Income-based student loan repayment

[CycloneErik]

Someone is cranky...

I summed that up as "Big dumb hok degree make bad job bad money big dummy."
Something like that, anyway.

 

[DurangoCy]

Started the more serious shopping phase today. I'm looking at getting a Ford Escape; there's a 2011 Limited at Gabus Ford in DM where I can get $227 a month over 72 months (which is actually pretty manageable for me, especially if I pick up any kind of supplemental income), and a 2012 XLT at a local dealer back home that was $283 (but that was with a lower down payment and a lower trade-in value on my current car; that trade-in could go up some since the dealer made the estimate site-unseen and Gabus offered about 700-800 more).

The local dealer will likely be able to offer a lower price, so either way I'm getting a very nice vehicle that should last me for 10 years (easily) if I take care of it, and at a price I can handle fairly easily (without adjusting my loan payments) with just a little extra effort on my part.

Thanks for all the input!

I actually can't believe you qualify for loans based on your income and student loan situation, AMERICA!

I would seriously think about getting a $5000 car and running it into the ground. Almost everyone does it when they're young, but buying a new car ( or almost new) just out of school is one of the dumbest things that we do. You might not hate it now, but you're going to dread that payment in another year or two.

 

[cloneluke80]

Buy a cheaper car.

I'm using income based repayment right now (it was $0/month when I first got out of law school), and will basically see a new amount kick in every year, as my income increases. It delays the amount of time you spend paying on your loans, but I'm also enrolled in a loan forgiveness program based on being a government employee, and it only requires a minimum payment on your income based repayment plan to stay qualified.

But seriously, people waste so much money on their damn cars, its not even funny. In 2007 I bought a $4000 salvage title Dodge Neon. I still drive it. Payments were about $130/month, and I had it repaid in 2010. Since that time, I've spent maybe $500-$600/year on repairs. That would be the equivalent of a $50/month car payment. Most people think "that's not worth it to spend on a car with so little value" but because I'm never going to sell it, I spend FAR less money on my automobile, even with one or two major repairs every year. I can't believe more people haven't figured this out, but I do know that a lot of people dread mechanical issues (and are willing to pay a premium to drive a new car because of it), view cars as some sort of status symbol, or both.

This. Most financial issues start and end with cars.... Read the book "Millionaire next door" Also if I made 22k per year I would have 1-2 more jobs.

 

[ISUpadre]

 

[CyScoop]

Started the more serious shopping phase today. I'm looking at getting a Ford Escape; there's a 2011 Limited at Gabus Ford in DM where I can get $227 a month over 72 months (which is actually pretty manageable for me, especially if I pick up any kind of supplemental income), and a 2012 XLT at a local dealer back home that was $283 (but that was with a lower down payment and a lower trade-in value on my current car; that trade-in could go up some since the dealer made the estimate site-unseen and Gabus offered about 700-800 more).

The local dealer will likely be able to offer a lower price, so either way I'm getting a very nice vehicle that should last me for 10 years (easily) if I take care of it, and at a price I can handle fairly easily (without adjusting my loan payments) with just a little extra effort on my part.

Thanks for all the input!

Ok so I'm kinda late to the part here but here goes. Only an idiot buys a car financed over 6 years. Especially considering you are going to put "a lot of miles on it". Four years from now you are going to owe 9 grand on a POS ford with 120k miles on it and be leaving it in a Casey's parking lot with the keys in the ignition praying someone steals and burns the ******* thing out. Second who racks up that kind of loan debt getting a four year degree for a job in their field paying 22k a year? I mean its 2013. Did you get a burger flipping degree? That isn't exactly a ringing endorsement for a degree at Iowa. "Come to Iowa and make almost as much as a waitress at Denny's"

You know what, forget everything I've just said. You are on an unbelievable roll of making terrible life decisions, don't stop here. In addition to buying a new car while selecting the "interest only" repayment plan on your loans, financing a used car over 6 years, lets go ahead and max out all your credit cards. You know you are good for it, it's only a matter of time before you start racking in the big bucks working at the Rag.

Holy ******* ****.

 

[cloneluke80]

Ok so I'm kinda late to the part here but here goes. Only an idiot buys a car financed over 6 years. Especially considering you are going to put "a lot of miles on it". Four years from now you are going to owe 9 grand on a POS ford with 120k miles on it and be leaving it in a Casey's parking lot with the keys in the ignition praying someone steals and burns the ******* thing out. Second who racks up that kind of loan debt getting a four year degree for a job in their field paying 22k a year? I mean its 2013. Did you get a burger flipping degree? That isn't exactly a ringing endorsement for a degree at Iowa. "Come to Iowa and make almost as much as a waitress at Denny's"

You know what, forget everything I've just said. You are on an unbelievable roll of making terrible life decisions, don't stop here. In addition to buying a new car while selecting the "interest only" repayment plan on your loans, financing a used car over 6 years, lets go ahead and max out all your credit cards. You know you are good for it, it's only a matter of time before you start racking in the big bucks working at the Rag.

Holy ******* ****.

lol /endThread

 

[Three4Cy]

Ok so I'm kinda late to the part here but here goes. Only an idiot buys a car financed over 6 years. Especially considering you are going to put "a lot of miles on it". Four years from now you are going to owe 9 grand on a POS ford with 120k miles on it and be leaving it in a Casey's parking lot with the keys in the ignition praying someone steals and burns the ******* thing out. Second who racks up that kind of loan debt getting a four year degree for a job in their field paying 22k a year? I mean its 2013. Did you get a burger flipping degree? That isn't exactly a ringing endorsement for a degree at Iowa. "Come to Iowa and make almost as much as a waitress at Denny's"

You know what, forget everything I've just said. You are on an unbelievable roll of making terrible life decisions, don't stop here. In addition to buying a new car while selecting the "interest only" repayment plan on your loans, financing a used car over 6 years, lets go ahead and max out all your credit cards. You know you are good for it, it's only a matter of time before you start racking in the big bucks working at the Rag.

Holy ******* ****.

In 2-3 years the Rag won't even have a sports department, it will be nothing buy AP articles the way they are cutting staff over there.

 

[ISUpadre]

In 2-3 years the Rag won't even have a sports department, it will be nothing buy AP articles they way they are cutting staff over there.

 

[wxman1]

Although the delivery could be improved I have to echo their sentiments get a cheaper used car and drive it till it dies. Situation still not better? Rinse and repeat.

Also I know journalism degrees are nearly impossible to get jobs with (my sister has one) right out of school but the WORST thing you can do especially in that field is keep yourself to Iowa. Want to actually do something you love doing? It will probably mean potentially getting out of your comfort zone and moving hundreds if not more than a thousand miles away for awhile.

That or get another job to boost your income while you wait for your shot.

 

[tm3308]

Although the delivery could be improved I have to echo their sentiments get a cheaper used car and drive it till it dies. Situation still not better? Rinse and repeat.

Also I know journalism degrees are nearly impossible to get jobs with (my sister has one) right out of school but the WORST thing you can do especially in that field is keep yourself to Iowa. Want to actually do something you love doing? It will probably mean potentially getting out of your comfort zone and moving hundreds if not more than a thousand miles away for awhile.

That or get another job to boost your income while you wait for your shot.

I'm already filling out applications for part-time jobs; mostly in food service, since I've got several years of experience in that area.