My only choice is loans?

[erinl]

Hi, everyone...

I was recently accepted to USC's Master of Social Work program. Though I'm excited, I'm more disheartened by the price tag than anything: over $41k per year...for social work! I firmly believe the education is worth it, but the number is daunting, to say the least. I called the fin. aid director yesterday and asked exactly what financial aid packages could be offered to me...and he basically said no fellowships/assistantships could be offered, and directed me straight to a list of loans I'd be taking out to fund my education. Scholarships are available, but the dollar amount of each is relatively small and I'd have to apply like crazy for them. Can anyone dispute this information? Is it typical to go into so much debt for a Master's degree, and is it also typical to be offered no upfront funding? I have no problem with applying for a bunch of scholarships if it means bringing that price tag down - I suppose I'm just wondering if this is too outrageous to even consider, because being $82k in debt after two years sounds more than a little frightening. I'd really appreciate any advice on bringing that number down!

[chaospaladin]

Hi, everyone...

I was recently accepted to USC's Master of Social Work program. Though I'm excited, I'm more disheartened by the price tag than anything: over $41k per year...for social work! I firmly believe the education is worth it, but the number is daunting, to say the least. I called the fin. aid director yesterday and asked exactly what financial aid packages could be offered to me...and he basically said no fellowships/assistantships could be offered, and directed me straight to a list of loans I'd be taking out to fund my education. Scholarships are available, but the dollar amount of each is relatively small and I'd have to apply like crazy for them. Can anyone dispute this information? Is it typical to go into so much debt for a Master's degree, and is it also typical to be offered no upfront funding? I have no problem with applying for a bunch of scholarships if it means bringing that price tag down - I suppose I'm just wondering if this is too outrageous to even consider, because being $82k in debt after two years sounds more than a little frightening. I'd really appreciate any advice on bringing that number down!

Apply to external fellowships to see if you would get any.

[communications13]

From my research most Master's Students are unfunded and unfortunately the most common way to foot the bill is loans. If you are going into a medical or service field sometimes there are loan forgiveness programs by the government for high need jobs. I do not know if yours is one of them, but it might be something to snoop around and see if it is. You may be able to secure funding in another division of the university, for instance working with ResLife or another student affairs office, the Library may have assistantships available or the admissions office, however, at this writing you may be a bit late in applying for these positions. The first round of master's I applied to I went through the same horror, realizing I'd quickly be 60k in debt in a job with a pitance to pay back the loans so I took a year off of my school journey got a job, saved up money and established residency in the area I wanted to live. This of course is not an option for everyone, but is my little story. I hope you are able to figure it out, money is surely one of the hard parts.

[michpc]

I don't have much advice to give, as I'm in a similar situation. I am seriously contemplating Penn. Though I did receive a very small scholarship and close to the max work study, I would have to fund most of it through fed and private loans, at least the first year. However, I have admin experience, so I would possibly at least be able to cover Philly's relatively low living expenses that way. My field isn't exactly super high paying either, but I'm contemplating whether the quality of the program, and the connections that PennDesign will get me during and after my time there might be worth it.

A question for others...do you know if you can simply prequalify for a bunch of private loans? Being almost 5 years out of undergrad, I have quite good credit (was able to qualify for a 0% car loan, though I ended up buying a less expensive car for cash), so I'm thinking I would be able to get competitive rates, but I obviously want to look at all possible options (or at least as many as possible).

[Golden Monkey]

I don't have much advice to give, as I'm in a similar situation. I am seriously contemplating Penn. Though I did receive a very small scholarship and close to the max work study, I would have to fund most of it through fed and private loans, at least the first year. However, I have admin experience, so I would possibly at least be able to cover Philly's relatively low living expenses that way. My field isn't exactly super high paying either, but I'm contemplating whether the quality of the program, and the connections that PennDesign will get me during and after my time there might be worth it.

A question for others...do you know if you can simply prequalify for a bunch of private loans? Being almost 5 years out of undergrad, I have quite good credit (was able to qualify for a 0% car loan, though I ended up buying a less expensive car for cash), so I'm thinking I would be able to get competitive rates, but I obviously want to look at all possible options (or at least as many as possible).

If you have admin experience, you might try checking Penn's job boards. They probably offer free or discounted tuition to employees.

