How did/do you pay for nursing school and expenses? I need some advice.

justSara · Oct 20, 2017

1] Car payment is way to high for such a limited budget. If you are eligible to refinance you might bring those payments down some, but you'd still have the overall total cost to consider and unless you way overpaid for your vehicle you shouldn't need a luxury car on an economy car budget. Sell it and get something less expensive.
2] Holy Moly! $285/month is the cheapest car insurance you can find? Either you are driving a high end sports car which you certainly don't need on a student's budget or you have one spectacularly bad driving record. Either way, again ditch the car. Get something more affordable or better yet if you live in an urban area with good public transportation get rid of the car altogether and take the bus or subway.
3] If you are paying $100/month for a single phone line that's too much. Shop around for a better deal. Most of the carriers will pay off any early termination fees you might have to get your business. If you don't want to switch carriers at least switch plans, every carrier should have plans that cost well under $100 a line.
4] Gas and tolls can also be dropped totally by guess what...ditching that expensive car and taking the bus! I'm sure you're starting to see the theme here. That car is costing you WAY too much. You can at least save money by getting a car with better gas milage. As far as tolls, isn't there a monthly or annual "easy pass" option that'll save you money over paying tolls every time? No clue if that's a cheaper option for you, fortunately I don't live in an area with toll roads.
The credit card bills really aren't negotiable. Nothing you can do there but figure out a way to keep those payments in your budget.
At least living with your Mom you don't have housing expenses as well. I don't want to sound preachy, but if your Mom only makes $10.00/hr why would you expect her to help with your bills at all? She's putting a roof over your head at zero cost. If anything I hope you are helping her with bills. Her utilities cost more with you living there. You probably do your laundry there, do you buy laundry soap every now and then? Does she pay for cable TV that you watch? Please tell me she doesn't also feed you all the time without you pitching in for groceries.

1) I completely agree with you that the car is too expensive for me. The problem is that I am already 2 years into a 4.5 year loan. It's not a luxury car, just more expensive than I should have. it's a pre owned 2014 Hyundai Accent. It's small and good on gas. Two years ago when I was shopping for my first car it seemed like a really good idea.. I now see my stupidity. I bought the car for $12k with an 18% interest rate. Two years later and I still owe $9k for it. Problem is, when I KBB it it's only worth $5-6k. So selling it won't even cover what I still owe. I wouldn't even make enough of a profit to buy a cheap car. Do you have any experience with refinancing? I'm not sure if that's realistic with someone with my income and credit score, but I may try that. Any advice appreciated.

2) I agree the car insurance is expensive. But I promise I shopped around and Geico is the cheapest quote I could find. I've been with them since I was 16. I started out paying $485/month at 16 and now I'm down to $285. I don't have a horrible driving record or a luxury car. I think the insurance is just expensive overall in my area? I'm not sure why to be honest. I remember back when my mom had a car she would pay $200/month and she was an experienced drive (55 y/o at the time) and had a perfect driving record. Not a single ticket in her life, and that's what she paid. So $285 for a young driver doesn't seem that crazy in comparison. I think it's just the going rate.

Also, I live in an area where things are far away so transportation would be difficult without a car. It takes me 30-40 minutes of driving on the highway to get to school/work. My mother doesn't have her own car, she uses mine at night because she works the graveyard shift.

3) I should have clarified, $100 is what I pay for myself and my mother. I bought her a phone a few years ago and added her to my plan and have been paying for us both ever since. After reading everyone's comments here I think I will ask her if she can pay for half of it while I'm short for money for the next 4-6 months.

4) I do have the easy pay, its called SunPass here and it still costs my 0.78 cents each way to go to school. I don't have to pay to drive to work, but driving to school 5 days a week adds up. And my car does have good gas mileage actually, i just drive a crazy amount. I drive like 15,000 miles per year to get where I have to be. I put $20-25 in gas in my car weekly, I think that's better than average.

As for your last paragraph, I think you misunderstood the message I was trying to convey. When I said my mom only makes $10 an hour, it's because I wanted to convey that her paying for anything is NOT an option. Because when I have asked my friends for advice on this stuff the first thing people say is, "can't your mom help you out?" or "can your mom give you a loan?" and the answer to that is absolutely not. So I wrote that sentence in an effort to stop people from suggesting that as an option, not that I think she should pay for my bills. If that makes any sense. I pitch in where I can. However she understands that from January-May that won't really be possible.

I hope you can understand that I'm not trying to argue with your advice. I really appreciate that you even took the time to think about my situation and respond at all. But I don't feel that I can live with no car at all, and I'm not sure how to work out the financials of selling the car when I still owe so much on it. Do you see the problem there? With the details I've given you, do you have any advice about what I should do about the car situation?

If you were me, what would you do with the car? Now that you know I can't sell it for enough money to cover the loan.

