Debt and the college student

[Betty Harlan]

College students should be very careful about not borrowing too much
money. Susie Orman, a financial expert, says that college loan money
is "good debt" because that is the student's investment in their
future. However, if a student borrows more than they really MUST
have, this part of their student loas is "bad" debt. On top of
student loans, many credit card companies advertise to college
students, and make it too easy for them to get several credit cards.
Then, when the student graduates, they find that they have a mountain
of debt to ay.
With the unemployment situation in America, college students
cannot always find a job - and if they do, they may not make the "big
bucks" they had expected to make. They find that paying for an
apartment, food, clothes, etc. takes a big bite out of their pay, and
often, after paying student loans and credit card debt....they have a
really hard time making ends meet.
Many students "mortgaging" their futures - thinking that they
will have plenty of money when they get out of college.

[annezie]

That is really good advice. I think I remember hearing this week from
another money guru on TV, I believe it was Clark Howard, about this
subject. He says to make sure that students only borrow what they can
make in a year in their new job. That way, the loan will be paid back
pretty quickly and they will not get over their head in debt.