Have plenty in 529, but still taking out loans

[Anonymous]

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?

Learn a trade instead. Colleges are cesspools of elites anyway.

[Anonymous]

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?

If you were actually considering this, you would know that you don't qualify for subsidized Stafford loans, which are only available to borrowers with need. Unsubsidized loans are currently running at 3.73%, which isn't too terrible. Enjoy the loans.

That seems like a decent interest rate given inflation and the chance that the debt will be wiped out.

[Anonymous]

I’m not sure that I would not spend 529 money (unless multiple children and/or grad school) but it does make perfect sense to take out some level of loans given the current attitude towards student loan forgiveness in Washington.

[Anonymous]

Anonymous wrote:This is a really tone deaf post.

Come on. You know that every parent is wondering if loans are actually the way to go now.

[Anonymous]

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?

No one who needs a break can ever catch a break with gamers like you out there. I worked my ass off to graduate in the top of my class as well as on the job to have money to keep afloat as did my siblings. We paid back all our loans. We are people who needed help. You have enough to pay full freight and now you want to game the system and make it more expensive for kids and family who have to struggle to make it happen. LOTs of kids work in states making $7.25/hour, etc and you want to run up tuition because you've got the money to do it.

I don't care you who vote for - you're not better than those reaping corporate subsidies and paying zero taxes due to write offs - "only the little people pay for college."

[Anonymous]

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.

[Anonymous]

My kids both chose the state flagship even though they got into some elite privates because they didn’t want to be saddled with loans. If we knew about student loan forgiveness, they might have chosen differently.

[Anonymous]

Anonymous wrote:My kids both chose the state flagship even though they got into some elite privates because they didn’t want to be saddled with loans. If we knew about student loan forgiveness, they might have chosen differently.

Sounds like a choice anyway.

[Anonymous]

Anonymous wrote:

Anonymous wrote:My kids both chose the state flagship even though they got into some elite privates because they didn’t want to be saddled with loans. If we knew about student loan forgiveness, they might have chosen differently.

Sounds like a choice anyway.

Good choice.

[Anonymous]

We should get rid of corporate bankruptcies too.

[Anonymous]

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?

No one who needs a break can ever catch a break with gamers like you out there. I worked my ass off to graduate in the top of my class as well as on the job to have money to keep afloat as did my siblings. We paid back all our loans. We are people who needed help. You have enough to pay full freight and now you want to game the system and make it more expensive for kids and family who have to struggle to make it happen. LOTs of kids work in states making $7.25/hour, etc and you want to run up tuition because you've got the money to do it.

I don't care you who vote for - you're not better than those reaping corporate subsidies and paying zero taxes due to write offs - "only the little people pay for college."

Hmm, not sure I follow. Given our my families cost of every college is the sticker cost, who is driving up costs for whom? People who make money are not villains, and usually not stupid. If someone is advertising that they are wiping out debt indiscriminately, I suggest you get some of that zero-cost debt asap. How does my kid taking a loan vs taking money out of my bank account drive up your tuition. They are getting their outrageous fees either way. Fees driven by the willingness for others to borrow more they can afford and default.

[Anonymous]

Anonymous wrote:Seriously?!? My brother and I both struggled to pay for college and grad school. We both worked through both and took out loans which we paid off. We (with our spouses) have saved and our thrilled to be able to offer our kids the ability to go wherever they want (within reason). We both have parameters based on values (my kids are in school and my brother’s oldest is starting the application process). I find posts like this contemptible. Loan forgiveness is for people who really need it - not for people like op to game the system.

It’s a troll. Don’t take the bait.

[Anonymous]

I just read on VA 529 site that since 2019 $10K of a 529 account can be used to pay back loans.

[Anonymous]

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.

So much for "Compassionate Conservatism." I guess it's all about taking at the expense of others. This demonstrates so much that is wrong with the "winning" mentality of the Right.

[Anonymous]

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?