Have plenty in 529, but still taking out loans

[Anonymous]

Anonymous wrote:

Anonymous wrote:You are not allowed to pay back loans with 529 funds.

I would not take out a massive amount of loans in hopes of it being forgiven unless you are already extremely wealthy.

In addition, there is a 4.23% upfront fee for Fed Parent Plus undergrad loans.

And 1.059 origination fee for Stafford loan.

[Anonymous]

Parents who are paying cash currently should strongly consider applying for loans.

The FAFSA form must be submitted by 11:59 p.m. Central time (CT) on June 30, 2023. Any corrections or updates must be submitted by 11:59 p.m. CT on Sept. 10, 2023.

[Anonymous]

Anonymous wrote:Parents who are paying cash currently should strongly consider applying for loans.

The FAFSA form must be submitted by 11:59 p.m. Central time (CT) on June 30, 2023. Any corrections or updates must be submitted by 11:59 p.m. CT on Sept. 10, 2023.

And you can still submit for the 2021-22 school year! Here’s the deadline information:

The FAFSA form must be submitted by 11:59 p.m. Central time (CT) on June 30, 2023. Any corrections or updates must be submitted by 11:59 p.m. CT on Sept. 10, 2023.

[Anonymous]

Anonymous wrote:Parents who are paying cash currently should strongly consider applying for loans.

The FAFSA form must be submitted by 11:59 p.m. Central time (CT) on June 30, 2023. Any corrections or updates must be submitted by 11:59 p.m. CT on Sept. 10, 2023.

I would not recommending taking out amounts that require a co-signer (27k+). Massive can of worms there.

[Anonymous]

Anonymous wrote:

Anonymous wrote:We did the same thing. We have 300K for each kid saved but we are having them take out max student loans because of the democratic idiots running the country (sorry to offend any libs). For example, in a period of record unemployment and huge wage growth and massive inflation, we have a payment freeze on loans. LOL, how stupid is that- lets flood people with more money to buy things that supply chains cant provide.

As someone who put themselves through school with loans and jobs, I am just stunned at this wiping out of debt. Where was this when I was a recent grad? Oh yeah, back then, we paid back what we borrowed in good faith.

So yes, we are also on the student loan gravy train. We told our kids we would pay them off at graduation if they graduated with a 3.5 or higher (gives them a little motivation not to have too much fun) but you arent paying attention if you arent taking out loans that could well be forgiven and have zero payments or interest during the school years.

How do you demonstrate need to qualify for a federal student loan if you've got 4 years of tuition sitting in a 529?

Yes, this is what I want to know as well!

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:We did the same thing. We have 300K for each kid saved but we are having them take out max student loans because of the democratic idiots running the country (sorry to offend any libs). For example, in a period of record unemployment and huge wage growth and massive inflation, we have a payment freeze on loans. LOL, how stupid is that- lets flood people with more money to buy things that supply chains cant provide.

As someone who put themselves through school with loans and jobs, I am just stunned at this wiping out of debt. Where was this when I was a recent grad? Oh yeah, back then, we paid back what we borrowed in good faith.

So yes, we are also on the student loan gravy train. We told our kids we would pay them off at graduation if they graduated with a 3.5 or higher (gives them a little motivation not to have too much fun) but you arent paying attention if you arent taking out loans that could well be forgiven and have zero payments or interest during the school years.

How do you demonstrate need to qualify for a federal student loan if you've got 4 years of tuition sitting in a 529?

Yes, this is what I want to know as well!

You don’t need to qualify at all financially for federal stafford loans, assuming you’re at least a citizen or have a green card. All you have to do is fill out FAFSA.

You do need to qualify with fairly significant financial need if you want portions of the stafford loans to be subsidized (meaning no interest accrues until graduation). Interest is roughly 3% I believe for upcoming and current borrowers. I know it’s under 6%.

[Anonymous]

How does forgiving loans of current borrowers help kids that are currently in high school? Who is thinking about them?

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:You are not allowed to pay back loans with 529 funds.

I would not take out a massive amount of loans in hopes of it being forgiven unless you are already extremely wealthy.

In addition, there is a 4.23% upfront fee for Fed Parent Plus undergrad loans.

And 1.059 origination fee for Stafford loan.

And a possibility that it will be wiped away and/or interest free for several years.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:You are not allowed to pay back loans with 529 funds.

I would not take out a massive amount of loans in hopes of it being forgiven unless you are already extremely wealthy.

In addition, there is a 4.23% upfront fee for Fed Parent Plus undergrad loans.

And 1.059 origination fee for Stafford loan.

And a possibility that it will be wiped away and/or interest free for several years.

Again, risky possibilities.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:You are not allowed to pay back loans with 529 funds.

I would not take out a massive amount of loans in hopes of it being forgiven unless you are already extremely wealthy.

In addition, there is a 4.23% upfront fee for Fed Parent Plus undergrad loans.

And 1.059 origination fee for Stafford loan.

And a possibility that it will be wiped away and/or interest free for several years.

Stafford loans have been interest free since 25 months ago. Will they be for another 2 years? Doubtful.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:We saved heavily for our DDs college and have about $250K in the oldest and $210K in the youngest. We should have enough to pay full freight for any school they get into.

However, since it looks like student loan forgiveness is going to happen, I’m inclined to change our plan and have them take out at least some level of loans just in case the next Democratic president decides to do another loan forgiveness right before an election. It looks like the interest will be subsidized while they are school and we can use the 529 funds for grandchildren or even take it out and pay a penalty.

Is anyone else thinking this way?

