading into very soon. We the people must take the power that was given to the banks, so that our sons may live in prosperity and true freedom.
Am I the only person noticing that the US government didn't significantly subsidize higher education until it was an incentive for war? That makes me uncomfortable with the priorities of the country.
I have 2 friends who have the same degree as I do, they are veterans, they got jobs at the same company we all applied to and I didn't. the told me the company only hired them because they were veterans. your class isn't everything in america, it's the only thing.
Well, from the perspective of those in government, the Cold War represented as an existential threat to America's survival. Principles like limited government tend to get thrown out the window when statesmen get worried about the continued existence of their state. But, if it makes you feel better, some people argue all states are like that...sad consequence of the anarchical state system...
We must prepare for the boom boom times!
Lerkero The Soviet government did the same, so did the European Great powers before us with the exception of Great Britain. National security is always #1 priority for all nations. What you said may sound nice and thoughtful, but it ignores very basic and glaring facts.
@Blind Squid
Sad that you think murder is honorable and should be rewarded.
So thankful that I went to a community college and paid for it debt free and not a state college
Yea.. but you're not woke
You missed out 😂
Ian Benitez your degree doesn’t mean anything mines does I went to a univisersy state school
Same
@@enjoy-ly7zw just because you went to a "university" doesn't gurentee your degree is going to give you a top notch job upon graduation. Employers couldn't give 2 fucks. All it is in the end is a piece of paper. If you have job or work EXPERIENCE then that's what will get you a job. Just because one person went to a JC doesn't mean they are a bad person. And besides why would you even compare yourself about paying more for a damn school? Point is to pay less and not be in debt.
I don't remember who the comedian was. On tv many years ago he said "I spent $50,000 to get my college degree-glad I didn't do something stupid with that money, like buy a house!!!
Gosh, it is very difficult to focus on my classes when all I can think off is all the money I owe. Sometimes it feels like higher education isn't worth the cost and I could've just put a down payment on a house. I am in art school and instructors often tell us we will have to be working retail on the side for a steady income. So why are we in school then???
I got $65,000 debt for a 4 year STEM degree, and there are no STEM jobs available where I live and since I'm caring for my parents because their social security and medicare won't pay for the care they need, I can't leave to find a job for my degree. poverty sucks shit.
I believe it’s much wiser to look for higher education somewhere in Europe. It is much cheaper and still very good!
And you also will get the opportunity to meet a foreign culture and of course you will be able to travel in Europe.
@@Anonarchist - What stem degree? I haven't heard anything like this from any STEM grads.
Sorry to hear that Feenefox. But this is one of the transparency things that needs to be dealt with. The actualy value of a degree can vary enormously, even though they all cost about the same. A degree in most art schools probably isn't a good financial investment, as much as that sucks to hear.
Eric Godfrey For the most part, simply having a bachelors degree in biology, chemistry, or physics will unlikely get you a well-paying job even though they are STEM degrees. In order to get a good paying job with a degree in bio, chem, or physics in today’s US economy, you’d have to get a masters or PhD in those fields. Obviously, there are exceptions, but that’s the general rule unfortunately.
We need to get away form the cultural phenomenon of having to attend college in order to be successful. Colleg degrees shouldnt be required for basic jobs such as an assistant or a front desk position.
We are a country of over saturation of college degrees and more manual labor no one wants to do.
This is a challenging subject to wade through, but let's dive on in! On the one hand, as an educator myself I fundamentally believe that there is such a thing as the love of learning, and that everyone should be able to pursue the degrees they want, even outside of considerations about how much money they'll make afterwards. But I'm also a former student who realizes that this isn't the reality most people live in. Because of the prohibitive cost of a lot of college degrees, students are forced to make the decision about whether or not to go to college as if it's a business decision (which it is, considering those big price tags and the strain it can put on a family's finances). That being said, not every student thrives at a desk in a university staring at a someone lecturing in the front of the room. And there are some really entrenched ways we talk about college and what it means to be a "success" that don't benefit students who can and will learn better in another environment. So I have students who are in college and are doing well with that model. But I have equal love and admiration for my Originauts (aka all of my online students and life long learners) who just sign on to TH-cam and watch Origin or other great channels. There are so many ways to learn and so many ways for students to be engaged. We should start emphasizing how to celebrate that instead so that we can start telling kids there's more than one way to learn and more than one way to define success. Thanks for bringing this up!
That front desk job probably requires a working knowledge of Microsoft Office Suite, Google (you'd be surprised to see how many businesses schedule interviews or meetings with Google calendar and then conduct then via Hangouts), writing grammatically correct letters and emails, basic social media marketing, etc. All stuff that requires some form of post high school education.
@@lindsayschutz if you require college courses to learn those basic skills then maybe you aren't bright enough to attend college
@@lindsayschutz I would say just take the certifications for Microsoft and G-Suite. Way cheaper than degree and holds more weight.
Alyssa Hansen bingo. Times have changed
Stepson #1 has $89,000 student loan debt. His wife has $63,000. There total payment, after adjustment, is $1,800. Stepson #2 has $72,000 debt. His payments after adjustment is $900.
What you should never do: Attend a private for profit school. These schools are ripoffs. Stepson #1 paid $30,000 for an 18 month graphic design program. Only job he was offered was $7.35 per hour screen printing t-shirts. Nothing transferred so he had to start over from square one. Private for profits will promise you everything to get you enrolled. Again, these schools are RIP offs. Dont fall into their trap. 2. Use student loans for living expenses. Too often money for rent etc gets used for entertainment. I was a education/job counselor for 30 years.
I studied Computer Animation in 2000 and I graduated in 2003. First job was $12.95/hour. I knew I wasn't going anywhere so I continue to learn and expand my designing skill set doing graphic design, motion graphics, illustrator, video editing, and photography. Tuition was around 18-20k per year and I was able to pay all that off in less than 5 years but I busted my ass doing full time and a lot of side projects. Would I recommend young kids to join this field? Yes, but you really don't need to. It's all about your demo reel and all your past projects. You can get by by going to a community college that offers an associate program and it's a lot cheaper than private colleges. As long as you got a great portfolio and demo reel, you'll get hired. It's all about your art/creative talents. Honestly, I would go study programming and anything Blockchain related majors. That's where the future is. GLTA young guns.
