My son is a high school senior this fall. My daughter is right behind him in 11th grade. I have learned more about colleges in the last few months than I have in the last 30 years.
My kids don’t have a clue about what it takes to pay for their upcoming college expenses. They have no idea about the concept of a student loan. Likewise, they don’t realize that borrowing so much money as such a young age can change the rest of their adult lives.
This fact is especially frightening to me as an investment advisor. If the kids of a career investment advisor don’t know how much to pay for college costs then how can their friends know?
My kids are clearly not being educated about student loans in high school. I am in no way blaming the administration, teachers, or counselors at my kid’s high school. I am just stating the facts based upon my experience.
My kid’s high school had the annual college financial aid night in the spring. They also have online resources available on the high school web site. But there is no chance that they provide enough information to educate both the kids and the parents about college loans.
There is no place for a high school senior and his or her family to go in order to receive the amount of education necessary to potentially borrow hundreds of thousands of dollars immediately following high school.
Can you imagine what your banker would say if you told him or her that you wanted to borrow $200,000 because you thought you might like to study English in college?
The colleges that my son, his mother, and I have been in contact with don’t offer much help either. Why should they? Colleges are big business, not charitable organizations. They just want to get paid. They don’t have to be concerned where the money to pay them comes from.
There isn’t anyone if the lives of most high school students who can help educate them about the facts when borrowing money for college. Most parents don’t know, and their high school teachers and counselors are for the most part not very helpful.
It is scary. The entire process has been an eye-opener for me.
Ric Lager
Lager & Company, Inc.