[chaospaladin]

I don't have much advice to give, as I'm in a similar situation. I am seriously contemplating Penn. Though I did receive a very small scholarship and close to the max work study, I would have to fund most of it through fed and private loans, at least the first year. However, I have admin experience, so I would possibly at least be able to cover Philly's relatively low living expenses that way. My field isn't exactly super high paying either, but I'm contemplating whether the quality of the program, and the connections that PennDesign will get me during and after my time there might be worth it.

A question for others...do you know if you can simply prequalify for a bunch of private loans? Being almost 5 years out of undergrad, I have quite good credit (was able to qualify for a 0% car loan, though I ended up buying a less expensive car for cash), so I'm thinking I would be able to get competitive rates, but I obviously want to look at all possible options (or at least as many as possible).

What does a "0% car loan" mean? Does it mean a 0% interest car loan?

[michpc]

What does a "0% car loan" mean? Does it mean a 0% interest car loan?

Yes, sorry that wasn't clear!

[erinl]

Much thanks to everyone who has replied thus far! You've all been very helpful. I've already started applying to scholarships; I need to do all I can to earn that money! If anyone has ideas for specific scholarships to pursue, I'm open to hearing them

[dgtxsg]

Have you looked into a program called "Title IV-E"? My girlfriend was accepted into UNC's advanced-standing MSW program and she is shooting for this program to pay for it. Its part of the Social Security Act that pays for Social Work education. You just have to commit to working for a child welfare agency for a certain period of time, usually a year or two. The program varies from state to state, but here is something I found for California.

http://socialwelfare.berkeley.edu/AcademicPrograms/IVE.pdf

[siue16171617]

Honestly, to be very frank, taking our 80,000 in loans is a terrible idea for a master's degree...in just about anything. Look at the job market. Look at your expected salary after you finish the master's degree. Look at all the other debt that you are carrying--car, credit cards, undergraduate student loans, etc. How much money can you make next year without a master's degree? Now add 40,000 to that number, and that's the opportunity cost of going to graduate school.

This is my personal, cynical, biased opinion. Master's programs in the humanities and social work are full of people who take out HUGE loans for comparably little reward. These master's students take classes with PhD students who are not only on a full scholarship, but are also getting paid a (barely) living stipend. You are sinking into debt, they are treading water.

[creativesocialworker]

Hi, everyone...

I was recently accepted to USC's Master of Social Work program. Though I'm excited, I'm more disheartened by the price tag than anything: over $41k per year...for social work! I firmly believe the education is worth it, but the number is daunting, to say the least. I called the fin. aid director yesterday and asked exactly what financial aid packages could be offered to me...and he basically said no fellowships/assistantships could be offered, and directed me straight to a list of loans I'd be taking out to fund my education. Scholarships are available, but the dollar amount of each is relatively small and I'd have to apply like crazy for them. Can anyone dispute this information? Is it typical to go into so much debt for a Master's degree, and is it also typical to be offered no upfront funding? I have no problem with applying for a bunch of scholarships if it means bringing that price tag down - I suppose I'm just wondering if this is too outrageous to even consider, because being $82k in debt after two years sounds more than a little frightening. I'd really appreciate any advice on bringing that number down!

USC gives out quite a bit of aid but the thing is that you wont know how much you get until you have already accepted their admission offer. I have a friend who only got $10,000 and then another that got $25,000+. There is also work study ($6,500/year), perkins loans and other loan forgiveness programs. I really like both USC and UCLA's programs so for me the money was a huge deciding factor. In the end I didnt even really consider USC and option because I would have had to accept their offer, give them a $200 deposit and then wait until May to find out how much aid I would get, and by that time it would be too late to change my mind and go with UCLA.

[Mal83]

Honestly, to be very frank, taking our 80,000 in loans is a terrible idea for a master's degree...in just about anything. Look at the job market. Look at your expected salary after you finish the master's degree. Look at all the other debt that you are carrying--car, credit cards, undergraduate student loans, etc. How much money can you make next year without a master's degree? Now add 40,000 to that number, and that's the opportunity cost of going to graduate school.

This is my personal, cynical, biased opinion. Master's programs in the humanities and social work are full of people who take out HUGE loans for comparably little reward. These master's students take classes with PhD students who are not only on a full scholarship, but are also getting paid a (barely) living stipend. You are sinking into debt, they are treading water.

