Going to a community college to get your first 2 years done might be a smart move.
Student loan debt, now at $830 billion, has surpassed credit card debt; a statement unlikely to have been heard 10 years ago. To some, this is uncontrolled spending over education and as a result, this statement from Wall Street.
It is a matter of choosing the right product according to what one can afford and tuition is a product. Simply put, a person who can only afford a home worth $500,000 should not push to buy a $1,000,000 home. A student, not even granted a credit card, should not be granted a loan that would mean financial suicide just to go to an expensive school. Getting into debt can be easily avoided if one realizes that dealing with it, once in it, is a lot more difficult. Student loans, even if guaranteed by the government, can’t be discharged to bankruptcy. It has to be paid at all costs.
Taking an economical approach to college education is not a substandard approach to education. Some core curriculum subjects may be taken at a community college or a state school then transfer at the final 2 or 3 years. While some schools don’t allow the transfer of core credits, there are many that do.
People practice reasonable choices with credit decisions and this practice should apply to college choices too. Some community colleges provide education to the same extent that a $40,000-a-year Wake Forest or Notre Dame provide. Parents need to realize the reality about college degrees which are simply tickets to a bigger job market. If after graduation there is a guaranteed ROI, then perhaps spending $100,000 in student loan may be worth it.
It may well be better to opt for a degree that will get one into the workforce instead of hoping a particular degree will do it. Often times, experience is the main selling point. After all, there are many successful people in the workforce who did not come from expensive schools.
