Exposing the Student Loan Racket (Infographic)

Student loan debt, now at $830 billion, has surpassed credit card debt—a statement unheard of 20 years ago. Student loans, unlike any other form of debt, CANNOT be forgiven via bankruptcy—these loans MUST be repaid. Is this the next bubble to burst?

Exposing the Student Loan Racket in America

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  • Broke 99er

    I graduated from college with $26,000 in debt in 2005 with a major in business administration. Straight out of college, I got an analyst job at a mortgage lender in Orange County. Everything was great for a couple years, I paid down my loans to $18,000, but then the financial crisis came. I lost my job, I’ve long since been a 99er. I’m out of unemployment aid, I can’t find a job in this crappy economy. I’ve sold my car, living with my parents again. Even if I do get a job, the banks will be there to garnish my wages directly from my bank account. I support #OccupyWallStreet and the only hope I have left is for the government to forgive my student loans.

    • Mike

      So you want me to pay your loan!

      • Broke 99er

        No, I want the government to forgive my loan. Obama gave Wallstreet $800 billion in bailouts. Student loans are approximately $830 billion outstanding. Why is Obama so ready to give Wall Street a bailout but not give the voters any relief?? If he wants to be re-elected in 2012, he had better do something for the Citizens of America, rather than the Corporations.

      • Broke 99er

        No, I want the government to forgive my loan. Obama gave Wallstreet $800 billion in bailouts. Student loans are approximately $830 billion outstanding. Why is Obama so ready to give Wall Street a bailout but not give the voters any relief?? If he wants to be re-elected in 2012, he had better do something for the Citizens of America, rather than the Corporations.

      • Cwest020

        I don’t think you understand what the “Bailout” was… it was a loan. The govt. gave $400 billion for the TARP program (bailout) in 2008, currently $360 billion has been paid back, leaving only $42 billion outstanding. If you do not have any options, join the military. The Govt. accepts sweat equity instead of cash for repayment.

      • Goodrich4bk

        No, the “bailout” included direct and indirect subsidies, loans and outright transfers from the taxpayer and Federal Reserve that total over 3 trillion dollars. TARP was just the direct Treasury loans of 669 billion. Then there were the capital infusions (AIG) of about 160 billion. Then there was the 1.2 trillion of secret Fed loans (at below market rates) that we only discovered after Bloomberg won its Freedom of Information Act suit (see: http://www.bloomberg.com/news/2011-08-21/wall-street-aristocracy-got-1-2-trillion-in-fed-s-secret-loans.html). Finally, there are the multiples ongoing subsidies such as 1% interest paid on bank reserves (how does that compare with what you earn on your bank checking deposits?), suspension of mark-to-market accounting rules and, of course, the Bernanke Put (the Fed-created belief that the largest banks will not be allowed to fail).

      • Tbrown54

        I don’t think you understand bailout. You let me know when the $1.2Trillion in garbage MBS the taxpayers absorbed is unloaded from the Fed’s balance sheet. I have no desire to cover students loans, but please keep from spreading the lies that the socialization of Wall Streets risks is now paid off.

      • xleet

        Ya, right. Join the fucking military, which is an option for every unemployed. That way the lower classes can always go fight the wars for the rich — or to protect their assets in foreign lands, so that they can rape and pillage and become richer.

      • Bj

        The gov. could at least give him a 1-2% loan like they did the banks…. but instead he gets the 9% plus collection fees on top of that.

      • That’s BS. Why should the government FORGIVE your loan? You accrued it. You can get something if you try. Try being a functioning part of society instead of a leech and whiner.

      • Clayton Cramer

        Yes, but Wall Street (or rather, some favored Wall Street firms) matters to Obama and the Democrats. (Who do you think funded Obama’s 2008 campaign? Go to opensecrets.org, and you will discover that you and the rest of the kids who voted for Obama were actually backing the guy with more millionaire support.)

    • I had to go to Afghanistan for 6 months to pay off my student loans… I don’t recommend it.

      • Moses Folliville Is Retarded

        Who cares?! What are you trying to say anyways, retard?!

