StateUniversity Blog

Default Prevention: Understanding the Consequences of Defaulting on Federal Student Loans

Tue, 30 Jun 2009 00:00:00 GMT

In my previous articles, I discussed the options a student or graduate has when faced with large student loan payments and the inability to comply with standard repayment. I felt it best not to stop there but discuss the very real and serious consequences of defaulting on student loans.

This all came to me as I learned of a loved one’s pressing circumstance of a gargantuan monthly student loan bill and an extremely low-paying job. While he is working to exhaust all options, the pressures of payment are still animate as he waits for repayment alternative approval.

Whether he has the money or not, the payments are still due. Whether or not the lender knows of his situation, a missed payment is still a strike against him. If you are in a similar circumstance or simply feel that it’s “no big deal,” allow the following information to enlighten or perhaps motivate you.

Consequences of Defaulting on Student Loans

The following was retrieved directly from the U.S. Department of Education, Federal Student Aid Collections Guide:

After 270 days, the loan is delinquent.

In the course of delinquency, “due diligence” is made in efforts to collect on the loan. If unsuccessful, the lender will place the loan in default, and it will go on to a guaranty agency in the debtor’s state.

The defaulted loan may be “accelerated” wherein the complete balance of the loan is due in a single payment.

Typical loan recovery procedures are as follows:

Any tax refunds or payments can be authorized by law to apply to the outstanding loan balance.

While in collection, the defaulted loan can accrue collection costs and/or agency fees increasing the overall outstanding balance.

Administrative Wage Garnishment of 15% can be deducted from debtor’s salary and applied toward outstanding loan balance.

Legal action may be imposed.

Credit agencies will be notified and the debtor will be subjected to credit damage.

Debtor will become ineligible for alternative payment options such as deferment or forbearance and will not be able to qualify for future student aid.

If you have already gone into default, there are still yet options for you. Repaying Loans in Default

Default Prevention: Understanding Deferment, Forbearance and Loan Consolidation

Mon, 29 Jun 2009 00:00:00 GMT

As I mentioned previously, lenders tend to be more flexible than not when it comes to arranging alternative means of loan repayment. Understanding lending terms and how each option works will benefit you in your search for loan payment relief if you are unable to commit to standard loan repayment.

Additional Loan Repayment Options

In addition to repayment programs, a borrower may choose to apply for loan deferment, loan forbearance or loan consolidation. Below is a brief description and a list of common eligibility requirements.

Loan Consolidation

Loan consolidation is a wise initial step that enables the borrower to merge all loans under one lending company making the loan payments one monthly bill, it may allow interest adjustment, and can extend the loan over a longer period of time, lessening the amount of each monthly payment.

Loan Consolidation Calculator (American Education Services)

Loan Deferment

Loan deferment is when the lender allows the borrower the ability to temporarily freeze for a period of time the payment obligation of the loan based upon pre-determined events or circumstances:

Unemployment or working less than 30 hours per week
Enrolled in school half time or full time
Involvement in education activity such as an internship or residency
Economic hardship
Service in either the military or National Guard

Loan Forbearance

Loan forbearance, an alternative option to loan deferment, works in similar ways. Under forbearance, the lender may allow the borrower to suspend payments based on certain events or life circumstances as in deferment; however, the borrower is still responsible for paying interest. Forbearance should always be a secondary option to deferment. Qualifying circumstances may include:

Temporary Hardship
National / Community Service
Internship/Residency
Student Loan Repayment Program
Economic Hardship

As with any alternative repayment plan, it is important to discuss with your lender which option is best for your circumstance and which option is most likely available to you. Remember that any delay in the repayment of your loan will lessen the load for you currently, but will end up costing you more money in the future. Do your research and make educated decisions when it comes to loan repayment alternatives.

Default Prevention: Understanding Your Student Loan Repayment Options

Sun, 28 Jun 2009 00:00:00 GMT

Comparatively speaking, the pressures of college life and its level of responsibility when paired with the pressures of the working world are rather dulcet. Reality never seems to hit more bitterly when a graduate is faced with the combination of an unforgiving job market and the black cloud of astronomical college loan payments looming on the horizon.

This reality is not too far off for one recent college grad I know who graduated with almost $100,000 in student loan debt and a degree only worthy of a near collapsed industry. While other possible employment opportunities came up void, the discouraged graduate found himself six months later pushing carts at Wal-Mart for a meager $7.75 an hour and owing a lender $1,125 per month on his student loans, an amount that entirely exceeded even his gross income for a full month of work.

