Check out CNBC tonight at 9pm. They are airing a special on the student loan crisis. It looks interesting. Here's a preview clip. News Headlines
I just finished watching it. It's interesting how they were comparing the effects of these easy gov't loans to subprime loans with housing. I saw an interview with the host and they pointed out how college cost were becoming more expensive because of these easy loans. When students are getting this easy gov't loan money colleges can charge whatever because market forces that would normally control cost are removed.
Adults = Credit card debt. Children = Student loans. The system wants you to ow them something, you have no limitations this way. Have you ever worked for a college degree very frustrated, that you have to take all these prerequisites; that fucking math, or english, or psychology, that is completely pointless for the very education that you ACTUALLY need? Taking a few classes for you OWN education vs a degree that is required is so different. College is just as much of a joke as high school. Certain academics are very useful. Mostly are completely useless.
Some advice from Clark Howard. Clark Howard: What you should know when borrowing for college - CNN https://www.youtube.com/watch?v=WG2La7K6wwQ&NR=1"]YouTube - Broadcast Yourself.
One more thing from Clark Howard. Video - Breaking News Videos from CNN.com - Saving for college the easy way
The Federal loans now have payment caps based on your income. So there's not a lot of risk in taking those loans. Even if you borrow six figures and you only find a job making $30,000, you'll be able to manage your payments. Also, if we ever hit a period of hyperinflation in the US, then you may be able to pay off your loans for effectively less than you borrowed. And really, hyperinflation wouldn't surprise me at this point. Stay away from the private loans.
