So you expect people to go to school a term and then work for a year and then go to school a term. And then repeat the process?
Student loans are a mistake. They accomplish little other than driving tuition beyond affordability for most people. If the colleges did not have access to this easy money, tuition would still be affordable.
As it is, you can still do it on a cash basis if you attend part time. That sucks, but you can get that degree in 6 - 7 years and graduate debt free versus in 4 years and $20,000+ in debt and accumulated interest for the next 20 - 30 years. And the $20K is the very low end. It's often in the range of $50K for a bachelors.
We are fortunate enough to be able to pay our kids college semester by semester. They are living at home and attend the local university. Colleges knickle and dime you to death. There's a goddamned additional fee for everything. If you pay the tuition in full with a credit card, they charge a 2.7% "convenience" fee. This fee goes to a third party processing company. WTF? You would think a university the size of UCO would have a credit card processing account with a local bank for a fraction of a percent. But no - they are in collusion with these finance companies and are likely getting a part of that 2.7% fee as a kick back. We only use credit cards that pay us between 1% to 5% cash back and pay the balance in full each billing cycle. We would like to use that card to pay tuition - but I'll be damned if I'll pay a fucking dime to some asshole third party finace racket if it can be avoided.
I got no problem with that. But I doubt many kids are willing to work at pretty low wages all those years.
This instant gratification culture we live in promotes buy-now-pay-later - and that always drives up cost. The only winners are the finance companies and the colleges. The students and parents are the losers.
Many of the degrees they are selling these kids are worthless. And yes - they are selling degrees because of the easy finance money available. Signing up for college today is often like sitting through a sales presentation instead of a counseling session to determine the best degree path for the student. It's all about the bottom line to the school.
I had an uncle ages ago work the summer to pay for school. My dad worked almost full time while going to college. That is not feasible anymore.
I am all for cutting cost for getting a degree. I would eliminate the bullshit classes that kids are forced to take. That would cut the cost alone by 25% I would think.
The financing is why this is the case. Easily available loan money makes tuition more expensive. Our culture wants it "NOW" - and pay later. The problem is that people increasingly are unable to pay later because so many worthless degrees are out there paid for with borrowed money. And the jobs don't pay as well as that college sales professional promised.
There is an odd twist to this debate. We are told one must get a college education to get anywhere. A lot of jobs you won't get without a degree.
And wages are going lower and lower even for degreed employees. Most students would be better off working that low wage job up front for a few years and going to school part time and paying cash rather than borrowing for a degree and still getting low wages and no hope of repaying the loan.
Unless you can find a way to pay for free college I don't see how the vast majority of students can go unless they get loans. If you want to go that route and not take years to get a degree then you are stuck with the terms of a loan. Pretty simple really
I believe education is deserving of government funding for students that qualify. And by qualify, I mean those with the academic ability to successfully complete the degree program. If you can't pass the entrance exam, then no funding. You flunk out - no more funding for a semester. If you can't pass, then find another career track.
As it stands, money is being loaned to anyone who can breathe regardless of whether they can pass. A high number of student loans are owed by drop outs who could not complete the work. Again - who wins here? Thats right - the finance company who will be paid until the death of the debtor if necessary.
This is a sad situation that requires reform. There should at the very least be tuition forgivness programs for students who agree to work in certain fields in certain locations for a certian period of time. Locking people into a loan for life only benefits the banks.
As long as we keep on apologizing for predatory tuition lenders and allowing politicians to write laws that benefit these crooks, things will never change.
