FAP786: How much student loan debt is too much?
April 29, 2008 @ Financial Aid Podcast Daily Free Internet Radio On Demand from financialaidpodcast@gmail.com (Christopher S. Penn )
(No Ratings Yet)
Loading ...FAP786: How much student loan debt is too much?
Listen now:
Student Financial Aid News
+ Chronicle: If Congress wants more low-income students to enroll in college, it should provide larger Pell Grants to the poorest of them, says a new report out today.
+ The report, “Window of Opportunity: Targeting Federal Grant Aid to Students With the Lowest Incomes,” asks lawmakers to give up to $750 in additional aid to students whose families are so needy that their expected contribution to tuition is a negative number. Under current law, such students receive the same-size Pell Grant as higher-income students whose expected family contribution, or EFC, is zero.
+ Inside Higher Ed: When the University of Central Florida’s medical school opens next year, every member of the inaugural class will receive a full scholarship. The university, citing the Association of American Medical Colleges, said that no other medical school has awarded full scholarships to every member of a class. There will be 40 students admitted for the first class, and each will receive scholarships worth $160,000 over four years — half for tuition and half for living expenses and fees.
+ NASFAA: “Sen. Hillary Rodham Clinton today unveiled a sweeping plan to ensure that students are not left without money for college as a result of the withdrawal of dozens of lenders from the guaranteed-student-loan program,” The Chronicle of Higher Education reports. “The release said Mrs. Clinton is urging the Bush administration to act quickly and support her plan, which includes: Creating a way for colleges to quickly transfer from the guaranteed-student-loan program to the direct-loan program… Giving breaks to parents who now run the risk of being denied access to federally guaranteed low-interest loans for their children as a result of defaulting on a mortgage or being 90 days late in repaying such debts… Authorizing the Education Department to advance money to state or private entities that ensure student loans and to purchase federally guaranteed loans from lenders who are no longer able to handle them.”
Scholarship Update
+ Sterling Scholarship Directory for Utah
+ Great compilation of scholarships, many of them full tuition, for colleges in Utah
+ Details at our free college scholarship search site
Mail Bag
+ Felicia writes: How much debt should a student accrue for a college education? When is it too much?
+ It becomes too much when you know you won’t be able to afford to repay it
+ One model is to not borrow more than your first year’s salary
+ As Justin Draeger mentioned in our roundtable, under 10% of income is good - 15% - 17% is when defaults spike
+ If you don’t know what you’ll be doing after college, find BLS or other stats for average salary for your MSA
+ Borrow as a last resort after non-loan options have been exhausted
+ Federal student loans are the best choice
+ Stafford federal student loans at StaffordLoan.com
+ PLUS loans at ParentPLUSLoan.com
+ Graduate student loans at GradLoans.com
+ Only after scholarships and federal loans should you borrow private student loans
+ Private student loans at AlternativeStudentLoan.com
Did you enjoy today’s show? If so, please consider subscribing for free to get it delivered to you. Subscribing for free means you don’t have to remember to download it every day.
+ 
+ 
+ 
Direct MP3 file download: Click here to download the MP3
Reminders
+ 
+ Financial Aid Podcast Show Notes at FinancialAidPodcast.com.
+ Free scholarship search secrets eBook at StudentScholarshipSearch.com/ebook
+ Open an FDIC-insured savings account today!
+ Private student loans available at any time - visit AlternativeStudentLoan.com
+ Student credit card information at StudentPlatinum.com
+ FAFSA form tutorials and free help at FAFSAonline.com
+ Grad student? Get graduate financial aid information at the GradLoans.com blog!
+ Stafford federal student loans at StaffordLoan.com
+ The Financial Aid Podcast is a publication of the Student Loan Network.
I want to hear from you! Email me at financialaidpodcast {at} gmail {dot} com, visit http://www.FinancialAidPodcast.com, or call 206-350-1208.
Technorati Tags: financial aid financialaidpodcast
Comments
Got something to say?
Loan Calculator
 | ||
 | ||
 | ||