You think you are a genius, but you are so sleazy.

Why the HELL should my tax dollars pay for your kid's tuition, when you have plenty of money to pay for it yourself?

Most people with college loans never even finished college. They have a slim chance of being able to repay AND secure their own financial footing.

People like you are sickening, and are likely the same ones who complain about government handouts.

I am 99% sure the bolded is complete and utter nonsense, but I'm willing to look at any support you might muster for it.

It is 39%, so not exactly "utter nonsense."

https://www.wral.com/fact-check-how-many-student-loan-borrowers-failed-to-finish-college/19524091/

But a larger question you should ask yourself is why you hold opinions when YOU have no data to back them up?

You are too stupid for words.

You made an (incorrect) assertion. When asked to provide support for it, you had to admit you were wrong, and then you try to take the offensive? Please. Just take the L.

Also, why does it matter if someone who took out loans finished college? If I buy a car on a loan and wreck it, I still owe on the loan.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:We saved heavily for our DDs college and have about $250K in the oldest and $210K in the youngest. We should have enough to pay full freight for any school they get into.

However, since it looks like student loan forgiveness is going to happen, I’m inclined to change our plan and have them take out at least some level of loans just in case the next Democratic president decides to do another loan forgiveness right before an election. It looks like the interest will be subsidized while they are school and we can use the 529 funds for grandchildren or even take it out and pay a penalty.

Is anyone else thinking this way?

You think you are a genius, but you are so sleazy.

Why the HELL should my tax dollars pay for your kid's tuition, when you have plenty of money to pay for it yourself?

Most people with college loans never even finished college. They have a slim chance of being able to repay AND secure their own financial footing.

People like you are sickening, and are likely the same ones who complain about government handouts.

I am 99% sure the bolded is complete and utter nonsense, but I'm willing to look at any support you might muster for it.

It is 39%, so not exactly "utter nonsense."

https://www.wral.com/fact-check-how-many-student-loan-borrowers-failed-to-finish-college/19524091/

But a larger question you should ask yourself is why you hold opinions when YOU have no data to back them up?

You are too stupid for words.

You made an (incorrect) assertion. When asked to provide support for it, you had to admit you were wrong, and then you try to take the offensive? Please. Just take the L.

Also, why does it matter if someone who took out loans finished college? If I buy a car on a loan and wreck it, I still owe on the loan.

A person who didn’t finish college has little means or opportunity to pay off the loan they took out.

You can declare bankruptcy on credit card debt or get your car relinquished.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:We saved heavily for our DDs college and have about $250K in the oldest and $210K in the youngest. We should have enough to pay full freight for any school they get into.

However, since it looks like student loan forgiveness is going to happen, I’m inclined to change our plan and have them take out at least some level of loans just in case the next Democratic president decides to do another loan forgiveness right before an election. It looks like the interest will be subsidized while they are school and we can use the 529 funds for grandchildren or even take it out and pay a penalty.

Is anyone else thinking this way?

You think you are a genius, but you are so sleazy.

Why the HELL should my tax dollars pay for your kid's tuition, when you have plenty of money to pay for it yourself?

Most people with college loans never even finished college. They have a slim chance of being able to repay AND secure their own financial footing.

People like you are sickening, and are likely the same ones who complain about government handouts.

I am 99% sure the bolded is complete and utter nonsense, but I'm willing to look at any support you might muster for it.

It is 39%, so not exactly "utter nonsense."

https://www.wral.com/fact-check-how-many-student-loan-borrowers-failed-to-finish-college/19524091/

But a larger question you should ask yourself is why you hold opinions when YOU have no data to back them up?

You are too stupid for words.

You made an (incorrect) assertion. When asked to provide support for it, you had to admit you were wrong, and then you try to take the offensive? Please. Just take the L.

Also, why does it matter if someone who took out loans finished college? If I buy a car on a loan and wreck it, I still owe on the loan.

You see, there’s this concept called car insurance that doesn’t exist for university degrees.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:We did the same thing. We have 300K for each kid saved but we are having them take out max student loans because of the democratic idiots running the country (sorry to offend any libs). For example, in a period of record unemployment and huge wage growth and massive inflation, we have a payment freeze on loans. LOL, how stupid is that- lets flood people with more money to buy things that supply chains cant provide.

As someone who put themselves through school with loans and jobs, I am just stunned at this wiping out of debt. Where was this when I was a recent grad? Oh yeah, back then, we paid back what we borrowed in good faith.

So yes, we are also on the student loan gravy train. We told our kids we would pay them off at graduation if they graduated with a 3.5 or higher (gives them a little motivation not to have too much fun) but you arent paying attention if you arent taking out loans that could well be forgiven and have zero payments or interest during the school years.

Hey. No need to be mean. I am a registered Democrat for lack of better choices. There are plenty of republicans who are also hoping for a loan forgiveness with that said, I agree that school loans should not be frozen now and wiped clean later, minus public service. I too am debating using school loans for DC first year of school versus parents funds. I would be financially stupid not to take advantage of a possible loan forgiveness for DC, instead of using my household income. The 529 can then be used for grad school because I cannot imagine the loan forgiveness extending beyond undergraduate loans.

Also, if PP has $600,000 (!!!) saved for college, I’m sure they “hate the libs.” That is rich.

It's actually 900,000 - I have 3 kids. I don't mean to preach here but I put myself through school as a business major and then worked really hard and invested. It's honestly not that hard to accumulate 1M for college over 20 years if you make reasonable financial choices.

[Anonymous]

OP is horribly selfish.