Check out this latest question we received through our Ask the Expert tool from Lynette, a concerned mother:

My daughter just received an application for a Stafford loan and they told her she would need to find the financial institution number and find her own lender. How do we go about that? She banks with Wells Fargo and would like to do the student loan with you.

A question like Lynette's is becoming more common these days. Many college and university Financial Aid Offices have moved away from recommending specific lenders, so often students and parents need to do the research on their own.

Once you've completed your FAFSA  (Free Application for Federal Student Aid) and decided on a lender, the actual application process can seem daunting — but it doesn't need to be. A good place to start is this step-by-step guide that outlines exactly what you need to do to choose Wells Fargo as your Federal Stafford Loan lender and begin the application process.

Here are the basics:

1. Let your school know that you want Wells Fargo to be your lender. You'll probably be asked to provide a lender code. Wells Fargo's lender code is 807176 (in all states except Utah, where our lender code is 813894).

2. Ask your school's Financial Aid Office if they have a preferred application process (some schools do).

3. Most likely, your school will tell you to apply online for a Wells Fargo loan.

4. If at any point in the process you need help, call our student loan center at 1-800-658-3567.

It's really pretty simple — and we're here for questions along the way!

BTW, whenever I see the Wells Fargo lender code, the classic 80s song "867-5309/Jenny"  by Tommy Tutone immediately pops into my head. