The College Debt Crisis - Special Report

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    Mike Cagney is a former hedge fund manager, an alumnus of the Stanford Graduate School of Business and the co-founder of SoFi, a startup that ultimately aims to make college alumni the primary source of student credit, instead of the federal government.

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    What if a college did not spend its resources on sports stadiums? What if it quit the competitive "arms race" and did not build climbing walls and multimillion dollar student unions? What if a college did not spend its students’ resources on top "name brand" researchers, who undergraduates rarely see? In fact, what if there was no faculty tenure at all?

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    The rampant inflation in the cost of U.S. higher education since 1980 makes gasoline and healthcare price hikes over the same period look like an Indy car racing a pair of old-school Volkswagen vans.

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    Parents and students have an array of options for financing education costs, including private loans from banks, tapping home equity credit lines and dipping into retirement accounts. However, the quest to provide a better life for their children can create a lager financial mess for the parents.

  • E.U.

    Just five days after  EU leaders agreed a new plan to tackle the debt crisis, it is already facing huge criticism. The market, fueled by the collapse of MF Global on Monday, is showing Angela Merkel and Co exactly what it thinks on Tuesday.

  • Location, prestige, academic reputation and tuition are major factors for students in the college selection process, but post-graduate salary is something rarely taken into consideration. Although salaries depend heavily on a graduate’s field of work, companies are willing to pay a premium for students hailing from the nation’s top universities. But which undergraduate institutions offer the most valuable educations? Recently, released a report on the highest salary potential among the nation’s

    Although salaries depend heavily on a graduate’s field of work, companies are willing to pay a premium for students hailing from the nation’s top universities.

  • Oxford University

    From Oxford in England to Erasmus in The Netherlands, overseas universities are targeting US students with their lower tuition costs.

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    Americans now owe more on their student loans than they do on their credit cards. With debt now growing at a rate of $2,853.88 per second, it will surpass $1 trillion in 2012. And neither taxpayers nor consumers can afford it.

  • Kelly Space, Norhtweswtern Univ. graduate, went online to solicit contributions to pay off student loans.

    You can promote yourself online and seek donations or donate parts of your body for hefty fees.

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    College kids were enjoying pizza and beer, and paying for it all with a debit MasterCard.  But this was not any debit card.  The funds behind it come from student financial aid.

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    Call it one of the dirty little secrets of the education industry: When students can’t pay their loans, many schools manage (some would say, manipulate) default rates so they look better than they really are.

  • Uncle Sam and money

    The dramatic rise in student debt—and in student loan defaults—could leave the American taxpayer on the hook for hundreds of billions of dollars.

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    For-profit colleges may have unusually high student dropout and loan default rates, but their CEOS receive enormous compensation packages.

  • Oxford University

    Fom Oxford in England to Erasmus in The Netherlands, overseas universities are targeting US students with their lower tuition costs.

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    Americans now owe more on their student loans than they do on their credit cards. With debt now growing at a rate of $2,853.88 per second, it will surpass $1 trillion in 2012. And neither taxpayers nor consumers can afford it.

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