You say that, but for many of us there is no other option. After 8 months of relentless job searching after I returned home from Ukraine as a Peace Corps volunteer I could not find a job in my field, I had one phone interview. Then I started just applying to any kind of office type job opening and got nowhere. I finally ended up a preschool. I work at preschool and I have a BA in International Studies and 2 years of Peace Corps services. I do not have the funds to go to grad school without loans. If I don't do grad school in DC I'll continue to get nowhere in my field of International Development. So for me the loans are a godsend. They will allow me to move on with my life. The idea of massive debt is unappealing to everyone but if they mean me reaching my professional goals than I'm not going to stagnate in my current situation any longer. To me that's worse than sinking into debt.

[Milo_10011]

siue16171617 makes excellent points.

My situation, as an unemployed person, is that I pretty much have no choice but to go to grad school. My first career is over. I've been considering grad school off and on for several years, and I now basically have nothing preventing me from going. In addition to a new career path, it will give me an opportunity to wait out the economy. So I'm willing to take on debt for an MA. But certainly not the amounts being discussed on the board. $80k for an MA? I think my cutoff point would have to be $20k for a two-year program. Perhaps $25k.

Edited March 26, 2011 by Milo_10011

[Zorah]

You say that, but for many of us there is no other option. After 8 months of relentless job searching after I returned home from Ukraine as a Peace Corps volunteer I could not find a job in my field, I had one phone interview. Then I started just applying to any kind of office type job opening and got nowhere. I finally ended up a preschool. I work at preschool and I have a BA in International Studies and 2 years of Peace Corps services. I do not have the funds to go to grad school without loans. If I don't do grad school in DC I'll continue to get nowhere in my field of International Development. So for me the loans are a godsend. They will allow me to move on with my life. The idea of massive debt is unappealing to everyone but if they mean me reaching my professional goals than I'm not going to stagnate in my current situation any longer. To me that's worse than sinking into debt.

Social Work is such a low paying field. After graduation you won't make $80,000 a year. For a social work degree, it does not make sense to go into this much debt. You'll never be able to pay it off with your salary. With a MSW and no experience at the most you'll make $50,000 a year.

[nimo6211]

Then again, there are other employment options for social workers such as the UN, not for profit organizations, community projects even freelancing on an independent contract basis that pay more lucrative salaries. I would not give up. If it is a passion, go for it. Who knows what the futurehold in the next two years. It is better that you take the risk now (life is fraught with them) than regret later because you failed to pursue your passion.

Pragmatism is good, but it can hinder progress and pursuing your dreams. Good luck with your endeavors

[cathaea]

I'm fortunate enough to have received full funding for my MA (and I'm also in a different field) but 80 grand is a lot of money and, given the shitty economy, it might be crippling for you to leave school, be unemployed/underemployed for a period of time while having this albatross around your neck. Could you take a year off to save some money, establish residency (as a previous poster mentioned) and explore slightly cheaper options re: grad school? If you get cut that future debt even by half, I think you'd find it more manageable in the long run than the amount you're quoting. I have a lot of friends with a lot of debt who have had to accept crappy jobs rather than commit to unpaid internships, etc. because of their debt loads. In the long run, having the ability to do those internships (or accept a lower-paying job at a better work place) can do a lot more for your career than having to take a bad job simply because you need the money so badly. Just things to consider!

[Sparrowing]

Honestly, to be very frank, taking our 80,000 in loans is a terrible idea for a master's degree...in just about anything. Look at the job market. Look at your expected salary after you finish the master's degree. Look at all the other debt that you are carrying--car, credit cards, undergraduate student loans, etc. How much money can you make next year without a master's degree? Now add 40,000 to that number, and that's the opportunity cost of going to graduate school.

This is my personal, cynical, biased opinion. Master's programs in the humanities and social work are full of people who take out HUGE loans for comparably little reward. These master's students take classes with PhD students who are not only on a full scholarship, but are also getting paid a (barely) living stipend. You are sinking into debt, they are treading water.

I agree. I know more than a few people who took on considerable debt because they were certain that the name of their school was some kind of insurance in the job market -- that they could later get a PhD, start a lucrative career within a year or two, and pay down their debt within five. They are now struggling to make loan payments and renting apartments I wouldn't even have considered as an undergraduate. I'm Canadian, and in this country the vast majority of graduate programs (including masters-level) are funded adequately enough to cover tuition and living expenses without necessitating loans.

For people who think that they are somehow more exceptional than the folks described above -- money isn't everything, but it's naïve to think that it's trivial or easy-to-come-by. Apologies if this sounds harsh. I know some people are going to dismiss this kind of advice no matter what, and I wish them luck. Some disciplines are exceptions, of course, but for the majority of humanities, social sciences, and pure sciences, please consider carefully.

And remember that the choice is not Masters degree vs. no-Masters-degree; there are options for funding, and they're worth finding. Lastly, keep in mind that some of your classmates will be financed by their parents, and after graduation they'll likely get hired before you do, for a multitude of other reasons. (Self-presentation counts for a lot in job interviews, and it's hard to maintain when your nutrition is poor, you have no health insurance, you haven't been to the dentist in years, and you can't afford nicely tailored clothes and grown-up shoes.)

Edited April 19, 2012 by Sparrowing

[UofIgirl2000]

For some areas, you need a masters degree, and social work is one of those fields. While a MSW from a private school is nice, it's probably not necessary if you want to work in the field (better if you want to move into management, but I digress). You might want to consider a cheaper program from a state school, or a slightly less prestigious program where you would be a top-tier applicant and more likely to get funding. If you are truly passionate about social work, you'll still shine in the program, even if you have to leverage more resources in the program to receive the same education. Plus, having a more managable debt load upon graduation would allow you to pursue the work you want to do instead of pursuing the jobs that just pay the most money.

[Kerly_Cue]

I'm not a Social Work person, but I have quite a few friends who are. Look $80,000 is too much debt for a master's degree.

I'm one of those people that firmly believes in following your passion, especially if it's for social justice and making a difference (I'll more than likely be teaching for the next few years or so ... absolutely no money there, but I enjoy it). But you have to balance that with the reality of what your life will be like when you follow your heart. You'll be carrying $80,000 + whatever loans you have from undergrad + credit card debt + car loans + a mortgage + health insurance + groceries + utilities + etc. Not sure if you're married, but also imagine paying for a wedding with all those expenses, or bringing that much debt into a marriage and then having kids...

My advice to you would be to find a cheaper program. An MSW doesn't have to be from USC (where I also imagine the cost of living is quite high). I would decide where I want to practice and then find a program there, so that I could establish connections and tell the financial aid department at my school that I intend to stay in the area and any grant to me would be an investment in the community.

You say that, but for many of us there is no other option. After 8 months of relentless job searching after I returned home from Ukraine as a Peace Corps volunteer I could not find a job in my field, I had one phone interview. Then I started just applying to any kind of office type job opening and got nowhere. I finally ended up a preschool. I work at preschool and I have a BA in International Studies and 2 years of Peace Corps services. I do not have the funds to go to grad school without loans. If I don't do grad school in DC I'll continue to get nowhere in my field of International Development. So for me the loans are a godsend. They will allow me to move on with my life. The idea of massive debt is unappealing to everyone but if they mean me reaching my professional goals than I'm not going to stagnate in my current situation any longer. To me that's worse than sinking into debt.

There's always another option, you may not like it ... but there's another option (and believe me, I'm being faced with a situation like this right now). I understand having no money for grad school. Why is it that you have to go to grad school in DC? That city and its surrounding area are ridiculously expensive. It's beautiful and fun, but I know right now I could never afford to live there. Add to that the fact that nearly half that city has a B.A. in International Studies or something comparable and it make sense that the jobs are scarce: you're competing with every GWU, American U, Georgetown, Howard undergrad with an International Studies, Political Science, Political Economy, Urban Studies, Economics, Public Policy major since they can all pretty much be used interchangably for the kind of jobs you're looking for plus all the kids with those degrees who went to school somewhere else but are trying to break into the DC scene.

[UofIgirl2000]

Why is it that you have to go to grad school in DC? That city and its surrounding area are ridiculously expensive. It's beautiful and fun, but I know right now I could never afford to live there. Add to that the fact that nearly half that city has a B.A. in International Studies or something comparable and it make sense that the jobs are scarce: you're competing with every GWU, American U, Georgetown, Howard undergrad with an International Studies, Political Science, Political Economy, Urban Studies, Economics, Public Policy major since they can all pretty much be used interchangably for the kind of jobs you're looking for plus all the kids with those degrees who went to school somewhere else but are trying to break into the DC scene.

