Escape from Student Debt Strategy?

[marko]

OMG! These people have to be the biggest losers ever!
https://www.cnbc.com/2019/05/25/they-fled-the-country-to-escape-their-student-debt.html

The article outlines people who've left the US and--one of them--lives in the jungles of India to escape his student debt. In this case $20K. "I couldn't make the math work in America" he says. He was hospitalized for eating spoiled food, but... it's all good!

So, you get $20-$30K in debt and have to flee the country because you can't "make it" in the US? That $250 a month payment is "crushing!", just crushing I tell you!

Yes, I understand that student debt is a problem, but moving to a third world country to get away from the collectors? Over a $200 a month payment? On second thought, probably a good idea for such flunkies to leave us.

Hoping this thread doesn't turn into a student debt discussion--we've done that to death here; just thought that the whole cry-baby aspect was interesting.

Rack up a moderate debt, complain that you can't find a job and then run away and hide? Losers!

 

[pb4uski]

The guy in the article couldn't foresee that his masters in comparative literature might not translate into a good job? Or the guy that majored in communications and history?

You can't fix stoopid. Good riddance.

DS didn't go to college and works a low level job/wage but LBYM and saves more than the $300/month student loan payment that the bozo outlined in the article can't handle.

 

[marko]

You can't fix stoopid. Good riddance.

DS didn't go to college and works a low level job/wage but LBYM and saves more than the $300/month student loan payment that the bozo outlined in the article can't handle.

I think in some twisted alternate universe the article is intended to make us feel sympathy for them by outlining the horrors of a "crushing" $200 a month loan payment.

 

[HadEnuff]

OMG! These people have to be the biggest losers ever!
https://www.cnbc.com/2019/05/25/they-fled-the-country-to-escape-their-student-debt.html

The article outlines people who've left the US and--one of them--lives in the jungles of India to escape his student debt. In this case $20K. "I couldn't make the math work in America" he says. He was hospitalized for eating spoiled food, but... it's all good!

So, you get $20-$30K in debt and have to flee the country because you can't "make it" in the US? That $250 a month payment is "crushing!", just crushing I tell you!

Yes, I understand that student debt is a problem, but moving to a third world country to get away from the collectors? Over a $200 a month payment? On second thought, probably a good idea for such flunkies to leave us.

Hoping this thread doesn't turn into a student debt discussion--we've done that to death here; just thought that the whole cry-baby aspect was interesting.

Rack up a moderate debt, complain that you can't find a job and then run away and hide? Losers!

now, why would a thread titled "escaping student debt" turn into a student debt discussion?

 

[pb4uski]

DW had $10k of student debt when she graduated from grad school in 1981... inflation adjusted that would be $29k of student debt today. We managed.... it was a nuisance but not a huge burden.

 

[braumeister]

The guy in the article couldn't foresee that his masters in comparative literature might not translate into a good job?

This is the key, of course. He should have chosen a more marketable major, like art history.

 

[tb001]

The guy in the article couldn't foresee that his masters in comparative literature might not translate into a good job? Or the guy that majored in communications and history?

I see this sort of comment so often. DH majored in European history and made far more than I ever did with a stem degree. His max salary was double my max even after I moved from stem into finance. This guys issue has nothing to do with his degree and everything to do with him.

 

[pb4uski]

Fair point, but I'd bet the house that there are many more underemployed European history or comparative literature or communications and history majors than underemployed accounting majors.

 

[MichaelB]

The guy in the article couldn't foresee that his masters in comparative literature might not translate into a good job? Or the guy that majored in communications and history?

You can't fix stoopid. Good riddance.

DS didn't go to college and works a low level job/wage but LBYM and saves more than the $300/month student loan payment that the bozo outlined in the article can't handle.

I see this sort of comment so often. DH majored in European history and made far more than I ever did with a stem degree. His mad salary was double my max after I moved from stem into finance. This guys issue has nothing to do with his degree and everything to do with him.

This is a common view expressed by STEM majors here. Even people that usually make data and evidence based observations about investing and finance make anechedotal, condescending comments about university fields of study.

The amount of income earned over a lifetime depends on many factors. IMO, university field of study is not determinant.

 

[tb001]

Fair point, but I'd bet the house that there are many more underemployed European history or comparative literature or communications and history majors than underemployed accounting majors.

I wouldn’t necessarily disagree, but it’s also difficult to tease out the major from the mentality of someone who tends to choose that major. Bright, motivated people will likely do well in life no matter what they major in.

 

[marko]

now, why would a thread titled "escaping student debt" turn into a student debt discussion?

I'm counting on the above average IQ of this forum's members to see that the article/thread really isn't about student debt.

 

[braumeister]

The amount of income earned over a lifetime depends on many factors. IMO, university field of study is not determinant.

That's certainly true (psychology major here), but I think how much you earn is less important than how you manage what you earn. I never made big bucks but was able to retire comfortably at 55.

 

[target2019]

I feel more empathy for those who made good career choices and paid off loans, and parents who lent support over the years. Please write our story.

 

[athena53]

I see this sort of comment so often. DH majored in European history and made far more than I ever did with a stem degree. His max salary was double my max even after I moved from stem into finance. This guys issue has nothing to do with his degree and everything to do with him.