It's better to go to a two-year community college (which is almost free), transfer the credits to a local university and get your degree in two years with a lot less debt. Some of these kids are treating the student loans like a ticket to attend a resort for four-years. Robbing Peter to pay Paul, is what my father used to preach. I worked my way through college and graduated with no debt and did the same thing for law school. I'm completely debt-free, including mortgage and vehicle. My education was successful.
Graphic Design Background. First job in the industry 8yrs ago I started off screen printing shirts while learning how to do design for screen printing. Now I own my own Design Studio specializing in art and separation for garment decorators and clothing designers making over 100k a year. There's actually a lot that can translate from Digital Design into Design for Screen Printing and can be very lucrative. I would suggest your son stick it out but learn as much as he can on the art side. After he's learned enough or all he can, try and break away and freelance. Yes working for someone else will hardly ever compensate you enough for your skill but taking advantage of the information that can learned while working for someone is priceless. All this said, hopefully, one: the place he is working for has knowledgeable artists that he can learn under and two: he enjoys designing for apparel as this type of design may be a bit different then other applications of design.
who is guaranteeing the loans for private for profit schools?
That’s exactly what ITT did. (Criminals/scammers) 30-40 k on a loan for drafting and design. If You graduated in (2007) you got 7.00-8.50 P/H . Printing business cards. Sad! But it’s too late when you realized it was a scamm backed up by sallie Mae and the government that allows this scammers. Glad they closed all those schools. Took me 10 years to pay for a quarter in itt...
Australia - pay college later only if you earn above AUD$40,000 a year. No interest. Only indexed to inflation. I never paid anything while i was in university.
Still a bad idea, because the money has to come from somewhere, like higher taxes.
@@danielalexsalazar333 lol our minimum wage is 40% higher, even converted in US dollars. And our taxes are not that much higher. We also have pretty much free medicare and cheap prescription pills. And if you are unemployed. You can get allowance while you look for a job. So we're better off and not supporting some corporate bank who only cares about payment.
@@therealnoodles7638 I cant speak for the US as a whole because each state is different. But in California the minimum wage is higher than Australia after converting and adjusting for purchasing power, and we have lower taxes.
@@danielalexsalazar333 what? California minimum wage is $11US. When coverted to $AUD, it's $15.88. Our national minimum wage in Australia is $18.93AUD. I don't know where you're pulling your facts from. You may have lower taxes but you barely have any benefits.
@@therealnoodles7638 you forgot to adjust for purchasing power and tax.
Nominally you may earn $18 aussie as a minimum but what is net after taxes?
Even if the net after taxes is higher in aussie dollars, you still have to adjust for purchasing power.
For instance for arguments let's say there is no tax on you $18 aussie. The question becomes what can that buy you?
Compare that to say $10 US or whatever the minimum wage is and see what that will buy you.
I dont think your few bucks more in nominal aussie dollars will by you more than the US wage in goods.
No secret that you guys have high cost of living to support your high minimum wage effectively inflating your currency.
I'm less than 6k away from paying off my student loans. My plan is to be finished paying them off by the end of the summer. Yes, a lot of my income goes to paying them off. But I'd rather not be in debt. (I started with 37k) I started in college in 2005, and my whole first year was paid for by Pell Grants, Cal Grants (resident of California), and scholarships. Then Cal Grants disappeared.
Yes figuring out how to pay back loans (while not breaking the bank in other areas of your life) is a huge undertaking. Congrats on almost being done paying this off! That's an achievement worth celebrating :)
@@oceanwave3 That's great to hear! They were probably reinstated awhile back. I went to college during California's financial crisis, finishing in 2011.
Keep the great work Stephanie. I'm glad you are almost done paying off student loans. It hurts now paying a lot of money towards the loan, but the reward is outstanding not having the loans years into the future.
Probably live at home as well, some of us didn't get that luxury, I lived on my own and still paid off all my loans.
Congratulations girl! That is a massive accomplishment. You can start saving for your future soon. Yeah
This ignored all the massive spending pits in universities that don’t even improve the educational quality for the students. Things like multi-million dollar salaries for board members and directors and presidents, or enormous football stadiums to draw in even more money to the sports programs. Higher education is treated like a corporation with those in power leeching tens or hundreds of millions of dollars off the students annually without many significant improvements in the quality of lives of students and workers.
Greed. The answer is greed.
University in Europe is free. Masters programs in *English* across Europe are also free.
People in Europe laugh at Americans for allowing their system to be as corrupt as it is. Theres no reason for your health care to be expensive, theres no reason it costs $23,000 to have a baby in America and theres no reason for your university to cost anything more than $500 a year. Neither should you be outfitted with a lifetime debt at the age of 18.
The cycle will however continue, and for the banks and loan offices, thats the best part.
I promised myself no more debt. No house no car no degree is worth it. Community college. Used car. Rent.
You are correct. The people who figure this out will do well in the future
You're being smart!
@Geno, rent is an expense. Not a debt. Mortgages are debts.
Geno My parents lost the house they paid for over property taxes. There is no ownership.
I don't agree with the rent part.. everything else is good. Home ownership is important for gaining wealth.
I just moved to France 🇫🇷 where university inscription fees are around 200€
A much more budget friendly number for new students, for sure! Since plenty of people travel internationally during the course of their degrees (and their lives) it's always good to look into the local college costs wherever you end up. These numbers can fluctuate a lot based on the institution and the location, so this is a good reminder for our viewers. Thanks!
Where do you think the money that pays for it comes from?
What's €200 in USD?
@@lucaszhu1028 Less than 250
jans1982, thanks. I could pursue that.
Got my RN for free from my local community college. No debt, easily employable, skilled and well paid. There are ways around the problem.
@@DebraJohnson I started my prerequisites summer 2014 while working full time and graduated December 2018 still working but cut down to part time 12x2/week night shifts as a trauma tech once I started the official program
@@wedgepressure4313 You didn't have an adult disabled daughter at home to pay for, did you. You weren't trying to get disability for her while her mental health declined. You didn't have to abandon a semester because she went into the mental hospital, did you. Not everyone has it as easy as you.
