Student Loan Question

[hentob]

Thanks for coaching her on how to screw the rest of us (taxpayers).

It is only going to get worse. The days when people paid their bills because they had pride are fading.

They will teach their children to be the same No pride.

The economic future looks bleak because of these deadbeats. I am sure the government will start bailing them out as well

 

[stitchlilo]

Good grief people get off your high horse! I am so glad that there are so many perfect people on the DIS. I guess I just suck since I took our loans at 18, w/o knowing much on paying them back. And for all of you with so much time on your hands, rereading my own posts, yes I am a SAHM. And proud to be. I will give my kids the life I did not have. My hubby was military and it is nice to finally have the family together. And yes we went to BGardens. Since you don't know me, you will not know it was paid for by my mother. And yes I bought a treadmill- from Amazon, paid for with gift cards I earn doing surveys. I could go on and on and try to "justify" my spending habits to you holier than thou types, but I feel no need. I asked a question, and appreciates the answers. But there is no need to bash someone you do not know, w/o knowing their complete circumstances.

Thanks again to the kind Disers and their replies and/or PMs.

Good grief get a job and pay your obligation.

If a perfect person is one who pays their bills then I am perfect.

The free vacation, who would have guessed that was the next card played.

A SAHP is not a right but a privilege that one earns. That is right EARNS buy saving, budgeting and not overspending.

 

[ilisao]

Good grief people get off your high horse! I am so glad that there are so many perfect people on the DIS. I guess I just suck since I took our loans at 18, w/o knowing much on paying them back. And for all of you with so much time on your hands, rereading my own posts, yes I am a SAHM. And proud to be. I will give my kids the life I did not have. My hubby was military and it is nice to finally have the family together. And yes we went to BGardens. Since you don't know me, you will not know it was paid for by my mother. And yes I bought a treadmill- from Amazon, paid for with gift cards I earn doing surveys. I could go on and on and try to "justify" my spending habits to you holier than thou types, but I feel no need. I asked a question, and appreciates the answers. But there is no need to bash someone you do not know, w/o knowing their complete circumstances.

Thanks again to the kind Disers and their replies and/or PMs.

Sorry. I am not buying that you took out a loan without knowing how much you had to pay. Did you not read your paperwork?

I have a student loan from grad school. And yes, I was a SAHM. And there have been times that money has been tight. And NEVER did I consider defaulting on my loan. EVER. I found the money. But, not paying was never an option. People like you are the ones that ruin the financial aid process for everyone else. Because when people default, others end up paying for it. You want to give your kids something? Then show them responsibility and give them a future.

 

[Cindy's Mom]

I've noticed in threads like this that when an OP is in a financial struggle and they come to the DIS for advice with a trip planned in the future......somehow their parents are always paying for that trip or that big ticket item they were posting about a couple weeks ago.

 

[hentob]

......somehow their parents are always paying for that trip or that big ticket item they were posting about a couple weeks ago.

But yet these family members NEVER help them out with paying important bills?

Several posters on these boards have claimed that they are so poor they can't even buy their children food. Yet, vacations to the Grand Floridian, Poly, cruises, etc. have been taken and are in future tickers They say a family member will be picking up the tab Why not help with the poverty issue instead?

 

[ZuZugal]

OP - sounds like you need to take a step back and examine your entire financial situation right now.

First, start off simply. Write down your income and then your expenditures. Take a serious look at every expense. Cut what can be cut. Call the phone company to get a better plan. Sit down and write out a weekly menu and stick by it so you can eat at home more often. WORK THAT STUDENT LOAN INTO YOUR EXPENSES AS IF IT ISN'T AN OPTION. If the monthly payment is too much then make the call to get it lowered; but don't plan on not paying.

Just from your posts it looks like you need to take a good hard look at your entire financial situation. Yes, it will be tough. It'll take some digging and number crunching and some time. You and your DH should do it together. Think of how good you will feel once you take control.

 

[koalababy]

I guess I just suck since I took our loans at 18, w/o knowing much on paying them back. And for all of you with so much time on your hands, rereading my own posts, yes I am a SAHM. And proud to be.

Well what did you learn in college then? That a loan is free money? I knew in Elementary school that a loan is money that needs to be paid back with interest. I charged interest when my parents borrowed my babysitting cash.

Anyhow without commenting on all the other stuff you've been spending your money on, it's quite simple really to come up with another $200 a month. First of all you need to get a job. I don't really care if you don't like that. You owe money you NEED to pay it off. You do not NEED to stay home. You could easily do this working only part time when your daughter is in school.

Or start looking at other monthly expenses that you can cut out. Our satellite/internet bill is $200. Our cell phones are $75. Do you have anything like that. $200 is not a lot at all. And you have NOT exhausted all avenues in order to pay this off. In fact, it's clear to me that you do not want to pay this off at all. Because if you really wanted to you could, quite easily.

 

[froglady]

I grew up with parents working swing shifts, with one of them sleeping while I was at school. I worked the night shift with many moms who would have loved to be SAHMs, but needed the income.