Thank you in advance!

bluescrubs, ADN, ASN, RN · Oct 20, 2017

If you cannot get loans through FASFA try the bank. The interest rate will be higher but at least it'll take the stress off of worrying about how to pay for school now. When you go on break you can always work more hours and save up or use it to pay off some of the debt.

justSara · Oct 20, 2017

You only have $150 a month on credit card bills? I'm jealous.
Definitely work on the car. Do you live close enough to anything to Uber/Lyft? I live in the city and after my husbands car was totaled, we decided to go down to one and we'd take Lyft as needed- it's way cheaper (for us). Obviously not an option for everybody.
I'd also consider going to a flip phone if possible. Considerably cheaper than a smart phone- I admit, I went to school pre-smart phone, so I don't know if it's a necessity now. I keep thinking about how much I reaaallly need a smart phone, and truth is- I could probably do without and save so much.

Don't be jealous! I'm 21 years old and have $3600 in credit card debt, $2500 in student loan debt, and $9k in car loan debt. And I make $13.50 an hour working part-time. I started working when I was young and when I got a little bit of money in my hands (and the ability to sign up for credit cards) I didn't know how to save or spend wisely. I signed myself up for loans I shouldn't have and now I'm stuck between a rock and a hard place and trying to dig myself out of this debt. I feel like my best bet is to finish school so I can make more than double my salary and start paying stuff off. But to go to school, it costs more money! Haha

I don't live close enough to Lyft/Uber to work/school and public transportation isn't good here. I drive 30-40 minutes a day on the highway EACH way to get to school and work. Not to mention, my mom drives my car at night because she doesn't have one. She works the graveyard shift and can't use public transportation at those times of the night. So I don't see it being feasible to have NO car. But I definitely don't need a $350/month car.

I bought the car for $12k with an 18% interest rate. Two years later I still owe $9k on it. But the car's value is around $5-6k when I KBB it. So if I sell it, it wouldn't even be enough to cover the loan. What would you do with the car in my situation? Do you know anything about refinancing? I'm just not sure what to do here. Maybe there are options I don't know about.

Thanks for your comment by the way, I really appreciate you taking the time to leave it. Any advice is appreciated!

justSara · Oct 20, 2017

It's obvious that car expense is killing you.
If you didn't know that before, you can sure see it when you write it down.
Car's gotta go.
Did I mention, you can't afford that car?
If you like nice cars, treat yourself to a one when you graduate. I bought a brand new Jeep Wrangler as my first present to myself when I got my first RN job. I previously had a Ford Pinto. Yeah, ya gotta make sacrifices!

Yeah, the car's gotta go but I don't know how to get it gone!

I don't like nice cars. But at 19 I liked a car that was out of my price range, and at the time I believed I could afford it. I bought a pre owned 2014 Hyundai Accent for $12k with an 18% interest rate. I didn't know the first thing about car buying, I went in blind. The car was probably overpriced when I bought it. In hindsight, I would have gotten a much older car that was only $3-5k so I could have either bought it out right or paid it off quickly.

But I didn't to that, I made a bad decision and now I think I'm stuck. Still owe $9k on the car and it's only valued at $6-5k. Which means if I sell it I won't even cover the loan. Not to mention, I'll make no money to buy a cheaper car. So what does one do when they've gotten themselves into this situation? Any advice is appreciated.

Thanks for taking the time to comment.

justSara · Oct 20, 2017

If you cannot get loans through FASFA try the bank. The interest rate will be higher but at least it'll take the stress off of worrying about how to pay for school now. When you go on break you can always work more hours and save up or use it to pay off some of the debt.

I've been wondering about that. It would only be needed for one semester. I'll have fafsa back for the summer term. Have you ever taken a private loan? Anyone you would recommend?

I'm just worried because I had a good credit score but recently I've put on more credit card debt and it would now be considered average at best. Probably not even average. And as a student I don't have a good solid annual income, and no one available to cosign. My family has horrible credit.

If you could tell me anything you know about private loans are appreciated. If you have any experience with all of that.

lady8506 · Oct 20, 2017

Let's see if I can help:

1. sell your car, buy something cheaper. I agree with everyone else when I say you are spending way too much on a vehicle. If public transportation is a feasible option, then how bad do you want to be a nurse? Can you deal with no car for a few years, just until you get through school?

2. Phone bill: go with a cheaper provider. I am with Boost Mobile and my monthly cost is $40

3. Credit cards: Call the companies and/or banks you have the cards with. Tell them you are having financial difficulties and are unable to meet expenses. If the card is with your bank, you would probably speak to a Personal Financial Advisor. If the card is with a company and the company won't help you directly, they may refer you to a debt management company. One such reputable AND non-profit debt management company is Debt & Credit Counseling: Money Management International. If you go with a debt management company, it is important to pick one that is non-profit so you aren't paying hefty fees out to them. Money Management and your bank will ask you to give them a run down of your monthly bills vs. your income, so whatever you tell them, make it look as if you make a little less than you owe each month. Exaggerate your gas and grocery amounts if you have to.

3. Your car insurance is way too high. Try shopping around. Try calling the Insurance Doctor and see if they can find you a cheaper plan.

4. Start a gofundme.com page and spread the word that you need any help you can get.

5. Apply for private student loans if you can. Your bank probably has a list of these. If not, check online and make sure whoever you are going to borrow from is reputable and has low rates.