@@TippyPuddles That sounds very difficult. I was providing for a wife and 2 kids while I was in school, so while it wasn't a cake walk it was still a challenge to provide for them. . We had a mother who was homeschooling her 5 children while she went through or program, she was seriously incredible. And many people have disabled children while doing through this schooling. Your situation while very difficult is not something impossible or uncommon and it may require student loans to get through so that would be understandable if you had to go into debt to get your RN.
@@TippyPuddles whah boohoo.
Working on RN, couldn't stop working to go so I went the EMT to Medic then RN bridge. Lots of hard work, night classes, sacrifice and patience. If you want it enough and have patience to do it, you can. Cringe so badly at these students who want instant gratification then whine about the debt.
The Student-Debt Crisis Hits Hardest at Historically Black Colleges
• HBCU alumni have a median federal-debt load of about $29,000 at graduation-32% above graduates of other public and nonprofit four-year schools.
• The majority of HBCU grads haven’t paid down even $1 of their original loan balance in the first few years out of school.
Robert F. smith is awesome for his generosity for agreeing to pay off Morehouse ‘19 graduating class $40M in loans.
The public HBCU is St. Louis is the cheapest university in Missouri and if you received the full Pell Grant you could even get a couple hundred dollar refund. You still have to figure out housing and whatnot, but there are still options in making higher education affordable. I think the big thing being honest with students what they are getting themselves into and their options. I would expect Morehouse to be more expensive since it's a private university, but still one the lower end of private universities. Considering that HBCU are usually cheaper, why do you think the federal-debt is higher for HBCU alumni?
Chelsea Pretz Though HBCUs typically cost less than other public and nonprofit four-year schools, these colleges have long trailed those peers on measures of debt and repayment. Now they are trailing by far greater margins.
Many HBCUs see a mandate in giving opportunity to disadvantaged youth, who often start out with fewer financial resources and a diminished ability to pay.
• HBCU alumni have a *median* federal-debt load of about $29,000 at graduation-32% above graduates of other public and nonprofit four-year schools.
• The majority of HBCU grads haven’t paid down even $1 of their original loan balance in the first few years out of school.
• America’s 82 four-year HBCUs make up 5% of four-year institutions, but more than 50% of the 100 schools with the lowest three-year student-loan repayment rates.
Unfortunately this is so true. Most HBCUs are private institutions. African Americans are already at a disadvantage yet they take the risk to go to an HBCU in order to be in an environment that caters to them and their unique experiences. It's a dilemma many black college bound students face. My first choice was Spelman College but when we looked at out of state tuition , it would have cost me $60k a year. I opted for an instate public PWI. Mind you, I couldn't make up my mind on what to do with my life and had to get two Undergraduate Degrees. I regret not going to a community college and transferring, I would have saved plenty of $$$.
Don’t go to a hbcu then...
@J Smith. Wrong. There are plenty of students who pass on Ivy League institutions to go to HBCUs.
I can’t believe people are still going to college at these prices.
Emily Singh, if they have the money yes they are attending. But it's crazy for the people that are attending on loans.
There’s almost no choice in the matter. It’s a double edged sword. Most good (not great) paying jobs require at least an associates degree to qualify. It’s harder to get good paying jobs with just a high school education
College is still marketed like the plague. And I can only imagine the moral dilemma high school teacher must go through to advocate college when they themselves are drowning in debt.
Many of us are raised to believe that you MUST go to college, and that'll it'll be a guarantee for not only financial stability, but upper-middle class if not higher, status. It's the mark of a good student, good person, and upstanding person of society to have a degree, especially from the more expensive Ivy Leagues. The more exclusive, the better. The push for STEM, doesn't help either, as anything not-related to a STEM career is looked down upon, like the arts or even education for k-12, especially with their infamously low salaries. Part-time jobs for youths in retail and the food industry is also believed to be a mark against your character (especially since high-school students are the only ones who are supposed to be "doing" these jobs), as struggling with money, in general, is not looked upon highly - it's considered a failure of character. You're supposed to believe you're gonna go through university not worrying about money, and then immediately land a job in your field once you graduate. That's not a guarantee for the vast majority of people, so retail jobs tend to be the job of choice until then.
@Ceylon Blue I don't know about you, but I was raised to believe there IS no path to success WITHOUT a college degree - I knew in theory that you SHOULD be able to, but the statement that you succeeded without it still shocked me. Many students have to believe they're failures if they don't have a degree, and that they can't get any path in life without it. Very rarely do you learn about careers or job paths that don't need a degree first, like the emphasized STEM paths.
Here in Belgium my daughter has done Veterinarian studies, 6 year college. Because my income was quite low and I was a single mother she could apply for a state scholarship of about €3500 every year. The college fee was reduced to € 80 per year. She was also lucky to find a room in a University owned complex. Those rooms are at reduced prices for people with low income. Off course the books and other things she needed for her studies were the usual price. The government gives out these grants so that children of every income can do university studies. There are a lot foreign students at our universities, what makes it quite interesting.
Good job covering the topic! I paid off my student loans last year. About 35k, 5 years after graduating from my trade school. College costs are insane, it is amazing to me that there are high school grads still signing up. What is even more amazing to me is the lack of guidance from parents or adults in kids lives. The government is the biggest reason why this is a problem, but if my kids tell me they want to take out 60k in federal loans at 8 percent interest over 10 years for a degree in philosophy I would tell them absolutely not. That's what parents should be doing right now. Learn how to tell your kids no. Learn how to say your dreams are stupid, get a hair cut and a real job. Skilled labor is where the money is at right now anyways.
In order to finish my degree I had to take out exorbitant loans at ridiculous rates to finish my final year. I've been paying on my loans for eight years and I still have over $50k left to pay off. Thinking about how I was taken advantage of in my last year makes me so angry! No one told me that in order to make my degree worth anything I would have to study abroad. When I find this out and go to study abroad, they assume my ramen noodle 3x a day self has $40k to pull out of my ass for a SINGLE YEAR. Needless to say, my degree is now worthless. And the alumni association still has the NERVE to ask for more money. I can't even begin to express how furious at the whole situation the whole college experience has made me.
Not to mention that the money I would be using to save for a house is all going to student loans. I feel like I'm stuck paying for a house without the house.
Wow that's awful
Yes!
Yes girl it sucks. I’m sorry. Hang in there. I know I’m in same boat 😢
@J Smith I have two degrees and I'm a locomotive engineer. I didn't even need to go to grad school to make $100k+ but I'm stuck working a 24/7 on call job and I'm sick of it.