If you are a graduate who is being confronted by this type of circumstance, it is best to understand your options. Unfortunately, defaulting on your student loans is NOT an action that will be easy to correct in the future nor does it benefit the lender. Most lenders will be inclined to work out some sort of arrangement. Here are some options:

Loan Repayment Alternatives

If your payment does not fit into your monthly budget, your next step is to discuss with your lender other repayment possibilities.

Income Sensitive Repayment

The Income Sensitive Repayment program (ISR) is an option available to those who received loans through the Federal Family Education Loan Program (FFEL). The purpose of this repayment resource is to allow low-income borrowers the ease of loan remittance by lowering monthly payments based upon a fixed percentage of the borrower’s gross monthly income. However, the monthly payment must be greater than or of equal value to the amount of interest accumulated.

Borrowers must apply for ISR on an annual basis, providing proof of income, W-2’s, etc., based upon specific lender requirements. Typically, there is a 10-year limit to an Income Sensitive Repayment arrangement. After which, the remaining interest is applied, and the payments increase to compensate for the staved portion of the balance.

Income Contingent Repayment

The Income Contingent Repayment (ICR) plan is similar to the above ISR plan as its purpose is to accommodate borrowers pursuing low-income employment such as public service by lowering monthly payments. However, ICR is only made available through the U.S. Department of Education and excludes all loans through banks and private organization as well as FFEL loans (government insured loans).

Monthly payments are calculated based upon the borrowers income, family size and the total amount borrowed. The maximum life of repayment under this plan extends to 25 years. After that time, any remaining debt is forgiven and made as taxable income. Additionally, interest that isn’t covered by the low monthly payment is capitalized or added to the principal each year; however, interest capitalization is capped at 10%.

Income-based Repayment

Like the Income Sensitive and Income Contingent Repayment plans, the Income-based Repayment (IBR) plan is designed to lower monthly payments for students with lower salaried jobs by capping the monthly payments equal or under 10% of the loan holder’s monthly gross income. Lower payments are calculated based upon the borrowers income and family size and are adjusted annually on those components. Loan forgiveness for the remainder of the loan balance can also be offered to those who have made 300 or more qualifying payments on or after July 1, 2009.

The Income-based Repayment plan is only available to those who received funding from government loan programs such as Stafford, Grad PLUS, and consolidation loans. Loans through the Direct Loan Programs and the Federal Family Education Loan Program are also available to receive IBR privileges. NOTE: Parent PLUS and consolidated Parent PLUS are not eligible as well as loans from the Perkins program and private institutions. However, consolidated Perkins loans are eligible to receive IBR benefits.

Graduated Repayment Schedule

The Graduated Repayment Schedule is a benefit that lenders provide to the loan holder under the premise that when the graduate advances in their occupation, he or she will earn initially a modest salary and then build into a higher salary over a period of time. Therefore, the loan repayment schedule begins with lower payments, mainly interest, and payments increase as the life of the loan continues.

More Resources from Student Aid.gov

College Internships with a Price Tag

Sat, 20 Jun 2009 00:00:00 GMT

In today’s society, it seems as if everything comes with a price. College internships have spawned now a new industry. With the supply of jobs steadily decreasing and their demand on the rise, companies, charities, and other various organizations have found that a pretty penny can be made from willing and eager parents who want their child to experience the best possible opportunities in the job market.

Internship Placement Programs and Consulting Programs

Companies such as University of Dreams provide services to students to help them be placed in unpaid and highly sought-after eight-week summer internship programs. These companies work as an agent to the student, assisting with resumes and then placing them into a matchable internship position. For these services, the cost is significant, ranging from $5,000 to nearly $9,000, depending upon the position.

Other companies like Fast Track Internships work as consultants to the student. They assist with finding internship programs that would be the best fit at a company that doesn’t have conventional internships. (This eliminates the competition considerably.) Fast Track will produce a stack of resumes and cover letters with marked, stamped envelopes for the student to mail. The price tag: $800-$1,000.

The benefit to paying this sort of money for an internship position is that placement is almost 100% guaranteed or your money back. If parents or students can muster up the funds, opportunity may be waiting around the corner.

Internship for Charity

In a recent Wall Street article, it was reported that charity organizations are auctioning off student internships. CharityFolks.com is just one of the many charity groups that offers a plethora of internships to be bid upon such as a paid semester-long position at the New York Stock Exchange, starting bid at $3,000; a summer internship at Warner Music Group’s Atlantic Records in Los Angeles, starting bid at $1,500; a one week internship with the casting director of LOST, starting bid at $1,600, and the list goes on.

