Default Rates Up Again

Default rates up again according to the Department of education. One in ten borrowers across the country, 475,000 people, who entered repayment during the fiscal year ending in September 2011 had defaulted by the following September, the data showed. That’s up from 9.1 percent of a similar cohort of borrowers last year. Even more borrowers are struggling in delinquency when the period of measurement is extended to three years. The percentage...

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Getting Employed - What Employers Are Looking For In Hiring New Employees

Getting Employed - What Employers Are Looking For In Hiring New Employees From the time our kids are in middle school, we as parents, school officials, and federal government are telling our kids that the only way to climb the ladder of success and get a good paying job, is to get a college degree.  A college degree is becoming the new high school diploma.  Many (but not all) employers across the country will only hire people with...

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RETIREMENT AND PAYING FOR COLLEGE

RETIREMENT AND PAYING FOR COLLEGE  AN $80,000 COLLEGE EDUCATION COULD COST YOU $246,980  Last year college tuition increased on the average of 6.65%, (public universities).  According to the federal government, the combined Social Security trust funds will be exhausted in 2036 and at that point there will only be enough income to cover 77% of scheduled benefits. Our colleges and universities seem reluctant to address the...

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New Savings Account for College Proposal

New Savings Account for College Proposal U.S. Congressman Jose Serrano (D-NY) and a number of his colleagues in the U.S. House of Representatives agree. On August 1st, they introduced the Financial Security Credit Act of 2013 (H.R. 2917).    If passed into law, eligible families who contributed to a range of saving products, including those traditionally associated with retirement, such as 401ks and IRAs, as well as more flexible vehicles, such as savings bonds and short-term savings accounts or certificates of deposit, would see...

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Senators Reach Loan Deal

Senators Reach Loan Deal - The compromise would be retroactive, so students taking out loans after July 1 would get the new interest rate. Based on Wednesday's Treasury yield, undergraduate loans issued today would have an interest rate of 4.5 percent; graduate loans, 6.5 percent; and PLUS loans, 7.2 percent. All are lower than the rates for those loans under current law.  Final details on the interest rate are awaiting a score from the Congressional Budget Office, expected midday today. But late Wednesday night, the group agreed that all...

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Five Step Cash Flow Program for Parents - Step Five

STEP FIVE Evaluating Assets and Liabilities It is now time to open the information you have accumulated in your files.  We asked you to write down your assets.  Look over the list of assets and find assets that can be used to help pay for college.  Some of these assets can be liquidated or borrowed (leveraged) against.             Examples: Fixed Income Investments CD’s Bond...

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