I was thinking the same thing. Actually, I was thinking that everyone in DC has a Masters in the field already and a JD on the side. Truthfully, my husband has a MA in International Affairs from a school in the Midwest, and still managed an internship at the UN, so don't think that you have to be in DC to break into the scene. I'd almost suggest a Big Ten school with a lot of Title VI money like Indiana or Minnesota, or Pac- # school like Washington. (List of National Resource Centers: http://www.nrcweb.org/) Cost will be lower going to a public school, and with large undergrad populations, there's a greater likelihood of assistantships. If someone is really interested in International Development, the best thing I can think of is to talk to someone at USAid and find out which programs they think highly of, which colleges they get their research from, and where their leadership went to school.

[jchig]

I am reading these posts to help my children with their grad school financing plans, and I would just like to reply with some life experience for you potential social work grads. I am a licensed clinical social worker with a private counseling practice--the money is not bad but not as good as 20 years ago, before managed care in the health field. You will make a decent income, but probably not enough to justify such huge loans. It will affect your quality of life, which will become more important as you have a family and want to spend on other things than past loans. You may have to become very creative with your funding pursuits. Do not put all your eggs in a few baskets--the name of your school, at least in this field, is not nearly as important as what you know and what you can do, and that will come with your experience--internships, jobs, etc. Some lesser-known programs offer work-study, where you can work full-time and go to school in the evenings. That is where I earned my MSW from the University of Georgia, while working in Altanta. Some schools need students enough to help you out. You can always supplement your learning through conferences, externships, training programs that your work may send you to--so just find the most reasonable way to fund grad school and get that degree.

Good luck to all of you pursuing your dreams!

[UofIgirl2000]

There's another option which I can't believe I haven't mentioned. I'm currently working on a certificate program through a state university's School of Social Work. My bursar bill for my current semester (last one before my MA program!) is $5: I work full-time for the school.

Because Social Work is directly applicable to student life, you may want to see if you can find a job with a university, then go to school half-time. Most universities have tuition benefits for staff, which could be 50% tuition or 100% of the first 6 hours, or buy one class, get the second class for free (check their websites). Work full-time, earn a salary that will pay for living expenses, then only take out loans for the portion of the tuition that isn't covered. You will add time to getting your MSW, but you will be working in the field for 3-4 years instead of taking time out of your career, graduating with much less debt, with the possibility of none at all.

[PrattIAFF]

For all of those concerned with the mounting cost of higher education and the rising necessity of student loans to finance it, please sign this petition:

http://signon.org/sign/support-the-student-loan

Since 1980, average tuition for a 4-year college education has increased an astounding 827%. Since 1999, average student loan debt has increased by a shameful 511%.

In 2010, total outstanding student loan debt exceeded total outstanding credit card debt in America for the first time ever. In 2012, total outstanding student loan debt is expected to exceed $1 Trillion.

In short, student loan debt has become the latest financial crisis in America and, if we do absolutely nothing, the entire economy will eventually come crashing down again, just as it did when the housing bubble popped. Reasonable minds can disagree as to the solutions, they cannot, however, disagree on the existence of this ever-growing crisis, as well as the unsustainable course we're on towards financial oblivion.

As a result of more than 30 years of treating higher education as an individual commodity, rather than a public good and an investment in our collective future, those buried under the weight of their student loan debt are not buying homes or cars, not starting businesses or families, and they're not investing, inventing, innovating or otherwise engaged in any of the economically stimulative activities that we need all Americans to be engaged in if we're ever to dig ourselves out of the giant hole created by the greed of those at the very top.

Now for the good news: there's finally hope on the horizon! Representative Hansen Clarke of Michigan has just introduced H.R. 4170, the Student Loan Forgiveness Act of 2012, in the House of Representatives - legislation designed to lend a helping hand to those struggling under massive amounts of student loan debt.

For a brief summary of H.R. 4170's main provisions, please copy & paste this URL into your browser: http://tinyurl.com/7akydbk

To read the full version of the actual bill itself, please go here: http://tinyurl.com/6txure8

To read answers to some of the most frequently asked questions about the Student Loan Forgiveness Act of 2012, please go here: http://tinyurl.com/8xh4csd

Student loan debt has an undeniable and significant suppressive effect on economic growth. The Student Loan Forgiveness Act of 2012 directly addresses this enormous boot on the neck of the middle class and represents a glimmer of hope for millions of Americans who, with each passing day, find that the American Dream is more and more out of reach.

Therefore, we, the undersigned, respectfully request that Congress bring H.R. 4170, the Student Loan Forgiveness Act of 2012, up for consideration and commit to holding a straight, up-or-down vote on it this year. Thereafter, we, the undersigned, respectfully request that President Obama sign this legislation into law.