Other charitable groups are also on the bandwagon. The Irvington Institute for Immunological Research auctioned three internships at Deutch, an advertising company, with the highest bid ending at $5,500. The Cosmetic Executive Women Foundation auctioned off a four-week unpaid internship in publishing at In Style Magazine. The position went for $1,000. (WSJ)

Internships With a Price: Right or Wrong?

So many criticisms have surrounded this practice. The foremost concern is that, soon, better opportunity will only be available to the more affluent students who will be able to pay for the better internship positions. If companies can make money off of selling internships, more companies will follow suit, leaving the less fortunate to squander their education by working at an entry-level, $10 an hour job because no other employment was available. However, others oppose that view saying that middle-class parents who are determined to see their child receive the best possible opportunity will do what they can to raise the money.

Other critics have voiced their irritation over this trend given that most universities offer career placement services for free, assisting students with the same level of opportunities. Students should be utilizing free resources than spending thousands of dollars.

Value of an Internship

So is paying for an internship right or wrong? Neither. The student should assess the real value of an internship and how it can propel them into the job market. Internships do not guarantee employment, and their value is only measured in possibilities. Placing a dollar amount on an unpaid internship position is a gamble, inasmuch, that you’re paying simply for a hope.

Not to be misunderstood, internships can prove to be useful, but ask yourself: to what extent is their worth?

The Recent Fall of College Endowments and Its Impact on Students

Fri, 19 Jun 2009 00:00:00 GMT

For years, colleges have operated with the cushion of sizable endowments reaching into the billions from various donors for several specific purposes. These endowments or donations are fashioned and invested for a prescribed period of time only to be used up in percentages with the principal untouched. By investing these funds, universities are able to supplement operating budget costs and costs not afforded by the tax-base income.

Endowment spending covers anything from portions of faculty salaries and student scholarships to construction projects on campus. On average, universities, large and small, spend between 4.6% and 5% of their endowment assets each year. (National Association of College and University Business Officers and Commonfund Inc.)

Given the sharp, treacherous economic decline, college endowments have seen the biggest drop since 1974. (WSJ) According to the Wall Street Journal, “investment losses of at least $94.5 billion” have pummeled institutional pocket-books. (National Association of College and University Business Officers and Commonfund Inc.)

As far removed as this may sound to a student, the affects of this pecuniary drought can impact students in different ways:

Faculty Lay-Offs

Universities will be forced to either lay off faculty or enact hiring freezes. More sought after professors will be inclined to seek employment at wealthier schools, and there will be limited staff per department.

Higher Student to Professor Ratio

With lay-offs and hiring freezes creating a shortage in staff, classroom sizes will increase. This piece pours directly into most college ranking systems. A low student to staff ratio is more attractive on paper, not to mention a large classroom limits the possibility for student/professor relationships.

Decline in Campus Maintenance and Construction

Many schools have made known recently their intentions to pare down any plans for construction projects. Constant growth and refurbishing are apart of the appeal and essential for the progressing times and needs for each campus.

Scholarship Funds Dry Up

Scholarships and fellowships for grad students also make up endowment spending. Some experts predict that endowment spending will increase, thus drying up money pools.

The danger to panic-induced spending is that it comes near the edge of tapping into reserves that may be allotted for other specific purposes such as student scholarships. Students need financial assistance now more than ever; however, the probability of receiving a scholarship if endowment spending increases will lessen.

Conclusion

With economic down-turn, it’s only a matter of time until its abysmal affects trickle into the lives of the common citizen. If you are a student intended for higher education, now is the time to become aware of the current happenings in the world and government. Arm yourself with knowledge so that you can be better prepared for a future that might just be precarious at best.

An important stimulus for our country’s economy is a growing number of a highly educated citizens who can pour into a free market and work to maintain our freedoms and lifestyles.

The College Application Process: What You Need To Know

Thu, 18 Jun 2009 00:00:00 GMT

So you want to go to college, but the process to apply seems way too overwhelming. You picture piles of confusing forms and documents and no understanding of how to even begin.

The college application process is exactly that: a process, a series of steps, and there is a lot to know:

Step 1: Find Your Schools of Choice

When graduating from high school or even for a student entering out of community college, it is not necessarily apparent to him which field he would want to major in as this may seem a low priority item to consider. However, taking the time to think about and research a possible major of interest can streamline the first step in the application process.