So an 18 year old that recently graduated high school is expected to know how to deal with all of those weird names and numbers? No wonder they don’t know about all of their options for paying college
If I owe you $100,000, I have a problem. If I owe you $1,000,000,000,000, you have a problem.
By that logic we should eliminate home mortgages.
this was so good and so maddening. It sucks that lower and middle class young adults get taken for this ride and not enough is being done to protect us/them. Information is the best weapon. If students didn't have to focus on class they could protest but it seems so much harder to have a bargaining chip when you're paying to be there.
I graduated Dec 2012 and I'm dealing with debt. I have had other privileges that make it hurt less but it's still a hassle. And with how much I'm paying back it makes ODU begging me for donations suck that much more. If only more billionaires made like Robert Smalls and gifted hard-workers a better future. I don't want graduates to have to sign away their next 20 years to a debt mountain.
In New Zealand, all student loans are issued by the Government through Studylink. They are interest free, so long as the student stays in the country, and parents are not means tested for it. The repayments get automatically deducted with your tax, if you work.
Same in australia, only take it out after you earn $40k a year.
A lot of money could be saved if they stopped subsidizing for-profit education.
If your credits don't transfer or graduates don't have a high percentage of employment for their studied fields then no money for you.
J Smith State and Private schools have a much better track record on average. And the people have a stronger influence over state schools than For Profit schools. And most private schools aren’t really charge you as much as it really costs. Ones that do well and treat their students well are more likely to get donations from them on the back end. The only ones that don’t need it are ones with huge endowments. For Profit schools like 90% of their funding comes from loans and they don’t have the best success rate.
My response to all those who went to college and think every situation is as simple and easy as your own. My husband retired and moved out of state leaving me with an adult daughter with mental disabilities. I was a stay at home mom for 20 years. I returned to school because I could not get a job that paid me enough to live. I live in the country with an old car and no public transportation. Could not afford to move, no credit cards. I took out student loans to try to keep a roof over my daughter's head as well as my own while attending college. Her mental health declined and being abandoned by her father didn't help either. After several years and abandoning a few courses to take care of her, my debt climbed. You think your getting somewhere, and that when you get out of college you'll have a good paying job. After a few years and a few stays in the mental ward, my daughter finally got SSI. Now I have a hodge podge of classes and only accomplished a general associates. Not worth the debt but I have a place to live. Would I make different choices if I'd known the future, you bet. But it is what it is now. Please realize not everyone goes to expensive colleges and just racks up debt living it up on student loans. Real people are struggling to have a better life.
I wish they resolved this issue. I'm still in debt.
Pay your debts. It will be resolved
Pay your bills!
It will be resolved if I'm working the job I got training for along with the appropriate salary or I'm not paying at all.
Vote for someone who proposes a debt jubilee through taxing wall street.
The government backs nearly all student loans. It jacked up the availability of cash for college, demand skyrocketed.
exactly. basic economics... which is why most people don't understand it
while true, that isn't the only reason for the rise in tuition costs. did you watch the video before posting?
@@atmodlee Nothing else explains the rise better. Services are constrained buy what people can pay. If a third party like government steps in and guarantees everyone can pay it allow this kind of price growth.
Nothing else could facilitate this price increase to this level, even conventional loans from banks. Because with bank loans those are dependent on your ability to pay them back while a government guarantee is simply a blank check to everyone. No need to over think the obvious
@@atmodlee So who cares about other less important factors? if we want to fix a problem we only need focus on the main cause / facilitator
..value of degrees plummeted!
I went to college for 1 semester for a 3.4 GPA and never went back. I then went and got a trade that will always be in high demand. I now make over 100k yearly. I love my job and I owe no student loan debt.
A great explanation of how complex the situation is. Reminds me of the complexity of increasing healthcare costs/debt in the last 30 years. Anyone offering a simple solution to the problem should be made to watch this video to understand all the steps that got us here
Very scholarly work and presentation. Thank you!
Sadly for me I got student debt bc I went to college to get a fancy piece of paper that sadly hasn't helped me at all. Nearly all the jobs (that I want to work at) all keep asking for years of experience. That's where my frustration comes from, not so much that I have debt but that no job will let get the experience many require so then I can pay off the loans faster.
I am so grateful to be living in a country where I am expected to finish university with zero doubt. Wow. Education should not cost you your life. Also I'm living in the Global South and in a middle income country - America has very few excuses to continue this trend in my opinion.
She didn’t a awesome job presenting this information! I love her voice!
she speaks so well....
Didn't*??
Shannon Johnson Get your degree in English?
Thank you for saying something and drawing attention to this epidemic
Thanks for watching!
Man! This makes me glad I didn't go to college.
Kevin Jones not unless they wipe student loan debt
Not all its cracked up to be
Did you find a good paying job without a degree? If so, congratulations. You made the right decision.
@@a.citizen7668 hey not that you were speaking to me, but I get paid about $12/for a job that doesn't require a 4year degree... which I have, and can't pay back the loans.
@@carolyperez8075 Ms. Perez I wasn't talking to you. I was speaking to Kevin. Hang in there and try to find a higher paying job. I've been at both extremes - very low and very high.
IVY League I see. Great job! You do an excellent job with your dialogue with presenting these various topics. That alone amplifies my engagement to stay tune from start to finish. Bravo!
I feel like they’re trying to keep students in college longer. I had to jet after 4 years phewwww
Yes they are.
Bubbleyumizchewi17 well obviously there trying to bleed your money and take it all.
High possibility . I had several friends who their advisors mistakenly (or purposely) who were told they missed a class to graduate, but in reality didnt need it. Other friends, the school wouldnt accept their transfers and they ended up taking the same GE class at the university. I had a friend who wanted to graduate early, so he went to the department head and asked for a course overload for more than 20 units. She asked why he wanted an overload, and he simply said he didnt like the school but he was in too deep to just transfer. She wouldnt give it to him because she felt “he couldnt do it” and told him to take a year off of school and then come back. And in my personal experience, I had a set goal to graduate in 3 years due to my AP’s and summer courses i took to graduate early. I had to prove I had a full plan to take the courses that did not align with the curriculum sheet that they gave us. Long story short, my advisor didn’t expect me to the all the research but I did, he signed it, and graduated in early may with only spending 3 years to get a bachelors. While my school was a public CSU, I could only imagine the advice these private schools more expensive public universities are giving
Message to minimum-wage workers: if you want to earn more you need to learn more, build up your qualifications.