How long ago did he get his first job? The reason I ask is that most employers now are VERY picky about your major. A friend at church, retired now, is probably similar to your DH. His degree was in English Literature from the U. of Toronto and a major bank in NYC hired him, figuring he must be pretty smart and trainable. He was, and had a long career in commercial lending. I doubt that large commercial banks are hiring English Lit majors now- they have their pick of MBAs in Finance and Economics. You can still get hired with almost any major in sales positions and do VERY well, but sales isn't for everyone.

 

[Jerry1]

So, I guess they never anticipated a new car either? Or, even a good used one? $200 per month is not even a car payment. Plus, those loans have adjustments for income. If you’re unemployed, you can defer the payment and if you’re working at a lower paying job, you can get a payment based on your income. How anyone could conclude that running away to a third world country is a solution is beyond my ability to comprehend. When I was going to school and working, people said that was hard. When I was working and raising a family (with major help for DW), people said that was hard. When I got my CPA and then my MBA, people said that was hard. I always thought, you know what’s hard? Being homeless. That’s HARD. This situation, living in a third world situation, seems a lot harder than just putting your head down and getting to work and paying your debts. How pathetic.

 

[pb4uski]

I wouldn’t necessarily disagree, but it’s also difficult to tease out the major from the mentality of someone who tends to choose that major. Bright, motivated people will likely do well in life no matter what they major in.

I agree.... but those in the US who are more in the middle increase their chances of career success with a more practical major IMO.

Liberal arts majors are more prevalent in Europe but are augmented by additional training in their career field post graduation.

 

[MarieIG]

I think in some twisted alternate universe the article is intended to make us feel sympathy for them by outlining the horrors of a "crushing" $200 a month loan payment.

They racked up debt and deliberately left others holding the bag. Don't know if these were government loans (tossing the debt onto the taxpayers) of private loans (tossing the debt onto the shareholders). Seems to me to be stealing.

I could have sympathy for someone who was injured and unable to work. Not the case here. Having to work to pay off debts which you deliberately incurred?

 

[haha]

I see the way the wind is blowing re this thread, but really, isn't the current price of college in the US beyond belief? Regarding majors, I had many friends who majored in English. My graduating class of ~1000 in a very well known university had roughly 400 English majors and 400 histories. This was the early 60s, and jobs were plentiful. Everybody got middle class jobs. It is true that many of us can see reality, and today we would be very unlikely to borrow money for anything but a likely aid in the job market. But I think we should also realize that there is powerful hype around about how wonderful college degrees are. I think that we can be fairly sure that these profiled students didn't have many councilors advising them to become welders or nurses or linemen/women and to forget college.

Ha

 

[hausfrau]

I feel for the young woman in the story, but the article was a little vague about her loans. How much were they initially? I watched the video it sounds like she wants to come back home. She needs to face her loans head on and formulate a plan!

 

[marko]

I feel for the young woman in the story, but the article was a little vague about her loans. How much were they initially? I watched the video it sounds like she wants to come back home. She needs to face her loans head on and formulate a plan!

Moving to Japan, one of the highest COL countries in the world was also probably another bad life-choice.

 

[hausfrau]

Moving to Japan, one of the highest COL countries in the world was also probably another bad life-choice.

I've read stories where college grads go to other Asian countries to teach. It can be a good strategy since they often have a housing stipend (or a low enough cost of living) and can save enough to make major dents in their loans. Japan was probably the worst choice though. I watched her video. Her apartment was tiny and probably very expensive.

 

[Teacher Terry]

My son went to Vietnam to teach English and math. It had been a dream of his and he is enjoying it.

 

[tb001]

How long ago did he get his first job? The reason I ask is that most employers now are VERY picky about your major. A friend at church, retired now, is probably similar to your DH. His degree was in English Literature from the U. of Toronto and a major bank in NYC hired him, figuring he must be pretty smart and trainable. He was, and had a long career in commercial lending. I doubt that large commercial banks are hiring English Lit majors now- they have their pick of MBAs in Finance and Economics. You can still get hired with almost any major in sales positions and do VERY well, but sales isn't for everyone.

This is very true, however his early job opportunities were as much driven by his extensive extracurriculars, good gpa and community involvement/networking. E.g. founding a student newspaper, being very active politically, working to get great internships, etc... So much more about his passion and work ethic. I think any European history major today with a similar passion would likely be able to follow a similar trajectory. I can guarantee his dad had the same thoughts about his major in the 80s that I see expressed here. He went on to be far more successful monetarily than his father.

I bring it up mainly because I hate to see kids being put down for their choice of majors. Not everyone is a good fit for stem and not every stem major makes great money. Further, a successful career is not necessarily the one that makes you the most money.

As said previously, what’s really changed is the cost of that European history major. Whereas before, a yound adult with mediocre drive could choose a major like this and still graduate with a payable amount of debt, they have to be more careful now. Far worse than these non vocational majors, is the cost of paying for them at private schools for kids who are really just coasting.

 

[Teacher Terry]

So I was curious and looked at tuition locally. 20k/year for just tuition. Ugh!

 

[Music Lover]

Bright, motivated people will likely do well in life no matter what they major in.

That's probably because most bright and motivated people are also less likely to choose a career that has a low chance of employment.