A bad weekend for college students

July 3, 2006

You may have heard that recently-adopted policies are going to make it harder for [tag]students[/tag] with [tag]college loans[/tag]. Apparently, over the weekend, it became official.

Students across the nation will have to pay thousands more in college loans beginning Saturday, according to a series of reports released [Friday] by the research arm of the Campaign for America’s Future. College students and graduates will be pushed deeper into debt as [tag]interest rates[/tag] on [tag]Stafford[/tag] loans — the basic student loan — rise from 5.3 percent to 7.14 percent on old loans and to 6.8 percent on new loans at the end of this week.

Parents that take out PLUS loans to help their children pay for an undergraduate education also face rising interest rates. This Saturday, rates on [tag]PLUS loans[/tag] will increase from 6.1 percent to nearly 8 percent for existing loans and to 8.5 percent on new loans, costing the average parent nationally an extra $3,000 and $3,953 respectively.

It’s perfect timing, too, in light of the fact that [tag]tuition[/tag] costs have increased 40% since [tag]Bush[/tag] took office.

No wonder the [tag]president[/tag] has been lying about student loans for months.

I just think it should be pointed out that under the old formulae I would be paying a higher interest rate on the loan I’m taking out this fall than I will be under the new system…. it is a classic fixed/floating tradeoff, though I will grant that in the old system the government paid for the fixed/floating swap once you were eligible for consolidation.

  • I have an eighteen year old daughter about to enter college…

    …and even I can’t get worked up about this. Yes, the Republican’ts could try collecting some of those taxes that are not being paid, and have some more available for tuition support.

    But frankly, if we are paying for Iraq and Afghanistan on the credit card, clearly we have greater problems.

    But this is just more proof that the Bushites are a bunch of frat boy elitists who hate middle class Americans.

  • If they are deeper in debt for their college loans today, how are they going to pay for the Iraq war tomorrow?

  • This is just more sad news to someone like myself considering an advanced degree. Oh well, what’s $10 or $15 thousand more debt; maybe China will finance it for me.

  • I’m sure people who make hundreds of thousands of dollars per year have no idea that borrowing $100K @ 8% for college is a burden to “normal” people. Could this be a part of the Republican strategy? If they make college so expensive it is out of reach of normal people they stand to benefit in two ways. First, the keep kids out of that hopelessly liberal academic brainwashing system called college. Second, think of the large numbers of low-skilled workers this will create. We can drive the immigrants out by taking their jobs. Third, low skills = low pay. They are saving big corporations a lot of money. Fourth, it seems the less education you have the more likely you are to swallow Karl Rove’s propaganda and the more likely you are to vote Republican. Fifth, financial services companies will receive an 8% return and not a paltry 5% return. Think of the economic advantages of that. It is only a matter of time until the economy is booming.

    Thanks Republicans!

  • Last Fall I spent a week in Padua, home to the 65,000 student University of Padua. It was delightful being in a university town founded during the middle ages (1222) to escape the Church of Rome’s distaste for dissection in medical schools (the current stem cell “debate” has a long ancestry). Among the many differences (e.g., virtually every student there spoke English) I was surprised to see how little education costs, not only in Italy but all over Europe.

    Here is a compendium of tuition in all the European countries. In Italy it ranges from 164-600 Euro per year. That’s about 196-720 USD. In many countries there is no tuition at all.

    The University of Padua’s catalog states: “Students are required to fill in an Income Assessment form to find out whether they are eligible for a reduction in University fees. This may even result in complete exemption from payment (or a fees refund).” The catalog for their school of oncology and endocrinology states “Health insurance and insurance against accidents will be provided. No tuition charges will be levied.”

    What a contrast from our country’s 40% increase in tuition during the reign of the Bush Crime Family. The tax cuts for the Regal Moron’s obscenely rich friends, alone, would more than cover the cost of providing free tuition for all qualified students.

    When I was going to college at San Francisco State tuition was free throughout the University of California system (fees were $150 a year and could easily be waived). Governator Reagan destroyed that system before he went on to destroy the rest of working people’s America. Bush is merely continuing the anti-intellectual, anti-curious, xenophobic and plutocratic tradition of the GOP.

  • Ed:

    “…a university town founded during the middle ages (1222) to escape the Church of Rome’s distaste for dissection in medical schools (the current stem cell “debate” has a long ancestry).”

    Just wondering Ed… do you know of any historical analysis (on the web) that examines Christian opposition to early pain relief medication?

    Years and years ago, I read that there was quite a religious fight against anesthetics. I’ve been curious about the details and haven’t found any web documents that examine that sordid history.

  • Governator Reagan destroyed that system before he went on to destroy the rest of working people’s America. Bush is merely continuing the anti-intellectual, anti-curious, xenophobic and plutocratic tradition of the GOP.

    What’s the point of owning a treehouse if you don’t get to pull up the ladder?

  • What’s the point of owning a treehouse if you don’t get to pull up the ladder?

    Right! That was the whole point of the Boston Tree Party.

    Elevation without escalation! Because of that, all structures suspended in vegetation must have an accessible entrance system.

    Sorry, truly, I am. 🙂

  • koreyel (#7) – I regret to say I don’t know about that. I could probably do some ‘net searching, but you probably have already been there.

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