Step 2: Begin With Narrowing the List

There are hundreds of colleges, institutes and universities nationwide and worldwide, each offering a variety of majors or fields of study. Some schools have a stronger emphasis on one particular field than the next. Choosing a selection of schools that would fit your personal preference, i.e., small schools vs. large schools, religious schools vs. non-religious schools and academic preference or schools that have stronger programs in a specific field of study, i.e., vocational, business or engineering, will help you narrow your selection when applying. (NOTE: There should be at least 3-4 schools on your list.)

Step 3: Research and Compare – How Are Your Choices Ranked Among the Rest?

Since June of 2007, colleges have been ranked through studies via peer or reputational surveys. The results of these surveys are based on subjective data from faculty, highbrows and students. Resources such as U.S. News and World Report offer comprehensive listings of rankings for each school. This can assist in determining which school would be the better choice for weightier job potential in the future.

Step 4: Plan a Visit

Campuses can appear very different through the view of your computer screen or a brochure. One highly recommended action to take in the narrowing your choices is visiting the campus in order to get a feel for the facilities themselves. If you are interested in attending a school out-of-state, adapting to the weather is another factor to consider. While the school’s academic reputation might be exemplary when matched to your standards, the facilities and campus life could be very much sub-par and enough so to strike it off your list.

Step 5: Fill Out the Paperwork

Most colleges require the completion of an application that may include academic data (high school transcripts), personal essays, listings of extracurricular involvement, and letters of recommendation. SAT or ACT scores may also be included in the application; however, they are not mandatory for some schools.

Deadlines for the applications are usually January 1st; however, a substantial amount of colleges and universities offer early action and early decision programs, wherein, the student can apply at the end of October or early November and receive response from the school sometime mid-December as opposed to spring with regular applications.

If you are applying to a school that yields a larger number of applicants, you may want to consider applying via the rolling admission program. This program is generally offered by schools with many applicants and will allow you to apply any time between the fall and spring and receive the results a few weeks later. This is more a “first applied, first selected” type of applicant system.

NOTE: Keep in mind, enrollment is binding if you choose to apply and are selected under the criterion of an early decision application process, and most often, you are required to apply only to one school. (Early action programs do not elicit such stipulations, but still allow for early submission and results.)

Step 6: Funding through FASFA

As the admissions office of your prospective school evaluates your application, they will also determine whether or not you will qualify for financial assistance through grants or loans. Only a small percentage of students accepted to schools nationwide are awarded full tuition grants. Most students receive a portion or none depending on the school’s formulaic or subjective evaluation to the application. Therefore, any student wishing to apply for financial assistance must begin the process of completing the Free Application for Federal Student Aid or FASFA.

This application is filled out by the student and on some occasions the student’s parents and is made up of questions pertaining to the financial status of the student and family contributing to tuition expenses. It is best to complete this application as soon as possible to ensure a better position for funding as loans are given on a first-come, first-served basis.

Step 7: Wait and Decide

There are several possible outcomes that will occur out of your application submission: acceptance, rejection, or wait-listing. Once you have received your response, it is then your decision to follow through with enrollment or continue to seek out other schools. Be diligent and thorough about the deadlines and details, and remember that the sooner you apply, the sooner the results. Best of luck!

University of Chicago Forms First Male Advocacy Group, Men in Power

Tue, 02 Jun 2009 00:00:00 GMT

For over a century, the battle of the sexes has driven much political controversy. The power that men held over western culture and society centuries ago and thus the suffrage and oppression of women, provoked several waves of liberation crusades of culture versus legislature. Women’s efforts through these feminist movements over the last century to gain not just cultural equality but clout and respectability, has made a deep impact in today’s society, so much so that some believe men’s vitality in the workplace and higher education may be in jeopardy.

Men in Power

Steve Salterelli, a third-year student attending the University of Chicago, feels so strongly about an overall decline in “manly fortitude,” he has formed a group called Men in Power, a men’s advocacy group and the first of its kind to ever be formed at the University. Salterelli and a group of several other students, including a woman, who is the group’s Director of Outreach, believe that “true equality means groups that advocate for men as well as women.”

Troubled by the shrinking number of men to gain bachelor’s degrees (100 for every 135 gained by women) and master’s degrees (100 for every 150 gained by women) and men’s general display of reluctancy when it comes to pursuing alumni networking support, Salterelli felt it beneficial to create an outlet where men could learn how to feel comfortable engaging opportunity as opposed to shirking it.

