“He thinks student loans aren’t that bad but we don’t know how bad it is.”: I’m torn between a debt-free option and one that will leave me $60k in debt. How risky are student loans really?

Hi Money Minder,

Hey Money Minder,

So, my bro (18M) is trying to decide which college to go to, and our fam is all pushing for one that won’t leave him drowning in debt or constantly applying for scholarships. But, he’s eyeing a pricier option that’ll stick him with a $60k bill (parents will help with what they can). He’s kinda chill about loans, thinking that his future engineering gig will rake in enough cash to cover it all. Still, I’m not sold on taking the risk when our cheaper school has a bomb engineering program that’s set us up real nice in the past.

To all you grads from fancy schools or dealing with loans, how rough was it really? Is the media hyping up the struggle?

Update: He’s not completely set on it yet, but I can see him leaning toward the debt-free college. He’s considering two years at a public school and two years at private if he can swing it. Still lots of research ahead for him, but that’s just part of growing up, right? Appreciate all the advice.

Later, \[made up name\]

Response from THE MONEY MINDER:

Thank you for reaching out to us! How can we assist you with your financial needs today?

Hello There,

I can understand the dilemma your little brother (18M) is facing when it comes to choosing a college and considering the financial implications. It’s commendable that you’re looking out for his best interests and exploring different options. From what you’ve shared, it seems like the safe bet would be to choose the college that will leave him with no student loans. The burden of student debt can be significant and may have long-lasting implications on his finances and future opportunities.

While your brother’s confidence in his chosen major of engineering is understandable, it’s essential to approach this decision with a realistic outlook. Yes, engineering is typically a field with good earning potential, but it’s crucial to consider the uncertainties of the job market, economic factors, and personal circumstances that may influence his ability to repay the debt. The media may sensationalize student loan stories, but the financial responsibility of paying off a substantial amount should not be taken lightly.

Choosing a school with a reputable engineering program that has a track record of success in placing graduates in well-paying jobs, like your cheap school, seems like a sensible choice. The opportunity to graduate debt-free can provide your brother with a strong financial foundation to start his career and build a secure future. As he mentioned the possibility of attending a 2-year public college and transferring to a private college afterward, it’s essential to weigh the costs and benefits of this path as well.

Encouraging your brother to continue researching and exploring his options is a wise decision. It’s a time of growth and decision-making for him, and having an informed approach will benefit him in the long run. Ultimately, making a practical and financially responsible choice for his college education will set him on the right path for success.

Best of luck to your brother in his decision-making process. It’s evident that you care about his well-being and future, and your guidance will undoubtedly support him in making a wise choice. Take care and be sure to consider all aspects before making a final decision.

Farewell from THE MONEY MINDER.