I would work at a fast food place, a grocery store, a bar or restaurant, etc in the evening while my husband watched my children rather than renege on a financial obligation.

I have a feeling that stories like "The Gift of the Magi" by O Henry or "The Necklace" by Guy de Maupasant could never be written today.

In the first, they would just charge the watch fob and combs, and worry about paying the bill later, because after all their spouses really deserved something nice, and life is short. In the second, she would just tell her friend that she should have had insurance on the necklace, and bedsides, I'm poor, you're rich, so you won't really miss it, and you can just buy another one.

 

[hentob]

I have a feeling that stories like "The Gift of the Magi" by O Henry or "The Necklace" by Guy de Maupasant could never be written today.

In the first, they would just charge the watch fob and combs, and worry about paying the bill later, because after all their spouses really deserved something nice, and life is short. In the second, she would just tell her friend that she should have had insurance on the necklace, and bedsides, I'm poor, you're rich, so you won't really miss it, and you can just buy another one.

 

[HeShootsHeScores]

I went back and looked at her previous posts and many are correct here. I was able to see the OP in May, needed a vacation( they take several every summer), wanted to know the best resorts for families, help in booking the trip, and she managed to buy a treadmill, he final post for me was " We as a family eat out to much". OP sounds too lazy to work and cook, and of course pay her student loans, but evidently has plenty of time and money to plan trips and buy a treadmill. There are just so many things wrong with this situation. OP obviously has the means to pay the loan but not the ethics and morals to do such. Defaulting on students loans is not the answer, pay your bills, and learn to cook and get a job! I agree with all the posters here that you just need to stop whining and pay your bills. Once again, STUDENT LOANS ARE NOT FREE MONEY!

Tom - this isn't directed at you. It's directed at the OP and the "need" of a vacation. Nobody needs a vacation. Vacations are a priveledge, not a right. Vacations are a want, not a need. You NEED food, shelter, clothing and the bare necessities. Vacation does not qualify as a bare necessity. You do NOT need a vacation. You WANT a vacation. You can take time off and stay at home. For someone who doesn't work, why the need for a vacation? How about a staycation instead? It's far more affordable!

hello if she is buying a treadmill she is not lazy...I do not work either,I stay home with my kids..some people can not afford to work. We save ALL year for a vacation because my dh who works his butt off would like to take his family on a trip BUT it would cost us to much money for me to work so we budget.there are some things we go without but with my dh job I CANT work ...the good paying jobs are 9-5 and I would have to work around his schedule....do not judge if you really do not know someones personal real life issues (not everyone shares every little detail here)that is why it is best to just answer the question that is asked and not judge.

1. What does she need a treadmill for? If she's a SAHM w/a 7 yo child in school, then she can walk around the neighborhood! Go to the mall on a bad day and walk around. I noticed that the OP said the treadmill was bought w/gift cards from Amazon. If that's the truth, then fine. If not, spending money you don't have on a treadmill when you can walk around the neighborhood or mall is ridiculous!

2. Her child is 7 yo. At that point, the child s/b in 1st grade. That's a full day of school. How can she NOT afford to work a part time job? I was a SAHM until DS went to Kdg. In his Kdg. year, I worked "part time" at his school subbing. Many other moms worked as teacher's aides, in the cafeteria or in the office. When DS went into 1st grade, I started teaching full time at another school. The OP can get a job working part time as hours can be more flexible.

3. Livie - you state that you save all year for your vacation and that's the way to do it! If you owed $200/month in student loans and couldn't pay it, how would you handle it? Would you look for work? Would you give something up? Would you still be taking that vacation? Or would you focus on putting your money towards paying off that debt and continue saving until you could afford the vacation? Or would you just default on the student loan? That's the difference.

4. When you have little money to begin with and can't pay loans ANY JOB is a good paying job!!!! You don't have to send your kids to after-school or daycare programs. Lots of places let you have flex hours when you're part time. From what I understand, the OP has a 7 yo child. There are many parents who work part time hours during the day while their kids are in school. It CAN be done -- you just have to WANT to do it!

I guess I just suck since I took our loans at 18, w/o knowing much on paying them back.

At what age do you think students take out student loans?! When they start college at 18. You're not the only person who took out loans at 18. That's just a cop out. And how can you claim you didn't know much about paying them back? When you take out loans, they tell you exactly when and how you're going to pay them back. Even at age 18, I understood that. If you didn't understand, you should've asked.

 

[hentob]

....yes I am a SAHM. And proud to be. I will give my kids the life I did not have.

You said a few weeks ago:

I'm in too.

I want to budget $65/week. It is me, DH and DD7.
Right now I am about $75/week.

So you only have one child And she is 7 and in school all day What do you do during the day? If you flip burgers for 2 hours a day, you will have $200 a month and then some?

This is frustrating to read

 

[Boston Tea Party]

It seems to me that there are two kinds of people in the world: those who fulfull their obligations and those who don't.

OP, you do realize, do you not, that student loans appear on your credit report? Are you really going to wreck your credit - giving you the benefit of the doubt here that it's not already shot to hell - for that amount of money?

 

[HeShootsHeScores]

I've noticed in threads like this that when an OP is in a financial struggle and they come to the DIS for advice with a trip planned in the future......somehow their parents are always paying for that trip or that big ticket item they were posting about a couple weeks ago.

I'm going to NYC this weekend and am taking my Dad. I'm paying for everything ... he paid for all the family vacations when I was young, so now it's my payback time. We've taken my Grandma to Disney a few times b/c she would take us kids on vacation and now we can financially treat her.

Why not stop TAKING from your parents and start GIVING to them!??!

 

[mjkacmom]

You said a few weeks ago:






So you only have one child And she is 7 and in school all day What do you do during the day? If you flip burgers for 2 hours a day, you will have $200 a month and then some?

This is frustrating to read

I'm a SAHM (with no loans), and when my youngest are in school full time, I will definately be getting a job while they are in school, and I have 5 kids! Try subbing - same hours as your dd.

 

[tar heel]

I'm not holier than thou or on a high horse, I just don't get why getting a job seems to be the last option when you so obviously need more income. If adding $200 a month is a problem, what do you do when the car breaks, the hot water dies, etc.? Do you have a college fund for your little girl? If not, are you taking proper care of her by not at least working while she's at school?

I did contract work and part-time jobs around my children's schedules for 22 years. It was often a pain in the tail, but we needed the $. As they got older, I worked more. Two years ago, I went full-time. You know what? I hate it and would love to have my day off back, but we need the income.

 

[Missy1961]

I've noticed in threads like this that when an OP is in a financial struggle and they come to the DIS for advice with a trip planned in the future......somehow their parents are always paying for that trip or that big ticket item they were posting about a couple weeks ago.

But yet these family members NEVER help them out with paying important bills?

Several posters on these boards have claimed that they are so poor they can't even buy their children food. Yet, vacations to the Grand Floridian, Poly, cruises, etc. have been taken and are in future tickers They say a family member will be picking up the tab Why not help with the poverty issue instead?

I've noticed that too. That never happened in my family. When my sister was in law school & really needed a new car (her car was held together with spit & prayers), I lent her the money to put a down payment for a new car. And when she first got out of school, she needed some money to relocate. I lent her that money too. She didn't go on a major vacation for the first few years out of school, she paid me & the bank back first. Now she goes on wonderful vacations every year, and she earned every one!

OP, if you're a SAHM & you're worried about child care costs, why not baby sit other people's kids while yours is in school? And that money could go towards your loan payment.

 

[RitaE]

I'm not holier than thou or on a high horse, I just don't get why getting a job seems to be the last option when you so obviously need more income. If adding $200 a month is a problem, what do you do when the car breaks, the hot water dies, etc.? Do you have a college fund for your little girl? If not, are you taking proper care of her by not at least working while she's at school?

I did contract work and part-time jobs around my children's schedules for 22 years. It was often a pain in the tail, but we needed the $. As they got older, I worked more. Two years ago, I went full-time. You know what? I hate it and would love to have my day off back, but we need the income.

silly. Why have college funds. You just take out Student Loans, defer the heck out of them and then default! Genius of a financial plan.

 

[escape]

I guess I just suck since I took our loans at 18, w/o knowing much on paying them back.

Here's what you should know then if you don't pay them back....

The information was taken from Student Loans of North Dakota. Although this is from a North Dakota web site, I would suspect that most student loans have the same or very similar default clauses.

My quotes in blue.

DEFAULT occurs when you fail to make payments when due or meet other terms of your promissory note. Your loan becomes due and payable in full immediately. There are serious consequences when you default on your student loan:

Wage garnishment

You don't work so that shouldn't affect you now but will in the future when/if you do get a job.

Interception of state tax refund and/or any type of federal payments such as income tax refund, social security and disability benefits
As others have said, if you file jointly, this could affect your returns

up to 25% loan balance increase with added collection costs

Yikes!

Default status is reported to all national credit bureaus and will negatively affect your credit rating
Not only will this affect your ability to get a loan for a house, car or other (credit cards included) in the future, it can also affect your future employment. I've heard about people not being able to get the job they want due to poor credit ratings. This could affect your husband as well.

OP, I can't stress enough about how important a good credit rating is. A poor credit rating will come back to haunt you. You might have been "naive" when you took out the loans but you are not now. You can take control of the situation and prevent this from happening.

Loan turned over to independent collection agency

Be prepared to be hounded by phone calls.

Ineligible for further financial aid

Suspension of professional license

Lien against property, vehicles, saving and checking accounts, and other judgement actions

It could happen!

By the way, subbing is a great idea! Around here, you could sub for 3 days out of the month and have enough money to pay the loan and have some $ left over.

 

[stitchlilo]

I second that.

 

[aprilgail2]

Good grief people get off your high horse! I am so glad that there are so many perfect people on the DIS. I guess I just suck since I took our loans at 18, w/o knowing much on paying them back.

I was in college at 16- I took out loans at 16 and even at that age I was fully aware that they would have to be paid back- they were not a gift!