A few days ago, I posted the following on Facebook:
Random thought: If I didn’t have a PLAN on paying my Student Loans on TIME, I would have had a Law Degree at 25. Instead I got a BS in General Studies at 47.
This post bespeaks to an issue that has been a personal pet peeve of mine for most of my adult life, and I am 69 years old.
Let me start of by saying that I feel that in this country it should be possible for every qualified individual to achieve a higher education if she or he desires one, without having to result in penury for the rest of their lives. While I do not think it should be free, some form of public service could be made available in lieu of the expense of college. However, that is not the case and we have to live within the existing system and adapt to it.
About Me
I was an idealistic but practical person when I graduated from high school. I was also naïve and did not know all of the opportunities that were available to me. Given all of that, I did the best I knew how to do. I went to junior college, borrowing money to go. I discovered a vocation that I could turn into a career without a degree and pursued it. It took me three years to get 15 months of education as I had to quit school to work to earn enough to take another quarter of school. Then, because I had a “trade school” education it took me almost 10 years to get my career off the ground. But, I did succeed and I thrived. This in spite of the fact that the profession I had chosen was being populated more and more with individuals with degrees as the profession itself matured.
Ironically in the latter part of my career, some self-righteous human resources people (those who can – do; those who cannot – work in HR) decided that I was unable to do the job that I had been doing for years; garnering bonuses and promotions along the way. They did not take into account that not only was a degree not required when I entered the profession, no such degree was available in my chosen profession. With the reality of being “on probation” for my career, no raises, and the incentive of tuition reimbursement, I went back to school full-time while working full-time and got a BS degree with a 3.9 GPA in 1999.
The reason that it was in General Studies was because the institution kept changing the requirements for various specific degrees, so I went for General Studies so all of my credits counted and I could get my degree and not have to continue working and going to school simultaneously. Quite frankly, if I wasn’t already in my career, I would have had to spend at least another year or year and a half to get a degree in an associated discipline to my profession.
My Issue
Overview
I wish that, when I graduated from High School, there had been the robust Student Loan system that is in place that exists today. When I was trying to go to school, the limit was $1500/year. Not much. I got one of those loans and paid it off early. I also obtained a personal loan for $500, which I also paid off. I guess that it would have been possible to work and go to school with these loans, but I couldn’t figure it out. Thus, I would quit school to work enough to pay for more school.
Later on, there were grants and more and more generous Student Loans. This is great. Ultimately, loans and grants became large enough for students to pursue their education without pause. Yes, they had to work or obtain support for food and necessities but the loans usually covered most everything.
Therein lies the inherent problems. Students became impractical with the use of Student loan monies.
Impractical Degrees
Students are pursuing degrees in some of the most innocuous subjects one can imagine. I will not get into them as I do not want to start a discussion as to the efficacy of someone’s interests and pursuits. However, while I can understand and concede that exploring subjects that are not mainstream and not pursuant to a person’s major (or minor) can be interesting, one must keep the eye on the prize. Keep in mind, if it is one’s minor, you may have an additional issue of selling your cause when pursuing your career. One’s major or minor should be focused on something that will pay their way in life. This is especially true when you are borrowing tens, if not hundreds, of thousands of dollars to get said education. Your have to pay the money back.
There was a time when a degree, any degree, would suffice in getting your foot in the door for a “white collar” job. As a person who made employment decisions, that is no longer the case for entry-level positions. If you do not have an associated background or experience; you are not considered. And by associated background, I mean college major or (sometimes) minor. There are far, far too many people with degrees in Literature, American Studies, General Studies, or some-such that are in dead-end clerical jobs that are going nowhere. In fact, many such degreed person is clerking in a store. While there is nothing wrong or demeaning with this, I assume that was not the person goal. Nor, does it help pay back one’s student loans.
Impractical Desires
Some students are pursuing degrees without really looking at the job picture. If you are borrowing money, via Student Loans, you have to be able to make enough money in your target profession to pay said loans off. At least, one would think so. But that is not always the case. To wit:
Lower Paying Professions
I see people who borrow a lot of money to get a job in a lower paying profession. God love them, they are necessary. God love them, it is a laudable situation. One that I often see is counseling. I have seen people who get a Master’s Degree as a counselor and get a job that gives them absolutely great job satisfaction and absolutely zero chance of paying their Student Loans off. I also see this in some teaching positions as well.
While I understand the desire and respect their choice, I still think that they must be realistic enough to know that their is a cost of their education and that they are personally responsible for it. They are not Scarlett O’Hara and they cannot wait until tomorrow to think about it. If they are borrowing money, no matter how easy it is to do so, they much have a plan to pay it back. This is especially important if they are going to go into a profession where the pay is never going to be generous.
Overstocked Professions
How about overstocked professions? There are professions that, quite frankly, have too many practitioners for everyone in the profession to make good money. One that comes to mind is the legal profession. Yet, there are schools cranking out the education for them are ever-increasing numbers for ever-increasing amounts, with little chance of any of them ever being able to make more than a modest living, if that. Let alone, will they ever be able to pay off their astronomical student loans. Just because you can obtain a degree in something may not be sufficient to obtaining a livelihood. One must be honest enough to look at their career before investing both their time and taking out Student Loans.
My Issue
Listen. A Student Loan is like any other loan with a couple of exceptions. Unlike most loans;
- There a government guarantee involved in the payback.
- Generally a reduced interest rate.
- You do not have to start paying the loan back until you leave school.
- There is no collateral, per se, on the loan. You just agree to pay said loan.
Other than that, it is a damned loan. You are obliged to pay it just as much as if you took out a loan to pay for a car, a boat, or a house. Just because to creditor cannot repossess your damned education does not reduce your obligation. YOU OWE THE MONEY.
Quit whining. Regardless of the cost, you got the better of the deal if you actually used the money for your education. Even if you made the mistakes I described above. No one can take away your education. It is priceless.
I am in favor or a moratorium on loan payments during the Pandemic just as I am in favor of any kind of financial moratorium that can keep people afloat until this is over. Other than that, YOU OWE THE MONEY. You did not have to go to school. No one was holding a gun to your head. No one was twisting your arm. YOU OWE THE MONEY.
You see that I am in favor of a subsidized higher education. But that does not abrogate the fact that you took out a loan and YOU OWE THE MONEY.
Oh, in case I have not been clear,
YOU OWE THE DAMNED MONEY!!!!!
