Thanks for the Help, Government

[anorwegianwood]

So Direct Loan just sent me my official payment schedule for my loans. I'm in deferment until I graduate, and then I will have to make 119 payments. I know that's typical for an educational loan of this size, and I knew my payment plan would be 10 years, but seeing it written out like that makes it very real all of a sudden. 2024. I'll be 36.

Comments

[oregano42]

This is what happened when I got my 3-semester update. Except I didn't even look at the number of payments. And 5 semesters more of the same crippling debt just to work 80-120 hours for probably less than $40K/yr... for at least half of the life of the 10-year loan (which mostly ALWAYS COLLECTS COMPOUNDING INTEREST AT A RELATIVELY HIGH RATE, WHAT). I mean, seriously. Good thing I don't plan on kids, since I'll be 34 before I've finished paying off my roughly ~$200K in debt, let alone owning a home, etc.

Considering the last time I graduated, it was from Bryn Mawr where I paid for at least half of the fees myself and still had $10K left in my bank account.

[anorwegianwood]

I KNOW! They should at least subsidize the interest on all our loans while we're in school. Having to make interest payments while I'm a full-time student with literally no income at all is just stupid. They're essentially giving me money, and then asking me to give a little bit back right away, even though I have no more money than I started with.

[oregano42]

...after the loan origination fee, which is added to the principal-- so you're paying interest on money you never actually received.

I tried to figure out a way to pay off my principal without having to pay the interest first (because while the interest compounds during the deferment period, it isn't capitalized until the end of it, so I was hoping I could take this route with some type of payment scheme), but alas.

I understand it's all necessary in a business sense, but it sure does suck.