I knew an engineer who had student loans. He never went out to lunch with us, preferring to eat a PBJ at his desk. He got a crap apartment close to work so he could bike there even if it was pouring down rain, because he didn’t own a car. He dressed in rather ratty student-looking clothing. He had the whole thing, 50k, paid off in about 18 months.
I think that’s the way it was supposed to work.
I know a 60yo male who is thrilled with the student loan gift. Rather than paying off his student loans, he chooses to fly first class, own the latest and greatest iPhones, iPad Pro, iMac, and shop at Fresh Market. He filed bankruptcy a while back. Today he lives rent-free, with his elderly widowed mother. She cooks his meals. Did I mention he is a dyed-in-the-wool liberal?
From what I read here over the years, you’ve described a bunch of Freepers, maybe even yourself.
The only difference among the Freepers/engineers might be total amount borrowed. Summer jobs weren’t able to keep up with the 1970s inflation in tuition and fees. And back then, any engineer who then went to grad school and was an American citizen - could get a full ride at one or more schools. Grad school was not a life of luxury, but one did not need to borrow any more money, and possibly save a few bucks to buy a suit and get a haircut for the eventual interview.
I had student loans. About $9000 in 1979 dollars, about $35K today. 10 year loans, advantageous interest rate. Paid them off in 10 years. No hardship whatsoever. Of course, I drove a Chevette during that time, but to be frank it did not seem like such a burden.
That sounds like my son. Astronautical engineer. Lives with four other guys. Drove a garbage car, paid off $30k in 12 months.
He still lives in the rental with three other guys and is banking his money.
And then there are the people who worked full time while going to college, mostly paying as they went. They skipped the "College Experience" and busted their asses. For many, college is a 4 year party.
Thanks for posting this.
We have 2 grand nephews, new in engineering, who took a 10K loan to finish college and to help get started in life.
A granddaughter, a new RN last year, did the same her last year in nursing school. She has been working and paying taxes all of her high school and college years.
We have one grandson, who will be graduated next year with 2 engineering specialities. He is following the path of his relatives. He has been working for 3+ years and paying taxes.
So are they to be punished for getting degrees, which enabled them to be hired before and on graduation?
They will be paying a ton of taxes in their upcoming lives to more than cover this advance in their life.
Their grandparents, uncles and aunts as well as parents helped pay for their college costs to minimize their loans.
Their degrees are instant employment degrees not instant unemployment degrees, IUDs! IUDs just keep the worthless PhDs employed pushing the same worthless IUD’s.
This issue was discussed with 2 of the college recent or will be grads, and they will max these loans. They have a current job or one on graduation.