      • Lupita huerta

        moses folliville was just giving his opinion and replying to a comment that was made by cwest020 if you scroll up a little bit. calm down with the remarks you dont have to be rude just becuase you dont understand or agree with the comment

  • Guest

    WOW! That graphic was very well laid-out and not confusing at all!

    Thanks, Obama!

  • Guy

    how the F do you default on students loans in utah? there is only one private school in the state, and rent is like $400 / month.

  • Russ_murray

    The reason that education is so expensive is because of government subsidies in the form of student loans. There is no incentive for colleges to decrease costs because they can always rely on the customers (I mean students and parents) to get no-qualifying student loans for whatever amount is needed. If the free market (no government loans) were allowed to operate, you’d see a lot of these college institutions slash costs, merge, or go out of business.

    • Wait, explain to me how if the government got out of the student loan business, why colleges would suddenly decide to lower costs? to my understanding, Private banks might compete by lowering interest rates but thats them competing FOR STUDENT LOANS. If anything private banks would want the cost of tuition to GO UP so they make more money…IE students having to take out more and more loans.

      Just curious as to how you came to that conclusion.

      • ideas not beliefs

        The logic follows that the costs would go down because the govt isn’t taking away the risk on the loans for the private companies. Private companies are already fronting the money in loans, but they have no risk because the government pays the loan off with interest if the student defaults. If the private banks assumed risk they wouldn’t give out as many loans (less money to colleges) so colleges would cut costs because they would need to keep enrollments up to be able to justify the number of employees still.

        That’s a boil down.

      • Agreed, however the problem is keeping enrollment high while solving the problem of expensive college. In order for the costs to come down, there would have to be a long period of fewer and fewer enrollments at which point the economy and the worker would suffer. I mean we’re talking a decade of fewer and fewer enrollments not something that would happen overnight.

        America is crying for educated people its ONE of the reasons why H1B visas are given out like candy to immigrants.

        I really do get it, get the fricking government out of subsidizing debt for loan companies. However the other half of the coin is dealing with the supply and demand factor of our economy desperately needing educated workers. Why would we want to completely cut college enrollment during a recession?

      • Moses Folliville Is Retarded

        America is crying for smart people not schooled idiots, we have too many of those.

        Education NOT EQUAL TO Intelligence.

        Even retards like you are capable of getting a university degree, thus you are a great example that proves my case. People like you exist to serve in Afghanistan and Iraq.

      • Anonymous

        Oh, so now your knocking our troops…!!

        I dare to say they have a little more common sense than you cause common sense isn’t something you learn in school and common sense is all you need to start and run your own business(s)… I’m living proof my friend… School after high school only does one thing for most grads… It says you know how to learn…

        I on the other hand use my experiance to show not only that I know how to learn but that I know how to do the job already… Nothing beats experiance in most professions…!

        Thats a fact..!

      • Just asking for a TL;DR…

        I believe Russ_murray’s logic is as follows: If the government stopped guaranteeing student loans, banks would apply more stringent lending requirements because they now bear the full risk of non-payment. Basically, students will have to prove to banks that they are good candidates to repay loans, or they will not get the money.

        More stringent lending requirements leads to fewer loans, or at least loans in smaller amounts, and fewer/smaller loans leads to fewer students attending college at current prices. This decreased demand means that colleges will be forced to re-price the cost of a degree to more closely match what banks are willing to led at market levels (that is, what banks are willing to lend when they have to accurately assess the real-world repayment risk, absent federal guarantees that skew the risks). And, those with the least likelihood of repayment are likely not to get loans at all, further shrinking the universe of students and lowering demand for college seats.

        Ironically, these folks are probably the ones who “benefit” most from the federal loan guarantee programs. Then, they find out later that they owe money out of proportion to their repayment ability — money that no rational bank would have lent them in the first place. However, since there was no check on the banks’ willingness to lend them money (after all, it is guaranteed by the federal government, so where’s the risk?) they wind up responsible for more debt than the market would have allocated to them.

      • This is a very astute observation, you are right in that the fewer people going to college would mean colleges competing for students and overall cost going down. And who is not to say this was the case in the in the mid 1900s when Blue collar jobs could support a family, I’m sure many people opted out of going to college. HOWEVER I guess this begs the question.

