Letters: Student loans, debt and SUNY

The editorial "We need a new college try" [May 20] addresses student debt and offers several creative solutions: Colleges should use technology to teach at lower costs, families should be able to lock in tuition costs at today's prices, students should choose majors that have marketplace value. However, there is another possible solution that involves revamping the system of college acceptance.

Students are accepted into colleges primarily based on grades and talent. SUNY colleges, like most, first accept the brightest students with the most potential. Most financially savvy parents consider the SUNY system in the first go-round. Therefore, college seats in SUNY schools usually fill up fast.

SUNY's acceptance method needs to include economic need. Consider two students applying to a SUNY university. Student A has a 90 average and parents with an estimated combined income of $500,000. Student B has an 85 average (or less), and parents with an estimated combined income of $120,000. It is likely that Student A will be accepted, and Student B may be forced to apply to a more expensive, more unaffordable, private school. Student B will have to take out a student loan and be saddled with the burden of debt upon graduation.

In today's depressed economic times, maybe the SUNY system needs to rethink its role. Maybe these colleges should focus on students who cannot afford expensive colleges, not just on higher high school grades or SAT and ACT scores. Perhaps there should be a cutoff for families whose income exceeds the acceptable amount for new entrants.

In other words, a student from a wealthy family should not take up a spot of a student from a middle-class family.

Elysa Parker, North Woodmere
 

Newsday states that college students could avoid "some debt" by choosing a SUNY school over a "mediocre" private school.

The student loan borrowing limits set by the federal government are $5,500 for freshman year, $6,500 for sophomore year, and $7,500 for both the junior and senior years. The aggregate federal loans for the student would be $27,000 at either a private or a SUNY school for four years, although one may also borrow outside of the federal student loan system.

Even though we "are blessed with the bargain SUNY system," many students seeking a four-year college program simply do not have the competitive high school scores to be admitted to a SUNY school. Rejection rates for the SUNYs are higher than ever. Perhaps Albany can increase funding to expand enrollment capacity at SUNY.

There also should be a push in Washington to reduce the rates of interest on both the direct Stafford loan and the Parent Plus loan. The rate of interest of the direct Stafford will revert to 6.8 percent on July 1, if Congress does not act to keep it at 3.4 percent. The Plus loan rate is 7.9 percent. Both have origination fees as well.

The prime rate is currently below 4 percent. Students and parents could save thousands of dollars if the rates of interest were adjusted to reflect the current interest-rate environment.

Myron Feinberg, East Northport