... worker takes that advice, takes on debt--because they sure-as-heck couldn't build up savings on minimum wage.
Message to student debtors: you shouldn't have taken on debt you couldn't afford.
The US is collectively shooting itself in the foot by making higher education a for-profit enterprise. We've been in an age for a long time in which a highly educated populace is a must. We're going to see very soon the rise of highly educated people augmented with AI and nothing will save the US then.
Lenard Segnitz people that think like that disgust me.
Elimination of current loans is unfair to some students. Some students paid almost their entire amount, whereas some others have not started paying. This policy discriminates against the students who repaid their loans to a large extent. A better policy would be an equal releif policy. Everyone gets the same relief amount, if you have already paid some of your loan, you can keep the money. If you have only started paying, your debt would be substantially lowered.
This is by far the best explanation I have viewed on the history of student loans in the USA. Well done!
Work while your in college in jobs or fields that actually have value and can pay. Going 200k in debt for a social worker degree and field that maxes out at 35k is stupid. Tech jobs don't care about your degree, but you need to be willing to learn.
Yeah that's right. Why would we as a society want to pay a reasonable wage to people doing dumb worthless jobs like social work or teaching... All those kids need to pick themselves up by their boot straps
This is a false solution and inaccurate. I work in tech. It's an oversimplification to say they dont require a degree. Most do, although there are some companies that may consider bootcamp graduates or self taught learners, but those with degrees are typically preferred (unless they fail the technical assessment). Also, working while in college in most cases will hardly lut a dent in your overall debt.
1:41 that smile of "We're fucked and here's how it happened"
When I was in college, the public university I attended decided to raise tuition by a fairly decent percentage to pay for a shiny new fitness center. Last time I checked, you go to a university to get a degree in a hopefully marketable major. You don't go in order to work out on a treadmill or lift weights. The cost of that tuition increase far exceeded the cost of joining a private gym. It's crazy, and we the students had no choice in the matter.
Some parents are unaware of the 529 savings plan.
I’m in financial services; many are aware. You have to have the money to put in it lol
Some cant afford it
On track to be debt free next year. Can’t wait to say goodbye to SalleMay
I think one of the primary contributing factors is rarely talked about. Too many students choose majors that interest them instead of majors that will make them employable.
Borrow $100k to get a degree in accounting, engineering, or computer science. You'll be making at least $25k more than if you didn't have a degree and you can pay it off in 5 years with the excess. By the time you're 30 you'll be out of debt, and for the rest of your career you'll be making a lot more than you would if you didn't go to college.
Borrow $100k to get a degree in art history and you'll get the same job that you would have gotten if you didn't have a degree, not to mention the four years you weren't earning any income, and you'll never be out of debt.
If you get a useful degree you'll be better off going to college even if it means borrowing. If you get a useless degree you're far worse off than if you don't go to college. If art history interest you, read a book about it.
finao o useful is subjective in some places say newyork that art degree could end up as a six figure job but in wyoming its toilet paper. know your area, lots of friends did chemistry and cant find work local...its like yeah no shit dumbasses
I've read somewhere, if a college wants a student, the college should guarantee loan payback from their endowment funds; or otherwise pay outright tuition costs from endowment funds, which, for most schools, have grown astronomically over the past decades.
Student loans are horrible. I attended a private grad school and was expected to pay almost $1500 a month. I asked for a income based repayment plan, it was approved... then it went back to about $1500 with not one notification.
Once I contacted them, the website reported that the uploaded pay stub font was small and hard to read... so they just didn't do anything...
Although most of this video is geared towards undergrad student loan debt, grad school loans/debt present their own logistical issues. Sorry this mix up happened, but hoping it gets sorted soon (or has been sorted out already)!
Must be fedloan. I have the worse experience with them. They have gotten a lot better but for years you could not trust the people you were dealing with on the phone. So many times they said they would take care of a matter and nothing happened. It was always something that I did wrong or the kids on the phone were giving me the wrong directions. I got to thinking they were doing this on purpose. It took talking to an upper manager to get results. I too have IBR. This time I uploaded my 5 pay stubs and would you believe it!!! A week later I called to check up on these people and my upload "never made it to my digital drop box" the next guy told me I should only upload 1 check stub, they got it and finally lowered my payments to 245 a month, very manageable. I pay far above this amount into the principle each month about 1400.00. 42,000 is now 29000 and will be 18000 by next year then another year and the loan will be payed off. I'll never barrow money again in my life time unless I can make money off it.
I only borrowed 15k student loan by going to state school in computer engineering then got a job as a software engineer getting paid 130k right out of college. Paid off my loan immediately. Now getting paid 190k 3 yrs later. Make right decision ppl. Life without a loan feels so good.
Russia launches Sputnik
/domino effect/
I owe the US government 30 grand
Meanwhile in Russia: I got Bachelor's and Master's for free (and some extra monthly pocket money from the government in the process)
Cold war, wtf?
30 grand isn’t bad. You have a degree?
Comparing Canada where I am with the US it seems that the US costs roughly twice as much in tuition and fees as Canada.
For domestic (same state/province) students in each country in US dollars for yearly undergrad tuition and fees, it costs on average ~$5,000 in Canada and $10,000 in the US [1].
Now this varies a lot by province/state and increases far more dramatically for out of state students than out of province ones and even more dramatically for international students.
Another thing that makes post-secondary cheaper in Canada are RESP savings which are registered tax-free savings that parents put aside for their kid's future education. And these appear to have been fairly effective since around 59% of school costs (more than just tuition) in Canada in 2018 were paid by RESPs [2].
So although it is unusual to be like me and finish an Undergrad without any debt in Canada due to RESPs, work terms, and scholarships, it is probably far more common here than in the US.
I wonder how the history of education and loans compares here with our southern neighbours.
And I wonder how some current decisions in Ontario will affect the cost of education in Canada in the future [3][4].