        Is the cost of education due to banks and the government being able to lend extreme amounts of money without risk or oversight AND/OR Does the American workforce make it a necessary badge of a college degree to be in the middle class?
        How many jobs require a College degree now a days? Last time I checked Blue collar jobs that can support a family are pretty hard to come by.

        It is my opinion that IF we were to pull the government out RIGHT NOW of the student loan business, everything you described would come to pass AS well as riots and overall a catastrophic level of unemployment. Not to mention complete and total dissatisfaction with our economy.

        You can’t create an economy that demands a college education and then pull the rug our from under its future workers saying “sorry its too cost prohibitive.” I think in this case we’d be trading bad apples for bad apples in a sense.

        Maybe the reason why college is so expensive isn’t because of student loans but because its such an absolutely necessary part of being an American worker today. Colleges know people are willing to go hundreds of thousands of dollars in debt just to get a piece of the pie. Its not unlike a monopoly in a way.

      • Jorgxmckie

        The main reason for using the presence of a college degree in the hiring process is that current law basically doesn’t let businesses use IQ tests or other general ability tests to ‘sort’ their applicants [well, unless you don’t care about losing lawsuits]. Otherwise it wouldn’t matter in a great many jobs if you had a degree or not.

      • Moses Folliville Is Retarded

        +1 for “Otherwise it wouldn’t matter in a great many jobs if you had a degree or not.”. But Moses is incapable of understanding this fact. He’s too retarded to realize there is too much bullsh|t going on in the university business.

      • I agree with you to a point. If I’m applying for a job as a doctor, nurse or engineer and or any job to do with the sciences then I think you’d be wrong. there is practical and immediate need to be accredited amongst your peers. As far as Sales job or manual labor I think you’re right on the mark. Ultimately many Employers want to see if you’ve got an edge on your competition.(IE College) If an employer is interviewing 50 people for one job whats the easiest way to rule out people? Thats what college does. It says you’ve committed 4 years of your life to one subject. Or 2 if you’ve got an AA.

      • Mosesfollivilleisretarded

        I graduated with an engineering degree. And most of my time in university 90% was wasted on bullsh|t. You are too retarded to realize that universities are businesses, they have no incentive to make the system more efficient so long as the gov is funding their business.

      • Moses Folliville Is Retarded

        “If an employer is interviewing 50 people for one job whats the easiest way to rule out people? Thats what college does. It says you’ve committed 4 years of your life to one subject.”

        And government has to fund this because???

        You are too stupid for this discussion, go troll somewhere else.

      • Nick

        “Just asking” –

        Very concise and (In my opinion) accurate summary. I think many people would be surprised at how quickly tuition would drop if the fed either stopped guaranteeing student loans or else significantly tightened the requirements for obtaining them. Colleges would need to drop prices or face a major hit in both the quality and diversity of incoming classes. In an effort to stay competitiveness with peer institutions in these categories, schools would drop tuition or increase financial aid. They would also pare down administration and faculty.

      • Moses Folliville Is Retarded

        @Moses LOL. Universities could be made more efficient, because 90% of a customer’s (aka student’s) time in universities is wasted on crap. Those 4 years could easily be reduced to 1 without losing any quality.

      • Have some respect

        I don’t think someone is “retarded” because they have an opinion. I do think it is retarded to call someone a retard and a troll just because their opinion happens to differ from yours. I went to a liberal arts college and I will admit at the time I considered many of my non-major courses unnecessary. However looking back I am glad that I received a well rounded education. Different colleges have different requirements when it comes to your program. It is your job to pick the college that meets your needs. Many degrees take time to build on basic concepts and ideas and you work your way up to a more complete understanding of your subject. Depending on what you are studying this could be 1 year. Or it make take several degree levels and many years before you are considered accredited in your field. Sometimes what YOU CHOOSE to study is not transferred to the job you find afterward. That’s life. A job is not guaranteed from college. College is an opportunity to learn and government loans give many access to that opportunity, an opportunity they otherwise would not have. Tuition increases are outrageous, but that problem won’t be solved by cutting the time in school or cutting off fixed-interest government subsidized loans. The real problem is private loans, and an influx of students into college who are willing to pay and borrow any amount with the assumption that it would guarantee them a job at the end.

