4 ms·
how is it misleading? most undergrads are considered dependent, which means they can only borrow $31k in total over 4 years. beyond that they would need to tap
by tempsy 3y ago
how is it misleading? most undergrads are considered dependent, which means they can only borrow $31k in total over 4 years. beyond that they would need to tap alternative sources.
- taeric 3y agoI'm interested in numbers backing up that claim? But, even with that, student debt is almost certainly including PLUS loans which, "The maximum PLUS loan amount you can receive is the cost of attendance (determined by the school) minus any other financial aid received." So... yeah, very misleading read of that page.
- dragonwriter 3y ago> how is it misleading? Because the limit cited only applies to students whose parents can get (federal, direct, and capped only by the school’s estimate of costs) PLUS loans, and yet is characteized as a limit of the impact of federal subsidies on school costs. A cap that only applies where another unlimited federal loan stream is available to the same student is, well, not a limit at all, when discussing federal impact on prices.
- shkkmo 3y agoThe cap when PLUS loans are not available is $57,500. The impact on prices is not just the direct, but the general understanding that private educational loans also could not be discharged in bankruptcy that was created by the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005. Courts have started to push back against that but there are only a handful of precedents.
- taeric 3y agoAnother misleading point, though? As you can then go on to get 138500 for graduate/professional school. I'm interested in how many students aren't able to have their family go in on PLUS loans. As that is still a gaping hole to relying on the page and limits linked.