Student Loans and Life

I have hardly posted because I don’t even know who is reading, but let me say this… I am suddenly scared to death that my academic life is about to come to a screeching halt.  This may be overblown, but I’m thinking it’s probably not.  I realize I am financially incompetent, but here it goes.

As an adult student, I attended a private academic institution for one academic year, leaving after finding it completely unaffordable.  I have since transfered to a state school, and although this is much cheaper (10k per year as opposed to 28k), I still have had to take out “student loans”, particularly Stafford loans.  My state’s loan authority yesterday announced that they cannot back this for next year due to the collapse of the economy, and will not have Stafford loans available for the Fall.  Holy crap!!!!

Today, Sallie Mae has said that they are in the same boat, and are losing money left and right, and can’t afford to give out more loans. I think the term they used was “train wreck.”  I think we are in big trouble.  If I don’t finish next year and graduate, the chances of me REPAYING the loans I already have is close to zero.  And I thought recessions only affected the wealthy.