When submitting the FAFSA or Free Application for Federal Student Aid to apply for financial aid at colleges and universities all over the United States, parents and students have needed a PIN number as their electronic signature. Recently, Federal Student Aid has changed the PIN to an FSA ID, which will serve as an electronic…
Tag: Debt
Student Debt in Seven Charts
Not all student debt is ruinous. However, borrowing can be complex. Loans spend tomorrow’s income today, and for college students, a promise of tomorrow’s income is spent to pay for expenses in the present day. Understanding recent growth in student loans and the challenges of repayment can help potential student loan borrowers consider both the benefits and the risks before borrowing.…
Ahead of the Curve: All About Financing A College Education
Thoughts from the news: Flip Side of Reducing Student Debt Is Increasing the Federal Deficit, New York Times, February 11, 2015—for every benefit, there is a cost Looking At Student Loan Defaults Through a Larger Landscape, Federal Reserve Bank of New York, February 19, 2015—student loan defaults are not only increasing, but also occurring earlier in…
Wait…I Have Student Debt?!?
In a recent survey published by the Brookings Institute, current college students with student debt were unaware of the exact loan amounts, as well as what they’d eventually repay. At $1.2 Trillion and growing daily, total student debt may be more complicated than we, as a society understand. Highlights of the findings are below: At a public four-year…
College Confidence?
The following chart shows wage growth (or lack of) 60 months into the most recent economic “recovery”, which is at the lowest point since World War II. Furthermore, the employment situation is no more rosy: “The bottom line is, we’re a million miles from full employment,” said [David] Blanchflower, a Bank of England policy maker…
The Bill Always Comes Due
An unprecedented $1.2 trillion in student debt has grown exponentially in the last several generations, showing few signs of abating. In less than one generation, college graduates have tripled their debt burden. According to the Wall Street Journal, over 70% of the Class of 2014 will graduate college with an average of $33,000 in student…
Ahead of the Curve: July 5, 2014
Inspired by CMC Clients Advanced Placement (AP) Test Scores: Students often believe that a score of less than 3 will hurt their college admissions competitiveness. The belief is a myth. A student’s willingness to challenge themselves academically by taking AP classes and the tests will be considered by college officials in the admissions process. The score,…
A $60 Trillion Inheritance…in Debt
Wishing a better life for our children is normal. Actually setting aside our personal wants in favor of our children is more complicated in practice. The next generation will inherit a record $60 Trillion in total U.S. debt—government debt, business debt, mortgage debt and consumer debt. (See chart below) Furthermore, the growth of student loan…
Borrower Beware
Student borrowers aren’t the only ones defaulting on college loans… Chart source: Department of Education & Inside Higher Ed
Economic Recovery?
Even though the news may be promoting economic recovery, a recent UCLA study showing that middle aged parents aged 50 to 64 are moving back into their elderly parents home with kids in tow for financial reasons – may support a competing meme that shows our current financial state isn’t so rosy. To further add…
Who Can Afford College?
Presented with no comment. Click to enlarge Chart Credit: zerohedge.com
Tough Love
As regular readers recall, the news about stagnant American household median income is not a new story, more of an evolving story about how more American middle class families are adjusting to life with less income. Lifestyle adjustments are just one possible shift in American households. More often, I’m hearing parents ask questions about how…
Is College Worth the Expense?
More Americans believe that going to college is NOT an affordable option.
Why Winning Free Money Takes Effort
Scholarships are not mysterious. Winning them takes work – which is only a continuation of the efforts to be eligible to compete for scholarships in the first place.
Rising Student Loan Delinquency
Student loans can help fund college expenses, yet create a future financial burden for students when in repayment. Currently, the total of student loans 90 days or more delinquent is at a record high of $124.3 billion – an increase of more than $3 Billion since last quarter. Possible reason for the delinquency can include…