In an article by the Chicago Tribune entitled ‘Power’ Move by Male Students Ruffles U. of C., the writer states, “Saltarelli hopes Men in Power will help more men get ahead while raising awareness of the male experience.” “If we have good men in our society, everyone benefits,” he said." 

While the name “Men in Power” has earned some misogynistic assertions, it is important to understand that the goals, purpose, and mission of Salterelli’s new campus group do not promote any suggestion of sexism.

“Basically, Men in Power at the University of Chicago will serve as the flagship organization for a national group of the same name, working to spread awareness and promote understanding of issues and challenges facing men today,” Salterelli wrote in the Chicago Maroon. “I assure you, however, that the group would not be against or in any way attempt to inhibit the advancement of women. We would simply advocate for men in the same manner that female groups advocate for women,” he continued to write.

Salterelli discussed in interviews with Fox News and the NPR, the concerns for men in their roles and responsibilities of today come as statistics show men falling behind on education, having a higher depression/suicide rate and being more prone to substance abuse than women. Men have suffered a higher percentage of unemployment in the current recession and account for more of the homeless population. In other words, today’s society is breeding a population of dysfunctional, emasculate men.

Based upon these facts, Salterelli feels providing college-age men and even school-age boys (Little Men in Power) resources and pre-professional platforms is a start in aiding and building men to be better, more effective leaders in the future.

Campus Gossip Sites: "Fun-Loving Entertainment" or Realm of Hate Rhetoric

Thu, 28 May 2009 00:00:00 GMT

Gossip. Most people, including myself, are guilty of speaking some form of it; all have been the object of gossip to some degree, but I have often wondered from where within our souls or conscience is the compulsion to slander, defame, hurt, and possibly destroy the reputations of even our closest friends and relatives, much less our enemies. Is it vengeance, jealousy, bitterness, anger, or for some sick form of entertainment? And what lasting reward could conceivably come from such intolerable actions against our peers?

The answer: Choosing wrong is easy. We are innately predisposed to unload our trunk of dirt at any opportunity we can, whether we have intentions to harm or not. Don’t believe me? Consult the internet.

Campus Gossip Sites

JuicyCampus.com, a website that allowed students the ability to freely and anonymously post rants, gossip, slanderous hearsay, and potentially harmful threats all under the umbrella of “fun-loving entertainment”, as JuicyCampus’ creator Matt Ivester described, poisonously reigned over the college internet waves for a short period of time. Its content instigated enough frustration from students (victimized or not) on these campuses that some groups, particularly at Pepperdine University, began to speak out against this type of website calling for administrators to ban its use.

While university administrations could only control internet use within the campus, there was no means to control students’ use of this site off campus. However, the majority of students, sickened by the abuse that propagated from JuicyCampus, encouraged one another to abandon usage on the site, and as of February 5, 2009, JuicyCampus.com was curtailed for economic reasons.

Since February, the month of demise for JuicyCampus.com, a new generation of gossip sites have emerged, sites such as ACB.com (Anonymous Confession Board), CollegeTrashTalk.com, CampusGossip.com. Students can still anonymously post anything from others sexual exploits, secrets, etc., without little accountability or threat of libel repercussions. Thus, the blathering thread of lies and damaging behavior continues.

Dangers of Gossip and Slander

Unfortunately, since gossip sites protect the gossiper, there is seemingly no direct consequence to those participating in the slander, and thus, no motivation to choose right. It boils down simply to a matter of conscience, and since so many have suppressed their conscience by continually taking down moral boundaries, there seems no way to enlighten those guilty of partaking in gossip threads to the danger of their actions.

Slander can isolate and destroy its victim whether that which is spoken is true or not. It is a form of hate; hate rhetoric has been synonymous with murder. That is the level of brutality you are imposing on the life and emotional state of a peer when you subject them to slanderous gossip whether on a website or through word of mouth.

If you involve yourself in the activity of habitual gossip, you will never understand the weight of your ways until you yourself have become victimized. If you actively participate in gossip sites, choose right and stop.

Gov. Schwarzenegger Proposes Cal Grant Withdrawal

Wed, 27 May 2009 00:00:00 GMT

Advocates for student-aid were rendered speechless Thursday when the governor announced his proposed intentions to slash Cal Grants, the state’s main student aid program. Hundreds of thousands of California resident students rely on monies tied into this program, and if it is eliminated, thousands of students across the state would feel the burden of university expenses especially in light of recent fee and tuition increases that the state university systems made to account for the latest Schwarzeneggar-imposed budget cuts.

