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My daughter in law goes to school with a girl who has 200k in student loans and she hasn’t finished her undergraduate work yet.
The entire student loan program is poorly handled. I don’t understand how the girl came up with 200k in student loan debt but in this case it’s a fact.

Its not handled much differently than any other loan business. If anything, even in private loans the terms are more favorable to the borrower than in non-mortgage non-educational loans.

I also know a friend of a friend who works at McDonalds and put her entire college bill on her credit card. Now she has three associate degrees and still works at McDonalds, with a $30,000 debt at 18% interest.

I can’t really blame the credit card company for that. When people use financial services, they need to be aware. Its like any other purchase and I hate when the dumb ones try to ruin it for everyone who knows how to purchase the product effectively.

It SHOULD be a great investment in one’s future. If it isn’t, I think that’s a personal planning problem.

200K in student loans???? $%^&$%^&*$%^&$%^&*$%^&$%^&*(%^&*
Can you say VanWilder? I pray she is getting a medical degree. You are right, the student loan program is poorly handled. For any other loan, you have to show collateral for the loan, so why would any program or bank loan this much without future collateral (potential earnings) against this. (I know.. government program..)

I may have had an advantage in that my parents forced me to save for and pay for the first semester of college myself before they helped or co-signed a student loan, it really taught me to think about the return on investment for college. Too many college students think that it is simply a continuation of high school that someone else will pay for, not on the platform for the rest of their lives.

I find that hard to believe, they have caps on what you can borrow in student loans. Those amounts are only upped for medical students.

The aggregate loan limits are $23,000 for dependent undergraduates. The maximum loan limit for graduate and professional students is $65,500.

In addition to subsidized loans, independent students or dependent students whose parents do not qualify for a PLUS Loan, can borrow up to:

$6,625 - 1st year undergraduates (2625 subsidized + 4000 unsubsidized)
$7,500 - 2nd year undergraduates (3500 subsidized + 4000 unsubsidized)
$10,500 - 3rd and 4th year undergraduates (5500 subsidized + 5000 unsubsidized)
The aggregate loan limits are $46,000 for independent undergraduates (only $23,000 of this amount may be in subsidized loans).
The aggregate loan limits are $138,500 for graduate and professional students (only $65,500 of this amount may be in subsidized loans).

Now alternative loans are based off of creditworthiness. So if you've got good credit, you can borrow a bunch.