TvS

Thank you for the help. I used the calculator and came to the conclusion that if I would make use of this whole loan forgiveness thing under the old plan, there would not be much of a difference in the net amount of money I would lose were I to go to expensive Columbia instead of Indiana, even though Columbia would cost me at least twice as much. Can this be right? Also, is a position as a public university professor considered to be public service?

I am about to enroll into grad school. I got accepted by Columbia and Bloomington, Indiana, but I am really worried about student loan debt I will retain after I graduate. However, the new law states that I will only have to pay a maximum of 10% of my income towards that loan once I have graduated, and, if I enter public service, the loan will be forgiven completely after 10 years of payment, 20 years if not in public service. This sounds too good to be true. Indeed, the law won't go into effect until 2014, so I am wondering if it will still apply to me, since I am expecting to receive my PhD in 2014 at the earliest. So I will be taking out the government loans prior to the law going into effect, making me wonder if I can still pay off that loan in the manner stated in the new law, or if I have to pay it all off the old way. Will I benefit from this or not? I cannot find any real information on those specifics anywhere online. If anybody knows, I would appreciate the clarification.

Thank you for your help. Indiana would probably be the better choice then. Indiana also offered me a deferral of 1-2 years, meaning that I could join their programme one year later. If I already am going the cheaper route, why shouldn't I make it even cheaper by working in Indiana for one year and becoming a state resident. I read that I can not become a state resident if my sole purpose for residing in Indiana is education, so if I work and don't go to school for a year, it should be fine, right?. I don't know much about those state residency requirements, but this is just a thought that popped into my head because it would save me 70% of my tuition, making it well worth a one year wait.

I got admitted to two excellent MA programmes in East Asian Studies at both Columbia and Indian Bloomington. However, none offered any financial assistance (but Indiana did put me on a wait list for financial assistance, although I doubt I will get any). Columbia, obviously, is much more expensive than Indiana but also more prestigious and actually was my number one choice. I just don't know if it's really worth it in the long run if I choose Columbia because there is no guarantee that I will get financial assistance in my second year. Also, I am planning on pursuing a PhD afterwards, which will only add to the costs, and, since I am planning on becoming a professor eventually, I know I won't be making hundreds of thousands per year to pay off my debt. I am torn though, and I find it difficult to let go of my first choice . . . I mean, afterall, it's freakin' Columbia!