“The governor’s proposal would eliminate the 77,000 new grants awarded each year at a cost of $180 million, but that savings would eventually grow to more than $900 million as students graduated and the program was phased out." LA Times

Cal Grants are regulated by the California Student Aid Commission and funded by the state. A qualifying student enrolling in any California college, university, technical or career school can receive up $9,700 per academic year to assist in college-related expenses—tuition, housing, books and supplies, depending on the type of Cal Grant awarded. These grants are considered free money, and repayment is not required.

The purpose of the Cal Grant is to increase the number of financially underprivileged college-attending students. Statistics found in a 2007 Public Policy Institute of California Statewide Survey noted 60% of Californians believe cost is the biggest motivator when it comes to pursuing college. Seemingly, the possibility of less enrollment among low and middle income students would be imminent should the Cal Grant program be withdrawn.

California Community Colleges Hardest Hit

Community colleges would see the biggest loss in student enrollment, being that 64% of California undergraduates attend community colleges, including low-income students, and 58% of students who attend community colleges in California are eligible for a Cal Grant. (TICAS)

Findings from an analysis done by the Institute for College Access and Success suggests, “the budget proposal currently under consideration finds that it would cut new grants to community college students by 45 percent – or about 18,500 students – this fall. In addition, 700 eligible students at the University of California (UC) would be denied a Cal Grant; 2,000 in the California State University (CSU) system; 1,200 at private nonprofit colleges; and 3,000 at for-profit career colleges. But the proposed cut will hit community college students hardest: 73 percent of the students who will be denied a new Cal Grant attend community colleges.”

The report also stated, “Eligible students at community college are less likely to receive Cal Grants than in any other sector, because they are more likely to apply in the competitive pool, which is already underfunded.”

Undoubtedly the state’s rampant budget cutting for purposes of closing the ballooning deficit will take its toll on the people of California and particularly on those who are of less opportunity. Turning a blind eye to the importance of education by augmenting financial deterrents to those who would otherwise not choose to attend is simply impolitic and could reap serious consequences for the future of the state.

“Difficult economic times require a deepened investment in education and workforce development – not cuts to this low-cost, high-impact grant program.” (TICAS)

Apple iPhone: NOT a College Requirement

Wed, 27 May 2009 00:00:00 GMT

Word has it that for incoming freshmen journalism and pre-journalism students at the University of Missouri School of Journalism this Fall semester, each will have in their hand an Apple iPhone, whether they want one or not.

Several internet news sites have reported in their heading that the University of Missouri has made the purchase of an Apple iPhone a requirement for students this next year, which is, in fact, misleading.

Headings such as “New College Requirement: iPhone” of the HeraldNet, Washington and “University of Missouri Requires Students to Buy iPhone” published by College News.com are not accurate assessments.

A website entitled, “FindMySoft.com” also stated in a May 2009 article, “It has now come to light that the iPhone is such a useful piece of technology that it is a requirement for college students – not all of them, just the ones attending the University of Missouri School of Journalism.”

Despite the confusion, according to the school’s website, the iPhone is NOT actually a requirement. The Missouri Journalism Undergraduate Program is now requiring that students have a Web-enabled audio-video player, specifying the Apple iPod Touch, a significantly cheaper product compared to the iPhone, as the more capable piece of technology to fulfill classroom needs.

“Effective with the Fall 2009 semester, incoming freshmen journalism and pre-journalism students are required to have a Web-enabled audio-video player. This requirement is best met by purchasing the Apple iPod Touch, which has all the features the Missouri School of Journalism intends to implement to achieve its academic objectives and those of its students.”

“The iPhone, although more expensive, fulfills the requirement as it will do anything the iPod Touch can do. TigerTech, MU’s computer store, is making the iPhone available as an option to fulfill the requirement. However, an iPhone is not required.” University of Missouri School of Journalism

The significant difference between the two is cost. The Apple iPhone itself runs approximately $450.00 at retail value, almost double the iPod Touch, which costs around $229.00. (Apple.com) The iPhone also comes affixed with a monthly fee for AT&T wireless service that you have to get in order for the phone to be operational. This can be much more of a burden for a student that is already locked into a competing wireless plan, and thanks to an exaggerated media spin, potentially generating a bit of agitation among already financially tapped students.

If you are a student planning to enter into the University of Missouri School of Journalism and the requirement of an Apple iPod Touch or comparable Web-enabled A/V player effects you, fear not. Making it a requirement effectuates financial aid to cover the costs! Who doesn’t want an Apple iPod Touch?