    • clyde

      Does the nation really need a small college like St Copious of the Plains in Fairfield Nebraska with its $60,000 tuition and new weighroom and NCAA Division 3 Basketball program that draws maybe 50 fans a game? Gold plated dormitories and 15 story Dudley Administration Building? Great value if you have the cash but isn’t the state college down the road more affordable?

  • We are in a middle of a deflation super cycle. The cost of college will be taken out too. It is terrible how the cost of college was allowed to reach these levels. The govt should only offer Financial aid to “affordable” colleges. It is time for competition for federal aid. Only colleges that are affordable and get job placement can get FA for its students. Check out http://www.theamazingreset.blogspot.com for some other ideas on this

  • Edububble

    Thanks for the great work. I left a link at http://www.edububble.com

  • ideas not beliefs

    Cwest–First of all, the rhetoric that the government got “paid back” the TARP money is a slight of hand. A lot of what they are saying they got paid back with were the “toxic assets” notes that have no real value…hence the Troubled Assets Relief Program’s name. You really believe the government is telling you the truth about getting paid back. Don’t be naive…do some research for yourself. Also, TARP was small potatoes compared the to open window at the FED RESERVE that has funneled tens of trillions of tax payer dollars (made out of thin air) into the half dozen BIG banks that have seats on the FED’s board of governors and own the majority of shares of FED Reserve stock. They got the money at basically no interest and their crony friends in government allow them to loan that out the stiffs in this country at 10, 20, 30% interest. That’s where they got the remainder that appears to be “cash” paid back in the TARP program you so laud. But I guess you and Mike below love being conned, love to be duped, and love to be suckers as long as you can pretend you are somehow better off than your neighbor whose job left the country. Sick.

    Mike–You are already paying his loan since it is in default because he can’t get a job thanks to the de-industrialization of America. What’s the old saying, “when your neighbor can’t find a job its a tragedy, when you can’t find a job it’s a depression”? Something like that…I’m paraphrasing but you get the drift.

    Neither of you seem to have a problem with the “bailouts” because you want to believe someone in the government is looking out for your interests. Grow up. It’s funny, on the controlled left you have folks who think anything government is good and on the controlled right you have folks thinking every corporation is all good. How simplistic. You are being played by the media and the politicians and the corporate collectivists who use government to secure and fund their monopolies. It’s corporatism…which was Mussolini’s definition for fascism. They don’t wear jack-boots anymore…they wear suits because that is the camouflage of the corporatists in government and the fortune 100. They have no interest in free markets or competition and the use the monopoly on violence the government they control to make sure their isn’t any.

    Here’s a short term solution that would be a good start. First of all, you have two options in a national economy in a debt crisis. 1) go the way of Japan and just keep monetizing the debt over and over again and have no growth…ever…and lose your economic (and soon political) sovereignty as a nation in the process to trans-national banks that used fraud to create debt the politicians they own then sign their taxpayers to bail them out. If you are TO BIG TO FAIL…your are the government and a competitive market no longer exists. The better option is to throw all the fraudulent debt (look up Timberwolf and Goldman Sachs if you want an example) and unworkable debt into a nationalized bank (nationalize the Fed Reserve and put it there) and then let it default and go bankrupt. You have short term misery (probably 5 to 10 years), but you can actually rebuild industries (since you lost your borrowing ability) and start to see real growth and wealth creation. If we don’t produce more than we import (which is the case to about 1.5 trill a year now in the US) you can never get out of debt and the holders of that debt determine your future as a country.
    So you build a coalition by starting with the underwater mortgages many in the older generation find themselves in and say, hey, the government in collusion with the investment banks (JPM, Sachs, Wells Fargo, BOA, etc.) inflated the housing costs and forced you into paying a non-market price to have a house where you live/work. If you bought at say 400,000, and it’s worth 250,000 now, you owe 250,000 and the bbanks holding the fraud they created go bankrupt. Secondly, if you were told as an 18 to 20something that you need to borrow all this money to get a job those same interests in government and the mega banks sent overseas, you were lied to (fraud…and higher ed is a fraudulent ponzi scheme now…I work in it and can go into great detail on the specifics) and if we hope to stimulate an economy we have to have young people buying houses and cars and such to get the economy going. They can’t because of the student loan debt they amassed while at the bottom of the pyramid that is now crumbling.

