- This topic has 12 replies, 4 voices, and was last updated 9 years, 11 months ago by Anonymous.
- May 5, 2011 at 10:59 pm #206460AnonymousInactive
I am a graduate student now with over 120K in student loan debt. Including private and federal loans. I’m really concerned about how I am going to pay it all back. I justified it all by saying that I am in a graduate program (currently in my first year of a 5 year PhD program in industrial-organizational psychology at another very pricey school) that will yield a high paying job. Though now I hate my graduate program and what I am studying. How can I manage this massive student loan debt??
- May 6, 2011 at 2:42 am #259204AnonymousInactive
I’d suggest you get out of your PhD program and find a job who’ll pay for your further education. Also, this job should pay for your 120K loan debt, possibly consolidate the loan by going to different banks or with the company you already have the loan with. Wish you the best though! Good luck.
- May 6, 2011 at 5:49 am #259852AnonymousInactive
You are at 120K and just starting grad school? I would guess that you are looking at about another 50K per year for the next five years.?. So you are looking at about 350K when you get done. So if your average interest rate is 6% and you are being given 20yrs to pay your debt your payment is going to be about $2,310 per month. Another thing that you need to consider is that most jobs that are very high salaried have a few years internship. (Lets say 3 years) So you are looking at not making the “BIG BUCKS” for at least 8 years(if you look at the hours that you will have to put in as an inter and the amount you will be paid I would guess that you could do better working in a call center. You may work 80 hour weeks and make 55K per year = $13.22 per hour). By that time you need to understand that your loan totals could be close to 500K(at 6% add $1,458 per month in interest to the 350K). You have a 95% chance that you will end up making about $100,000 per year or less. You will have to live very lean for a short while
To answer your question I would say this: live like a student until you can pay off your student loans. What I mean by living like a student is 1.rent the smallest place that you can fit into. 2. Buy a used car take care of it and drive it until it dies. 4.Buy only necessary clothing and see if you can find them second hand. ETC…..
Mind you I am talking about trying to live on 15K to 20K per year (depending on where you live) when you are making $80,000 to $100,000 per year.
Right now make sure that you are not trying to look like what you are going to be. Live where you are at. You are a student don’t try to drive a BMW. Live as thread bare as you can. Don’t live cheap(cheap is expensive because you will constantly be replacing) but live on as little as you can.
As far as hating where you are I cannot answer that for you. It may take switching schools
- June 10, 2011 at 3:43 am #433887AnonymousInactive
Check with all the rental agencies – you would be surprised at the difference in rates for cars at the same locations. They even run special upgrades on the web pages or some credit cards get you a better deal. Otherwise, just be adorable when you arrive at the counter.
- June 10, 2011 at 3:43 am #433888AnonymousInactive
Lots of research beforehand. The lease cost is purchase price minus the residual (return) price divided by the number of months of the lease (plus tax and stuff). Remember the purchase price is always negotiable, even in a lease.
- June 10, 2011 at 3:43 am #433889AnonymousInactive
check the newspaper…
no I don’t know but good luck..
- June 10, 2011 at 3:43 am #433890AnonymousInactive
I personally wouldn’t ever lease a car because you still have to make a down payment and monthly payments and at the end of the lease you give the car back! Why not buy a car instead and make your payments apply towards something so that you actually get to keep what you’re paying for every month!?!
- June 10, 2011 at 3:43 am #433891AnonymousInactive
I agree with Answer Girl. For the price that many people pay to lease a car you could buy a used (or new small) car and you get to keep it!
- June 10, 2011 at 3:43 am #433892AnonymousInactive
Never lease a car. You will be throwing your money away. If you can’t afford loan payments, then go used.
If you can’t afford to buy a car outright, then you have been mismanaging your money. If you took $ 385.00/mo. (Ave car payment) and put it into a mutual Fund, in 20 years, you’d have 4.3 Million dollars. or you can impress your friends and neighbors and lease a new car every four years, and eat dog food when you retire…
- June 10, 2011 at 3:43 am #433893AnonymousInactive
I sold cars for Nissan for sometime. Do your homework on why you want to lease vs. own? Leasing for business use and low mile driving is OK. High mile driving better off buying and trading in in 12-24 months. Negotiating tips – make sure the car you want is the one right for you, color, size, terms, price, use… I would turn down first two or three offers. Unless the price is correct all along. Remember some cars ie. Saturn are not negotiable. The price is the price.
- June 10, 2011 at 3:43 am #433894AnonymousInactive
Leasing can be good for some people but not everyone. You can negotiate the price on a lease the same as if you were buying. Make sure you know the mileage limits that they are allowing you going in. Example 12,000 miles yr equals 36,000 total for a 36 month term any thing over 36,000 miles you will be charged as much as 0.15 to 0.20 cents a mile, this could add up if you drive a lot. If you are using the car for business you can buy miles up front and roll it into the payment which you might be able to deduct, ask your accountant Make sure you find vehicles with high residuals this will also help keep the payment down. Make sure you look at a Ford Red Carpet Option or GMAC Smart Buy with these two you have options at the end of your term. Just work your best deal like if you were going to buy the tell the dealer you want to look at a lease and make sure they don’t raise the price on you.
- June 10, 2011 at 3:47 am #433895AnonymousInactive
go to your bank and get a quote first, you will be suprised at the difference
- June 10, 2011 at 4:30 am #433896AnonymousInactive
here is a way to get some cheaper lease options
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