Are loan repayment programs worth it?

[LibbyTai]

So, I am still a nursing student, and I am still in the process of getting done with everything.

But I have been looking into ways to pay off my debt just so I am aware of what is out there when I do get done. I have pretty much been planning to enter into a loan repayment program since I live in a rural area and they are pretty common.

However, I was talking to some nurses at one of the places that I was doing clinicals at, and they told me that they wish they would have never entered into a contract with that specific location, and would have rather just paid out of pocket.

I know this could just be that maybe that location isn't that great. Or maybe that was just their personal opinion. I get that.

But I thought I would see what everyone else think.

Is that commitment worth it? What are the negatives and the positives? What should you be careful of?

I really want to get my masters degree, so one of my goals was to avoid piling on debt, and I figured a loan repayment program would be a great way to gain experience while paying off debt so that I don't have to stress as much spending more money on grad school.

What are your thoughts?

[Buyer beware, BSN]

So, I am still a nursing student, and I am still in the process of getting done with everything.

But I have been looking into ways to pay off my debt just so I am aware of what is out there when I do get done. I have pretty much been planning to enter into a loan repayment program since I live in a rural area and they are pretty common.

However, I was talking to some nurses at one of the places that I was doing clinicals at, and they told me that they wish they would have never entered into a contract with that specific location, and would have rather just paid out of pocket.

I know this could just be that maybe that location isn't that great. Or maybe that was just their personal opinion. I get that.

But I thought I would see what everyone else think.

Is that commitment worth it? What are the negatives and the positives? What should you be careful of?

I really want to get my masters degree, so one of my goals was to avoid piling on debt, and I figured a loan repayment program would be a great way to gain experience while paying off debt so that I don't have to stress as much spending more money on grad school.

What are your thoughts?

The short answer is no they are not worth it. They are just a way of putting off the inevitable.

No matter how you slice it the devil will have his due.

The income based repayment plans should really be called the placate the indebted to the eyeballs repayment plan.

No matter how you slice this pie the debt remains; the interest keeps accumulating and even though they say it will be forgiven in, "how's this for fudging, " 20-25 years, it still isn't forgiven.

Those 'forgiven" loans will then be considered "earned income" in the eyes of the IRS. You will then be issueed a 1099 form requiring you to pay taxes on a debt that was once 60-80 or 100K that through time and accumulated interest has grown to 200K.

Now by that time you might be thinking about cutting back a little, taking Social Security and working part time if someone will hire your wrinkled butt or you might decide not to work at all.

Guess what? If you don't pay that tax bill they will take it out of your SS till you drop.

And guess what else? These loans you can not get rid through bankrupsy.

That was disallowed by Congress years ago. Happy Christmas.

This is partially why I am on a tear for people (young, old, single mothers, minorities, and so many others to beware of anyone who wants to help you realise your dreams through loaning you up.

They on the contrary will make life a living hell for you and with a look of concern while laughing behind your back.