    Once people see the benefits of these minor default techniques (like Norway used, Mexico used, etc.), they will realize a restart on the debt cycle and a currency bakced by SOMETHING is needed.

    Keep up the faith Broke 99er. Don’t believe the Soros or Buffetts any more than you believe the Kochs or the Murdochs. They are playing you all for a bunch of fools and unfortunately, the Mikes and Cwests of the world are too dim too ever figure it out. But they are also too lazy to pose much challenge to the rest of us who see where the world is heading:-)

    • Guestlove

      All it takes is a 30 second look at the CBO tranche reports and you’ll see that for the most part, you are incorrect.

      • ideas not beliefs

        enlighten me then…are you meaning the Congressional Budget Office’s reports on CDOs? How does this prove anything wrong?

      • ideas not beliefs

        And incorrect about what? You claim you can prove my entire post incorrect from a 30 second glimpse at one report. Ever heard of a fallacious argument?

    • Yowza

      First of all, it’s sleight of hand. Secondly, “tens of trillions of taxpayor dollars (made out of thin air)” is a contradiction. It’s either tax revenue or fiat money, not both. You pretty much lost me after that.

    • Agreed, a situation where the holders of the debt can influence the government/policy is not a good situation to be in. I think I was most shocked when I found out that the FED was privately owned… That’s a nice permanent gig. NOT. And who says we’re all equal as Americans!?

    • Cwest020

      Ideas not Beliefs:

      Please re-read my comment, and then re-read your reply… The tangent you took makes zero sense. Where can you buy federal reserve shares? If you could buy shares of an organization that has the ability to print money (literally), the returns on that stock would be amazing, let me know how to get some! My belief was that Broke99er should have to pay back any contractual obligations he signed, and if he cant find a job, the military is hiring. I agree and know that the system is broken and needs to be corrected.

      Capital markets are a zero sum game, someone will take the loss. Lets break down your better solution. Since we are in a economic downturn its not that bad of a solution for the fed to print money, buy up all of the toxic student loans and then let them default. Now this is quite an original idea you have, oh wait the fed has been doing this with mortgage back securities for the past 2 years. Who loses? Government gets paid, students don’t have anymore debt…well this causes inflation and devalues the USD. Who cares if the USD falls because we get paid in USD and spend in USD so it doesn’t matter for us right?? Well you are right for the 99ers, but every other country who operates with a different currency will lose value in their US assets. and this is already occurring, check out the USD/CAD or USD/AUD.. so now other countries are still paying for our mortgages/ student loan/ and whatever other debts get monetized. Not only does the USD drop but the creation of more USD spurs inflation, commodities increase, food increases, gas increases, INTEREST RATES increase then main street pays more.. again. Then the un-informed who defaulted on their student loans with a credit score of 400 start to pay for their inflated expenses on their credit card with 25% interest rates.

      I believe the FED will have to monetize Student loan debt some time in the future but its not going to be pretty. The financial industry needs a bit more regulation, and consumers need to be a bit more educated about the decisions they make.

      Remember, in every contract signed, deal, or agreement, some one is doing the pissing, and someone is getting pissed on… I prefer to do the pissing.

      Note: Ideas not Beliefs, i did not post any personal stabs at you so if you reply lets be grown ups

  • Sohodon2000

    I’m caught in this crucible and the weight of the my student loans are my biggest financial obstacle. I’ve basically been given a choice between paying rent and feeding my family or paying my loans. Even is I paid the amount my loan holder is asking, I’d never reduce my principle. This is a great illustration of the scam. Thanks for the work that went into it.

