Skip to comments.Student Loans Are Ruining Your Life. Now They’re Ruining the Economy: Over One Trillion in Debt
Posted on 03/01/2014 6:51:40 PM PST by SeekAndFind
Chris Rong did everything right. A 23-year-old dentistry student in New York, Chris excelled at one of the countrys top high schools, breezed through college, and is now studying dentistry at one of the best dental schools in the nation.
But it may be a long time before he sees any rewards. Hes moved back home with his parents in Bayside, Queensan hour-and-a-half commute each way to class at the New York Universitys College of Dentistryand by the time he graduates in 2016, hell face $400,000 in student loans. If the money werent a problem I would live on my own, says Rong. My debt is hanging over my mind. Im taking that all on myself.
Rong isnt alone. Across the country, students are taking on increasingly large amounts of debt to pay for heftier education tuitions. Figures released last week by the Federal Reserve of New York show that aggregate student loans nationwide have continued to rise. At the end of 2003, American students and graduates owed just $253 billion in aggregate debt; by the end of 2013, American students debt had ballooned to a total of $1.08 trillion, an increase of over 300%. In the past year alone, aggregate student debt grew 10%. By comparison, overall debt grew just 43% in the last decade and 1.6% over the past year.
According to a December study by the Institute for College Access & Success, seven out of 10 students in the class of 2012 graduated with student loans, and the average amount of debt among students who owed was $29,400. Theres no clear end in sight. The total amount of student debt is growing basically at a constant rate, Wilbert van der Klaauw, an economist with the Federal Reserve Bank of New York tells TIME.
(Excerpt) Read more at business.time.com ...
Prediction: a certain hack politician who is proud to have a pen and a phone will try to issue an executive order “forgiving” some or all of it.
Probably on the eve of a critical election.
Let me guess, White House Santa is going to forgive them all?
There are better ways to train the young for demanding and highly skilled careers than how we’re doing it.
The world needs ditch diggers, too.
Slavery is the name of the game.
They are ALL in debt due to college loans. ALL OF THEM!
It mortifies me. I have no words of advice to them. What can I say?
Obama's Amerikkka is absolutely ruinous.
Does the military spend $400,000, or more, per person to get transmit the highest level of skills to its workforce?
I doubt that, yet they seem to get some pretty impressive results.
2 years in community college: $5,000
2 years at state university: $20,000
About the price of a brand new car.
I’ve never thought of that before, but you are right: The military gets impressive results for far less money.
At least Dr. Rong chose a career path. And at least, for now, the government cannot put limits on what he gets paid. It’s far worse for the Womyn’s Queer Islamic Theory grads.
True, but we also need dentists and it shouldn't cost $400,000 to get a degree in dentistry. That's just ridiculous!
We're going to wind up importing a bunch of Filipino "dentists" on H-1B visas because we don't have enough of our own --because our own can't afford to go to dental school.
I have five years before my child faces this monster. HOPEFULLY the whole maddening circus collapses before then.
The reality is very different from your chart.
1. The cost of living is adjusted for quality.
2. The medical cost and college tuition is not.
3. The list price for medical and college is only about 50% of what most people pay out of pocket.
For example, at Harvard and Stanford, if your parents make less than 60,000 per year, you pay nothing except for travel. You don’t pay for books, tuition or room and board.
Furthermore, medical charges are generally based on a “sliding scale” that is incomprehensible to me but I usually pay about 40 times what a poor person pays.
My personal belief is that, with the proper support, you can probably learn as much or more just doing the job than you can in a formalized education system and that goes for nearly every single job out there.
That is not to say that you hire people for positions that they aren’t qualified to do, but start them at the bottom and let them prove themselves into higher skilled positions. This can be done for a fraction of how much it is costing us now.
Only saving grace for my kid is he finish his bachelors and masters in four years. And he already has a paid internship in his field.