[1] www.topuniversities.com/student-info/student-finance/how-much-does-it-cost-study-canada ($6600 CAD is $5000 USD), www.topuniversities.com/student-info/student-finance/how-much-does-it-cost-study-us
[2] www.macleans.ca/education/the-cost-of-a-canadian-university-education-in-six-charts/
[3] globalnews.ca/news/4856924/ontario-tuition-cuts/
[4] www.theglobeandmail.com/canada/article-new-metrics-for-ontario-university-and-college-funding-include/
International students still pay more, I moved back to Germany when my parents promised to support me (living expenses only ) throughout university
The same snowball effect mechanics that she points out here which caused education costs to balloon are similar to those which have caused healthcare costs to balloon. It all starts with a short-sighted government program to
"help" these items become more affordable. A vicious cycle.... awful
As I was watching this video I was wondering about the culpability of the students for taking out the loans as well as the majors and schools that they choose. Then I saw that the pitch for new show 'Monstrum' and the person with the PhD in literature with a focus in monsters.
That's why it's important for students in high school to seriously think about if college is right for them personally . Because student college debt is over $ 1.2 Trillion Dollars right here in the U.S.A. now in 2020 😒. Truly Yours Mr.Cottrell 😉.
I had student loans and paid them off - I just hunkered down and did it. A long term view of a purchase (in this case, spending tens of thousands of dollars) with borrowed money can be helpful, but I think that many people do not take a long-term view that would serve them better. Any purchase a person makes has consequences, and nothing is guaranteed to us. I am sorry that so many people got it to so much debt by borrowing so much money for college. They made a decision with a calculated risk, and now they are being held accountable for their decisions.
There are many stories of people who lost their homes when the 2008 housing bubble burst. So many people took on loans for houses they simply could not afford. They made poor decisions and paid the price for those decisions. But, looking at the front end of how they got themselves in to those situations - low paying jobs, balloon mortgage payments, auto loans also, and so on - they had no business taking on those mortgages. Look, they can borrow what they want - but there will be consequences.
There are some parallels, I think, with the student loan situation. No one is forcing people to take out student loans. I live in a college town and I see how many, though certainly not all, students live. They have a lifestyle that shows they are spending someone else's money. In a way they are, but since the money is borrowed, they are really spending their own money, or they are spending money from someone else that will take them many years of work to repay.
Great video. Thank you very much for this! I hope to educate new students and help them minimize the amount of loans they get for their education!
Thanks for having this video about student loan debt. I am 70 years old and I just paid off my massive un-subsidized and subsidized student loans that were 6 figures, Thank god it only took me 35 years to do it. Now I am debt free and ready for the nursing home or grave yard, Thanks america!
I pay 320 € a term, Germany is very supportive.
And the average Germans tax rate is???? Your socialist system. I’m not responsible for your college. Your are!
Had to work my way through a non-traditional college. Was on my own. No roommates, as it was a hard situation for myself to create living where I do. I did well in college and only acquired $22,600 in debt when I left college. Here is the thing, I could not find a job that paid $30,000 a year, back in 1999. In fact, it took me 13 years to start making that much money and I had to work 7 days a week to make $30,000 a year in the human services field. My loans which I was unable to pay on soared up and up and I will never be able to nick the principal in this lifetime. Ultimately, what this woman is saying is absolutely correct. Recently, I heard a graduate on TV news state, "If we do not pay our loans back we won't appreciate our education." Well, as far as I am concerned, I have paid for my college education physically, and emotionally. I worked full time while attending college, and between working full time, and studying I missed out on having a relationship, and children, and everything else life has to offer. Then there is a debt that has crippled me emotionally leaving me with great angst.
Only big thing I have to disagree with is that no only for profit schools increase their prices by 300% since I believe 1994, but so did nonprofit traditional school raise their prices. Even state schools increased prices.
I used to work as a secretary in a NYC university nearly 20 years ago, and even then I saw this kind of thing happening all the time. The university graduated thousands of kids every semester with enormous debts and degrees that are worth nothing. Colleges know this, they know there are no jobs for these graduates, and they do it anyway. It is just greed. They don't care about the kids, because the college has their money. I also blame parents and anyone else who takes out these loans and pay these prices for useless college classes. Too many colleges all claim their degrees will give you a good job, but it is just a lie. This is the real lesson, never put out this kind of money if you have no way to pay it back. No degree is worth putting yourself in debt for life. Parents and young adults alike need to just stop paying the utterly ridiculous cost of colleges. Colleges keep raising prices because people keep paying----and they need to stop. No employer cares what degree you have, all they want to know is what your experience is. A degree is essentially worthless 20 years ago, and today. Just get a job, doing anything. At least you won't have a huge debt hanging over your head for life.
In Trinidad, tertiary education used to be totally free for about 10 years (and right before that it was 50% subsidized) and thankfully I was one of those who benefited. Now it's subsidized based on a means test.
My parents went to college in the 1950's. Tuition and fees and books were much cheaper, but still cost a lot back then. My parents were both struggling to become middle class. My mom put herself through college while working, without help from her mom and stepfather, who were a butcher and a grocery store / bank clerk; my grandmother was a poor farm girl who'd moved to the city and worked. My dad was a farm boy, not rich, and he'd served in the army and then went to college after, while working, probably on the G.I. Bill for education. Their college fees and book fees were only in the hundreds of dollars per semester. -- My own college fees were already in the thousands of dollars per semester in the mid 1980's, and my parents were upper middle class at the time, so I worked some but basically got support from them for college. Yet later health problems and a bust in the engineering and oil and gas industry ruined much of my parents' savings, and then taking care of my grandmother completely ruined my savings and what I'd gotten from my parents, who had passed away. The cost of a single college semester now is outrageous. I wonder how I would've been able to go to college, even with the comparable income we had then and if I'd worked during college. I didn't graduate the first time around. I went back and got a two-year associate's degree with honors, while working hard. Costs were already climbing then. Now, I'm over 50, still handicapped, and can't really afford to go back to college full-time. This cycle, where people are at risk of falling out of the middle class, of losing their paths to a better life and income and education, is a dangerous thing, when it can affect so many middle class and working class people. They deserve a good education. Their work and ideas are the engine that drive our economy. Destroying the ability for the average American to get a good education could doom our country's future. Somehow, we have to solve the student debt problem and make college attainable for every eligible student. If you are smart enough and hard-working enough to get a college education, then you are needed; you deserve that; our country's future depends on that. We can't know who the next great people are who could change the world for the better. It might well be that immigrant kid whose family don't speak English yet, or that black or brown kid from the projects, or that middle class suburban white kid, or that handicapped kid, or that gay kid. Notice I said kid, not boy or girl, because it could be either or both, who make those great changes to better everyone's life. That's what's at risk. Just because you're different or poor, you still deserve that chance at an education, or we all risk losing out on what you might contribute. Everyone is needed and deserves an equal chance.
well done information and I'll definitely share this video.👍🏾 Fiscal transparency I like the way that sounds. 🤔
Thanks for watching and sharing!