  • ideas not beliefs

    You’re right Russ. Higher Ed is using the Enron financing model (they stole from Hollywood:-) where you take income as profit for the year and put the debt on long term loans. It looks like you are doing good for a while but the scheme implodes eventually. What might make higher ed more unethical even is that those loans are tied to the backs of the young people trusting advise of so called experts who push the ponzi through faculty, administrators, and the general elder public at large.
    College in general is a horrible investment right now. You might as well be without a job and have no loans that without a job and 10s of thousands of dollars in loans. Public (K-12) education is in a similar situation where government props up a failed system with your real estate taxes and thereby kills competition in education. It’s a race to the bottom.

  • Great graphic. This article was brought to my attention via the infographic creator via a note on my blog. My article “Defaults on college & university student loans: The next US economic bubble to burst?” can be found here: http://wp.me/p1Ph5u-ah

  • Cynthiadwarner

    Resources for victims at http://www.studentloanjustice.org

  • While this is an awful system that puts borrowers in a potentially perpetually awful state, where does the “next bubble to burst” come into play here? How can a system like this abruptly collapse and “pop”? Since borrowers cannot discharge loans, lenders and the government are never really on the hook.

    In the mortgage crisis, delinquent borrowers were able to discharge mortgages through bankruptcy, leaving banks with the task of repossessing and reselling homes. The glut of homes on the market caused housing prices to collapse, which encouraged more delinquencies and bankruptcies as borrowers walked away from mortgages which were worth more than the homes themselves, eventually leading to a collapse of derivatives and financial institutions themselves, the stock markets and the popping of the real estate bubble.

    Here however, since student loans essentially will be paid in full eventually barring disability or an early death thanks to wage garnishments, there doesn’t seem to be a way of puncturing the bubble. Unless a substantial number of delinquent individuals remain chronically unemployed for years it would seem that student loan institutions or the government have little risk of suddenly collapsing or losing large sums of money that would characterize a bubble popping. Is it perhaps better to call the situation a blight rather than a bubble?

  • Common Sense

    And what if these over-debted kids grow up to buy annuities?

  • Yowza

    Government backed student loans ought to go to people only after they have completed two years of college. Default rates would plummet, and it would provide a bit of a brake against tuition inflation. Then I’d cap annual loans to 5K/year for undergrad and 10K/year for post graduate students.

    Another factor driving tuition up is foreign students with the means to pay full fare. It is market economics at work, but comes at a cost to low and middle income american students.

  • Anonymous

    In a generation, university education have become unreachable without going into dept. In another generation, university education will be unreachable, period.

  • Law Prof

    High educational costs at 4-year Universities are caused by 1 thing, and 1 thing only: Administrative Bloat. If my University fired all the new VP’s hired since 1999, the faculty (those who produce our product) could get a deserved raise and the students could pay less. Everybody wins except those with the power.

    FWIW, our faculty have LOST spending power every year of my career despite nominal (generous in the Board’s view) raises. Faculty do it for love, not money.

  • Mark Kantrowitz

    The math in this infographic does not add up. First, federal unsubsidized Stafford loans are at 6.8% interest, not 8.8%, with a standard repayment term of 10 years. But let’s assume $20,000 in debt at 8.8% interest with a 12 year term. The monthly payments would then be $225, not $293, and the total interest paid over the life of the loan is $12,452, not $23,376. Also, collection charges on federal loans are deducted from each payment, not added to the loan balance, with no separate commission to the private collection agency. (The only exception for federal loans is when a defaulted loan is rehabilitated through consolidation, which adds collection charges of up to 18.5% to the loan balance. On the other hand, some private loans do add collection charges to the loan balance.)

  • Anonymous

    This is Great. One graphic that spells it all out. But they forgot one thing.
    After you default, the predatory parasites come after you like a pack of hungry mosquitoes. And they never stop. The only way to get away from them is to live off the grid or underground so to say. In other words as a 3rd class citizen in your own country.
    Shame on America for allowing this to happen.

  • Jay Em

    I do not have a degree and have an engineering job. I did several night courses while employed and paid them off myself, or the employer helped pay for some of them and hence never had a college loan. I get paid an above average pay in my field of engineering. College degrees are not always needed to get ahead.