Hope everything I've said helps. You can also make more money driving for Uber. Just sign up, take a photo of your documents and start driving. I put myself through college cleaning houses on my own with a base rate of $35 an hour. I was supporting myself and my child with this income and sometimes it was very difficult because classes often interfered with my ability to work. Luckily, I was able to accept more in student loans than I needed. Of course, I have to pay that all back, but I still wouldn't have gotten my bachelor's without it.

lady8506 · Oct 20, 2017

Try to refinance your car through your bank or someone else. At one time in my life, I had bought a car and it was originally financed through Wells Fargo, but a year later I went shopping around and my bank offered me a better deal if I refinanced the car with them. So I did.

bluescrubs, ADN, ASN, RN · Oct 20, 2017

I've been wondering about that. It would only be needed for one semester. I'll have fafsa back for the summer term. Have you ever taken a private loan? Anyone you would recommend?
I'm just worried because I had a good credit score but recently I've put on more credit card debt and it would now be considered average at best. Probably not even average. And as a student I don't have a good solid annual income, and no one available to cosign. My family has horrible credit.
If you could tell me anything you know about private loans are appreciated. If you have any experience with all of that.

Me and you actually make the same amount hourly lol. I understand the struggles, all my money goes to school since I have a bachelors I don't receive any grands. Right now I pay everything on the credit card and then just make the payments every time I get paid. God willing if I get into the program in spring Ill stop working because the bank I work at say I cannot work less than 20 hours. I would suggest shopping around for interest rates and try to get loans that charges interested AFTER you are done with school. Don't go to alot of banks and let them run your credit. That will make it go down more every time you run it. Give them a ball park of your score and they can give you an estimate. Usually you can check it for free online through your bank.

Apple-Core, ASN, BSN, RN · Oct 21, 2017

I would sell the car and either buy a much cheaper one, a bike, a bicycle, or use public transport. Second, I would switch phone company. I use Boost, $35/month for an iPhone. Data is limited, but that'd save you over $50/month. Gas and tolls are set if you get another (cheaper) car, as is credit-card debt unless you shop around and consolidate your debt using an interest free card deal.

I would be applying for every scholarship available too.

Good luck!

Apple-Core, ASN, BSN, RN · Oct 21, 2017

Is it at all possible to step away from college for a year or two to get yourself back on our feet financially? You don't need me to tell you that you've been diddled on the car "deal". Let's assume it's a 5 year loan, that's $21,000 you'll pay back, and that doesn't include your down-payment either. You're still young enough to put everything on hold and go crazy paying of bills. Make double payments on your car and credit cards, and reduce all other expenses as far as you can. Get down to a manageable amount (or better yet, a zero amount!) and then reconsider school.

Mergirlc, MSN, APRN, NP · Oct 21, 2017

First of all, I'm just going to say I agree w/ Union-jack above.

I balked at the price you're paying for your car and insurance. I know you have to pay for full insurance coverage while you're making payments because the bank requires it (financed new car). Unfortunately, there's nothing you can do about the insurance beside just shop around and see if anybody else offers a better rate.

Have you ever thought of just having the car repossessed? You've only paid $3000 so far so, yes, it would be a loss. They may also tack on other fees laterâ€¦â€¦I don't really know as I've never had to do this. Still you won't be paying the $21000 as Union-jack mentioned. I know it will affect your credit score in the future, but if you're really hell-bent on attending school, this might be a way out. Not the best way, but a way. Then you can turn around and buy a USED, OLD, WORKING car (no loan-pay cash!), which will have way cheaper insurance because you own the car.

The phone bill you can cut way down. I have TMOBILE and they have pay as you go/simply prepaid plans starting at $35 per line, last I checked. I currently pay $40/month. I don't know if your mom is 55 or older, but they had a plan where you can get 2 lines for $60/month for those 55 or older! Unlimited talk and text and LTE data. Try to look them up online and/or call them. The only thing is your mom (if she's 55) would have to put the phones under her name, but I'm sure you can still pay the bill with your credit card.

Those are my tips, but I'm going to be straight up with you. Please don't take this as me being a jerk or meanâ€¦â€¦..I'm just trying to be truthful. I just don't think you're ready to take this whole nursing school thing on financially. As you stated, a loan is out of the question and that's what you need as it would be your only saving grace.

Think of it this way, you'll be going through this intense training program and the whole time you're going to be worrying and stressed out about how to pay this and that? Financial stress is real. I know it's difficult to be accepted into nursing school, but perhaps this is just a "sign" to take a step back and delay it a bit? I honestly think you need to focus to get this financial quagmire you're in out of the way, or at least reduce it before you're ready to take on more debt for nursing school.

Tajin · Oct 21, 2017

Like others have said you need to ditch that car. If you ABSOLUTELY need money then I'd suggest buying an older used salvage title car and just getting half coverage auto insurance (I believe it's called liability only?). You'll be fine assuming you're a safe driver. My cousin just purchased a 2008 honda civic with roughly 130k miles for $4000. He'll probably put another 70k on the car and still be okay as Civics are pretty reliable.