I also had the same concern on student debt. I joined the US Marines and got my first Bachelors and Masters. I got out debt-free and the GI Bill paid for my second Bachelors and second Masters. No debt whatsoever. Maybe more people should join, even the coast guard. It makes you fall in love with your country all over again, you make lifelong friends, have fun, and get no debt in the end!!! Not a bad deal at all.
The US invaded Iraq based on a lie about WMDs, and killed at least 150,000 people, most of them women, children, and other non-combatant civilians.
How do you feel about joining an organization whose mission included killing 150,000 innocent people?
Norman _ I see your point and it is tough to see the reality of the US actions. Then, I looked into it some more. Very few countries, if any are free of atrocities.
I am not justifying the US but an option for me or anyone would be to leave the country which we don’t agree with, that’d be the easy part. Where would we go? Countries have killed innocent people all over and throughout history. What country would you align yourself with?
Again, I see your point and I hate war. There’s an old quote, “War is not won by who is right, but rather by who is left.” This is also why opting for the Coast Guard can be good.
Now you can go from countries or their military services to religions, former empires, and civilizations of the past. For as long as we’re here, humans will continue to kill other humans for thousands of years. That’ll never change, then, is it time to opt for another planet or another species? We might not make it to find out.
@@norman_5623 Only 150,000 should've been more!
The biggest problem with this is if you seek to join the military AFTER receiving your education. You see, student loan repayment programs in the military are being cut left and right and none of them account for Sallie Mae loans, which take up the largest chunk of student loans. Myself, I already got my physics education and seek to be a Nuke Tech in the Navy, however I just found out today that my loans will still be mine to pay off both during and after my service.
Apparently the military only wants uneducated youths. OCS candidates are screwed, as are anybody enlisting with a degree.
Some us don't/didn't qualify to join due to chronic health conditions
I also love that on one hand, we have people telling us "Well if you want more pay, get a degree and get a better job!" and on the other hand we have people saying "Well if you don't want the debt, skip college and work your way up in a company! Experience is the main thing!"
I don't know when you last looked for a job, but everything entry-level right now requires a Bachelor's degree. You might squeak through with an Associate's, but most need a Bachelor's. And none of those pay well. Theoretically you could get an unpaid internship or an internship with a stipend, but how will you pay rent during that time? Work another job? Minimum wage doesn't pay rent, and then add debt payment on top of that?
This system is broken. Some people can manage to maneuver themselves into a comfortable position after years of work and a lot of luck, but a few success stories don't negate the fact that for the vast majority of people, this system is BROKEN.
Because they're expected to go (in order to pursue a career) and if they don't have parents supporting them, scholarships, or if they're not working themselves then they can get into a lot of debt. It's not necessarily a bad thing because most will be able to pay off the debt in a reasonable amount of time if they get a decent income
I went to CUNY YORK and QUEENS COLLEGE 1999-2005 I drove up about $30,000 in student loans and credit card debt. I got my BA in 2005 and at the time had a 503 FICO. Did a study abroad in Shanghai, China’s 复旦大学 #1. I was able to get a scholarship towards an MS so I took out a student loan to CONSOLIDATE MY STUDENT LOANS AND MY CREDIT CARD DEBT. That stopped the harassing phone calls and garnishments. #2. I started working at $50,000 a year and got a second job+ Youtubbing. I applied most extra cash directly to my debt. #3. Paid off my student loan by 2015. #4. Paid my second MS degree in cash out of pocket. Total was $18,000. I am 39 now with a 850 FICO and two houses. When I see what has become of student loans today - where a kid is literally coming out of a bachelors degree with more debt than I have ever accumulated in my entire life even when you add my first and second mortgage, it really upsets me.
But fortunately, my war is over
I'm so glad I joined the army years ago so I wouldn't have to payback student loans. The Post 911 GI bill is amazing.
This is my new favorite channel
I watched my tuition almost double between 2005 and 2007, I paid attention to it all right! The trouble was that I had already borrowed a significant amount and believed if I just press on and finish I would graduate and make enough to pay it back quickly and maintain a decent standard of living. Boy was I wrong!!!
Everybody saying don't go to college but if you have no skills or no idea what you want to do in life then you kinda should. It doesn't have to be a university, you could go to a trade school or community college full-time or part-time and work a job.
my strategy is dont go to college, live with parents until you are 30 years old, buy a house, rent out your rooms on airbnb
I had to go to a meeting before I got my loans. A lady bank employee told us if we Never paid a single cent on our loans after 10 years the Federal government would pay the bank back for all our loans.
because the lenders know students can't dump the debt in bankruptcy.
It is one type of debt that is harder to clear up in bankruptcy, although you can do it. My understanding is that the student has to prove that paying back the loans would be an extreme hardship. So it's technically possible, but the threshold for proving this can be high. But it would be wisest to reach out to an attorney who can tell you all of the laws and procedures for this in your area. A lawyer will be well versed in what's possible for the student and can outline all of your options. When in doubt, ask those experts!
So repeal some rules that lead to the dropouts.
Become an electrician/Carpenter/Plumber
Great job of explaining all that!
Stop hating we are turning to get a education so we don’t become homeless & jobless oh wait ...
This is why I joined the military to pay for school.
Although this may be an odd way for me to phrase it, this actually is within the realm of employers who pay for college and degree programs. Some employers extend this benefit to all employees for any degree that they decide to go back and get. Others have some restrictions (e.g. they'll only pay for a degree that directly relates to your job responsibilities. So if you're an engineer they'll pay for engineering degrees but not a degree in an unrelated field). The military was an early adopter of this model, but the historian in me also just wanted to contextualize it within larger trends in the 20th century. Thanks for watching and commenting!
It can be summed up without this crazy long video..... No risk to the lenders = rising cost = student dept crisis...