  • martin2040

    Fundamentally the issue is that we don’t have any industrial jobs in this country because of globalization, and so the demand for higher education goes way up because students believe that the only decent job they are going to get is with a degree. Getting the government out of education isn’t going to be the final step in all of this. We have to encourage businesses to invest in manufacturing and industrial jobs here in the U.S. again so that no one feels forced to go to college at gun point in fear of not getting a good job without a degree. Not only that, but then the people that should actually be going to college because they love to learn and have a strong passion won’t have the value of their degree diminished to nothing because everyone else has one too. At that point, if universities want to continue to exist, they will have to lower their costs, because the demand for traditional higher education will decrease due to the increase in decent manufacturing and industrial jobs.

  • =D

    Anyone sensible can follow a few guidelines. Don’t go to for profit colleges. Go to a state school. Get your associates from a JC. Finish your degree at a 4 year.

    Tuition at JC = MAYBE $1500 / yr
    Tuition at PUBLIC 4 year = 13k / yr

    2(JC) + 2(4yr) = 3000 + 26k = 29k

    I’m a second year at a University of California campus. I believe California has some of the highest tuitions. But even 29k is manageable. I work around 15 hours a week and take home over $800 before taxes a month. In one school year (without summers,) I make about 8k.

    So 4yrs x 8k = 32k.

    I can basically pay my tuition with my part time job.

    Oh yeah, and I’m an electrical engineering major, so this shit isn’t easy either. This year i’m taking 20 units a quarter, every quarter, work my job, getting my shit done with the OSO at the marine corps office, and still have time to get wasted 2-3 days a week.

    And once you graduate, money comes flowing in. I know for an ABET-accredited engineer with a marketable degree (electrical, mechanical, etc.) with a decent GPA (3.0+), he/she will get MULTIPLE job offers before graduation.

    But too many people today think college is for fun. No, it’s for being able to market yourself better. I dislike people who follow the “do what you want to study in college. etc,” because I know I dont need a college to teach me anything. I dont even go to lectures. That’s what books are for. I’m only going to college because a technical field like engineering definitely requires a B.S.

    • So you can live off of $3,000 for four years? Impressive.

  • Bring back sanity!

    When you have the federal reserve imposing interest rates so to enact inflationary policies, there will be distortions in the market in the form of misallocated resources, malinvestments and pseudo consumer demand for products and services which would not have otherwise been there if these policies were not started. Free market capitalism has RISK embedded in it to keep investors and entrepreneurs always on the lookout for anything that might happen in the future. When you inflate a currency, those same investors now become uncertain about the markets and the resulting regulations and policies the government will enact to so call fix the problem prolong the recession as wages and prices are being artificially set and bankrupt companies are bailed out. When the government guarantees loans, be it housing, student, or any other form of loan..the risk factor is taken out of the equation and the banks start loaning to whomever possible knowing full well they will get bailed out when they go bankrupt as it is all guaranteed by the same taxpayers that get ripped off with higher prices through that same pseudo demand that comes from artificially low interest rates from the federal reserve. This game of inflation, taxation and to big to fail will only result in impoverishing the citizens as they get into more debt, have to pay higher prices from the resulting inflation and small businesses shut down from the drastic decrease in sales making it all worthwhile for corporations to destroy competition and turn into monopolies. Keynesian economics has destroyed the manufacturing sector and productive jobs in the US. Austrian economists like Mises and Hayek have predicted the bankruptcy of the country if it embarks in deficit spending and a debt based economy. Wall street is the symptom of the problem, the real cause is the federal reserve bank and FIAT money. We need free market capitalism, not corporate welfare, subsidies, lobbying, tariffs, sanctions, and a paper money not backed with anything of real value in the hands of a private institution. Stop inflationary policies and bring sanity back to USA. There is one candidate running for president that has warned for the last 30 years of the policies of the federal reserve and predicted the housing bubble in 2003. Ron Paul, look him up! The only person running with any real clue about the solutions to the economic problems and also foreign policy which is in direct relation to the runaway spending in congress.

  • RonPaul!

    Ron Paul!

  • Fix the IMAGE!!!!!!!

  • Charles Mangerian

    Could some kind soul repost the graphic or provide a link?

  • Lboney

    When are you going to correct the technical problem with this infographic? It’s inaccesible now

  • broke student

    wasn’t obama supposed to forgive my student debt?

