When it comes to the benefits of a great college education we have all heard how priceless it can be to receive that degree. We have been sold the story of the young person who gets their degree after hard work and study, financed by the right loans and finally emerges to get a great job with benefits and a stable income. However, you might just be shocked to learn how many college graduates have 90k in student loan debt, and some of them cannot even find a job because of our current economic crisis. The figures are staggering and it’s more than the 10 percent some people like to throw around. A college education these days, especially at the university level, is going to cost anywhere from 100k to 200k if you count in all of the expenses that surround the educational experience such as food, housing, clothing and automotive needs. It is four or more years of our lives that we do not get back and often we are saddled with an unthinkable amount of debt in the process that makes a great many of us wish we had never gone in the first place.
The glory days of free universities and grants are over. Students today need to carefully consider if their degree is worth 90k worth of their future earnings – not including the interest accumulated as they struggle to pay it down. There are also hundreds of thousands of families out there who are not financially fit to help their children with funding to college and obtain an education. These past few years have not been the same as before when the average joe was bringing home 5-10k a month. Many people out there are struggling just to make it by month to month and this has caused many people not to have the same college funds stored for their children, like they would have years ago. Today in our struggling economy it will typically be the student’s responsibility to pay for their education and the expenses that come along with it.
So for those of you out there looking to obtain a college degree, you need to decide whether or not you can truly afford the amount of debt you will acquire now and in the future. Remember this decision is going to be with you for years of your life!
My name is Maurice “Moe” Bedard. I am the founder of America’s #1 Mortgage Forum, LoanSafe.org. My online work has been featured in the New York Times, LA Times, Fox Business, and many other media publications.