I paid my student loan debt, by myself with no help.
Andy Well done!👏🏾
Thank you, it was tough, but I did what I had to do. So if I did it,. So can everyone else. Plus I listened to Dave Ramsey. That helped.
@@Don-Fernandez what is ur profession
Blind Squid I cried too, I’ve gone through hell and back I’ve gone through ridiculous times of my life. I’m no different than you, but I pulled my self together and I got it done. The notion of people not paying their debt back is ridiculous. If you borrow money from a family wouldn’t you pay them back? Think about that.
Logix Indie truck driver and now business owner
Majority of youngsters I’ve met that why do they attend a university instead of community college. They always responded with only answer called the ‘college life “ experience thing and the university feeling...
I`m writing from Colombia. here, private universities are really expensive so the only option left for low income families is to apply for the public ones, that are still cheap (sometimes for free, if you belong to an ethnic group, faraway towns or settlements or your gfamily income is low) yet they have demanding admission exams that very lucky few pass. I explained that to our American English language assistant at the uiversity I work for, she asked me "how much did you pay back then" I made the conversion to American dollars plus inflation and it was worth around US$ 440 a year. She was shocked!!! she owed thousands of dollars. She couldn`t believe that even with such a low tuition, I struggled to pay tuition as back then I had no job. We in Colombia are fighting for our right for keeping and expanding publicly-funded education, if there's money for a large military in a small country (we have almost the same military personnel than that of Brazil) why not to fund public education to avoid the debt trap that's starting to grow down here??
Thank you for explaining all of this.
i like this fam. i got out of school before all this nonsense started happening. my student loans were 24k after a master's degree (2004) in engineering and the interest rate was around 2%. soon after, i started hearing other folks having higher int rates and higher balances. i had no idea it was this deep. now im concerned for my kids ability to go to college.
The tuition for my local community college is $3,000 a year and for the State Universityin my city it is $11,000 a year
Yes. This means that even middle class students with good grades can have difficulty getting a good college education without accruing huge debt loads to pay back over their entire lifetimes. If you happen to be in any way outside the norm / majority, such as handicapped, minority, LGBTQ, immigrant, working-class, poor, anyone who might be just as deserving as those students from families with more money to put into their students' educations, then...how are you going to be able to afford a university education without taking on more debt than you can possibly repay in 10 to 20 to 30 years? Answer: Increasingly, many cannot. If we put a good education out of reach of deserving students, middle and working class, minority or majority, how do we expect our country to remain competitive and growing, for our own citizens, and attractive to other countries and businesses for trade or education or information-trading, investing, any of those useful things? How can we cheat the next great thinkers, inventors, creators, artists, scientists, engineers, out of an education and a foothold that could allow them to be the next great people to make everyone's lives better, world-wide? It is a terribly short-sighted thing. Every student with the grades and/or intelligence and drive needed to get a high school and university education (and community / junior college and continuing education) ought to be able to do so in a way that is affordable short-term and long-term. Everyone. Or we risk losing tens, hundreds, thousands of the next great people who could improve life for everyone. Just because some high school kid doesn't have enough money or their skin isn't as white as some people's does not mean they can't be that next person whose ideas brought to life could change the world for the better, permanently. We need every single talented person to be able to get that good education. They deserve it.
Its a big problem TODAY because all through high school parents and teachers tell kids "If you want a Good job, you Need to go to college."
Then they basically leave it up to a 18 year old to figure out Where they are going to school, to sign up for all the grant money and loans they can, get a dorm room, furnish their dorm room, party it up like any college kid will for the first year or two before they get serious and after 5-6 years graduate with that "4 year" degree in some already overcrowded field- and just end up taking any job that pays over $14/hr. and get roommates, disillusioned with life, and regret every moment of college for the rest of their lives. It was a fun experience, but not worth the price tag. They could have gone to disney world 30, 40, 50 times or so. They could have been saving up to get their clunker car traded up for a newer one. They could be buying a house, starting a family.
But no. They got a degree. And its not really helping them.
Thanks for being honest though. Government handouts screw people over Every time. College rates went up outrageously as soon as they saw all that money the government wanted to give out to spend on college. Hmm, exactly like how medical costs skyrocketed when medicare/medicaid became a thing.
Pull the plug on the money, watch how fast those fields drop their prices.
Because the American educational system is an absolute joke lol. So glad I didn't go to college.
Veteran here, I used my GI BIll and Navy College Fund to pay for college. That was 20 years ago and I can easily recommend military service to anyone struggling with the decision to take on incomprehensibly expensive student debt for college. My first house purchase cost me $105K and it blows my mind to see some recent college graduates with more than that in student loan debt!
But being a hired murderer isn't for everyone.
@@gordongoodman8342 Hilarious... if you leaned that non-sense from your university then I'm sad to say you got horribly ripped off and you deserve a life of crippling student loan debt.
@@thund3rstruck
I learned, like many others around the world, that the US lies it's way into wars resulting in the the murder of innocent people.
This is common knowledge by now. Don't play coy.
This is great, very well done.
The costs of university and the inevitability of student debt is why I seriously considered going abroad for my education. I still want to live abroad regardless, but the costs of schooling made the idea of going much sooner much more attractive.
I love this channel! Im not sure if there is enough information on this and would like to know more about why the school day end two hours before the workday?
I just graduated thinking I would be able to start work and start paying my loans immediately.
Then COVID-19 shut everything down.
Yet I'm still expected to start paying my loans soon.
Wonderful.
0:18 is that in-state 15,000$ each year or 4 years?
Each year, it pains me too
I just finished my first year in college, I owe $10,000 - $13,000, and I’m not even done yet.
How much will u make once u graduate?
Have you ever read the classic Think & Grow Rich? Napoleon Hill talks a lot about how--no matter how well he did in the correspondence courses he took--the lesson he learned came from the persistence of the debt-collectors ... kinda showing 'the way "schooling" becomes "education"'---when pressure forces you to put your studies TO USE.
I went to community college and then transferred to a four year college on my hometown. I graduated debt free, with good savings in my bank account and I will be starting grad school and have money in the bank to pay for tuition. I know not everyone has a college in their hometown but if you do it's a good idea to stay and avoid debt, you can go find yourself afterwards not by going to another state and into debt
Financial paralysis.
So that's what I'm through...