  • Mr Carlos Hunter


    Dear Loan Seekers i am Mr Carlos Hunter from United State of America (USA) i have been searching for a loan for more than 2years and all lenders i have get in touch with have rip me off more than $3,500.00, i thought there is no way i can get a loan online not on till the day a friend of mine called James Butler direct me to a legit and genuine loan lender called Dr. Powell Garcia who lend me a loan of $150,000.00, am a happy man today and i promise my self that i will keep posting online about the good thing that Dr. Powell Garcia has done in my life and the life of my family if you need a loan contact them today (dr.powellgarcialoans@gmail.com) may the good lord bless Dr. Powell Garcia and his company i pray God give them the spirit to continue with their generosity, thank you very much for taking your time to ready my story

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  • Mr Carlos Hunter


    Dear Loan Seekers i am Mr Carlos Hunter from United State of America (USA) i have been searching for a loan for more than 2years and all lenders i have get in touch with have rip me off more than $3,500.00, i thought there is no way i can get a loan online not on till the day a friend of mine called James Butler direct me to a legit and genuine loan lender called Dr. Powell Garcia who lend me a loan of $150,000.00, am a happy man today and i promise my self that i will keep posting online about the good thing that Dr. Powell Garcia has done in my life and the life of my family if you need a loan contact them today (dr.powellgarcialoans@gmail.com) may the good lord bless Dr. Powell Garcia and his company i pray God give them the spirit to continue with their generosity, thank you very much for taking your time to ready my story

  • kadir mr kadir

    Dear Sir/Madam
    I am Mr kadir Are you a business man or woman? Are you in any financial stress or do you need funds to start up your own business? Do you need a loan or for any reason funding such as, a) Personal Loan, Business Expansion.b) Business Start-up and Education.c) Debt Consolidation.? I can help you with the urgent loan you need.contact us at globalserviceloana@gmail.com

  • Angelita Taylor

    God i thank you for sending this reliable loan lender to me this year 2018 to change my business and life financially. Its a good year for me already and not as worst as 2016 and 2017 that the two loan lenders i came across were scammers and liars.

    First I want to start with thanksgiving to God who made it possible for me to know Dr Derek Barlow the CEO of Barlow loans worldwide. After been scammed severally by two fake online loan lenders. Me coming across a loan firm as this really open doors for my business and financial need that has been broken for 2 years now. Dr Derek is a God sent to the world when it comes to help and granting loans to all around the continent and not just me alone. Oh no wonder serious and reliable business men and women and all around the world is talking positively about you sir and your reliable work. Again am happy that my past experience in the hands of those fraudsters that scammed me out of my hard earned money twice online did not make me give up and turn your offer to help me down when you were willing to help. Hey people i have gotten myself my dream loan to establish my own company and be financially stable as all this was done by Barlow loans. After going through tears in the hands of those online fraudsters, I knew i still have hopes of meeting a real and straight forward loan lender someday which really came to pass on the 11th of this month. Barlow loans worldwide made me to really confirm the part of the holy bible that says out of twelve there must really be a Judah. Kudos to the board of directors of Barlow loans that really granted me my dream loan of $155000 CAD. Hey people on earth, I dont really know who i am trying to help with this post that need loan not to contact the wrong loan firm or person, But what i know is that i have contributed my own part to your financial success by coming openly online to tell everyone on earth that if you need a loan, Kindly be of good to yourself to contact only Barlow loans worldwide as they grant loans to anybody no matter your tribe, religion, color and culture. Praise God that Barlow loans could help me financially with there reliable loan lending services. The board of directors of Barlow loans, i dont really know how to say thank you as i felt this my post will be one of what i can use to tell you thank you and also direct those that need loan to contact you and not to disturb you to avoid them contacting the wrong and fake loan lenders just the way i did before i came in contact with you sir. Reach out to them on there company email address which is /// derekbarlowloans@yahoo.com . Mind you that is to contact him for loan that there are procedures that has to be taken to get your loan and if you dont meet with them there is no how you can be granted a loan at Barlow loans worldwide as they are know for reliability.