So a few days ago I was in a store minding my own business, when I overheard an employee having a conversation with another one. He was going about how he took out a $40k loan for school and now he has to pay double due to interest and he has no way of paying it back due to lack of job. He was thinking about joining the military to get his debts off. I cant help but notice that Ive heard this story many times before. With the rate of tuition for college going up every year, do you think a college education will once again be only for the few elites in society like how it used to be in the 1800s?

/Discuss

Depends on the region. In some regions the costs to the students are far more reasonable, some are even free. Other regions don't even have college level educations.

It wouldn't surprise me if major breaks and government support for student loans becomes a bigger political topic in the next decade as a greater portion of the voting population grows up with massive debts and poor jobs. It is the kind of thing that tips a nation towards massive social changes. Nothing like pissed off mid 20s to late 30s people to start a revolution.

With the rate of tuition for college going up every year, do you think a college education will once again be only for the few elites in society like how it used to be in the 1800s?

Nope. Not with some places offering a college level education for completely free. MOOC's are on the rise and as they gain credibility they may even replace traditional colleges in some instances. Udacity has free courses and for their CS101 course you can take a proctored final exam for 100 bucks and some colleges are beginning to accept transfer credit for it. They are working on getting accreditation as well.

And that guy needs to do his research because he could have his interest and payments deferred till he got a job. My cousin did it for 5 years.

We have HECS in Australia, Higher Education Commonwealth Support Help, which does two things, it will give a 10% discount on any fee's if they are paid up-front (it was 20% until recently). And more importantly it provides for most courses a government provided interest free loan, that you don't have to pay back until you are earning above a certain amount. It is then paid back through the tax system. So no, in Australia it isn't a luxury, it's an option.

And fair enough too, providing global education is in every-bodies interest. Is anyone still arguing that it should only be available to the wealthy ?

Edit : I believe that in The States there uni system is very different to ours, they have a a much stronger scholarship system than us, because basically we don't need it to get an education. I suppose it's a difference in perspective of who should pay for the nations education ... but that can become a slightly complex discussion in itself for a number of reasons.

I'd say the person mentioned in the third-hand retelling of the story is an exception to the rule.

In the United States, with a combination of grants, scholarships, and loans, a 4-year degree program is available to almost anyone who wants it.

That doesn't mean everyone can afford an exclusive private school. It may mean getting an associates degree at a junior college, then moving on to a less expensive state school to finish up.

University education is more accessible in the US than it is in most of the world, and due to the relative availability of funds it is pretty easy to get if you really want it.



I've heard the horror stories too. I've even seen a few of them. One that I know personally the 'student' took out $20,000 in student loans and spent it all on riotous living rather than scholarship. Not unexpectedly he ended up dropping out of school, declaring bankruptcy, and so on. To this day even as a more mature adult he still cannot manage money and constantly complains about how his own credit card debt is killing him.


Sadly there are many people who choose to attend an expensive school over one they can afford. Almost always it is the individual's fault for making bad choices.

Almost always it is the individual's fault for making bad choices.[/QUOTE] I believe education can help people make better choices.

And fair enough too, providing global education is in every-bodies interest. Is anyone still arguing that it should only be available to the wealthy ?

Edit : I believe that in The States there uni system is very different to ours, they have a a much stronger scholarship system than us, because basically we don't need it to get an education. I suppose it's a difference in perspective of who should pay for the nations education ... but that can become a slightly complex discussion in itself for a number of reasons.

In the US there are federal grants ('free' government money) available to everyone who needs it. The grants provide enough money to cover most of the tuition at most of the inexpensive state-run universities.

There are also academic scholarships available to basically everybody who studies. (Sadly, many students do not study.)

Those who choose to attend the less prestigious state schools can very easily have all tuition and fees covered by 'free' money.

Those who choose to attend more expensive schools are eligible for student loans to cover the difference in cost and to cover some of their living expenses while in school. The student loans are subsidized by the government, have very low interest rates, and can be placed in deferment if you lose your job, cannot work, or have other issues.

The system of student loans has an unfortunate flaw in that the money is given to the student rather than the school. For most students that money is used responsibly for academic expenses. As I mentioned in my story above, some people take the student loans and use it to subsidise their lifestyle rather than using it for scholarship. Those people are often the ones saddled by heavy student debt.

Almost always it is the individual's fault for making bad choices.

I believe education can help people make better choices.
[/quote]

I agree that education can help people make better choices. But I don't think that education should be coming at the college level (17/18 years old). These are ideas and values that should have begun being ingrained by the early teens and hopefully was hammered home by the time they're leaving high school.

In this example, it would help them better assess using borrowed money for college. But it would help greatly in everyday life as well. Learning to budget. To live on less money than you make. To be aware of how much more money it costs to pay something off when even moderate interest rates are in play. Lots of subtle and not-so-subtle financial topics like that.

As a current student at University, just this summer when I transferred to this University I had to deal with the whole Financial Aid, Grants, and Scholarships. I have entirely too much experience dealing with the current form of it.

I applied for a couple of different Scholarships, sadly didn't receive anything. My parents went through the entire FAFSA Application with my step-dad who also deals with this sort of stuff for a living. Well to not get all personal and to make a long story short, the Government at this time believe that my parents (who are divorced with them both remarried) make enough money to help me though school. Their are different grants that you can be accepted for. Each have a different interest rate and really different "rules." I was accepted for types of grants, with me able to accept one of them. Though after we talked to my step-dad and did more research on them we narrowed it down to really one type of grant as the other one would be a terrible choice for both me and my parents. The total grant that I was awarded per semester would not pay half of my tuition (judging by me taking a full load every semester).

All the other schools around my area have Tuition costing just as much and even some "smaller" schools have more expensive tuition. That could explain why two years in a row this school has set record number of enrollment every semester. It has some great accredited programs that are ranked high up in the US while still being "cheaper" than the other top Universities. If I would had chosen a cheaper school they would not have had my Major, Computer Science, offered there.

As a current student at University...

That is why I was cautious with "most".

If you happen to live in any of the more expensive regions of the nation then you can expect costs to be high. If you live in New York, Los Angeles, or even the #11 Dallas area ranked in that #1-#11 article, your schools are just going to be more expensive. If that is the case, move.

Google says if you started from the #1 most expensive New York City and moved a few miles to the capital city you could save half your money. Or #2 expensive Los Angeles and moved in-state to Sacramento, you'd save almost 35% on tuition at various schools. If you were in Dallas moving over to Austin, you'd save about 20%.

Do you live somewhere expensive? If so, have you considered distant schools?

I applied for a couple of different Scholarships, sadly didn't receive anything.[/quote]
Out of curiosity, what are your grades? My nephew in school is maintaining an A- average and maintains his half-tuition scholarship. When he entered school he talked about applying for around fifty different scholarships, and was able to choose among several.

When I went to my University in the 90's it was similar; I found it was easy to maintain a half-tuition scholarship by studying hard.

The total grant that I was awarded per semester would not pay half of my tuition (judging by me taking a full load every semester).[/quote]

Or said from a more optimistic perspective...

You have access to 'free' grant money that covers almost half of your tuition, and your family is considered wealthy enough that they could pay the rest.

Your financial need was considered low enough that you didn't qualify for scholarships (I'm assuming your grades were not the problem), so you were expected to pay the bill.

If you qualify for grants then you are also likely eligible for federal student loans; the Stafford loan program is currently 3.6% fixed rate, with no payments until after you finish school. That is great considering other unsecured loan rates.


Either way, it is something that you CAN have access to. It is an option. It may not be fully funded, but it is an option and you are taking it.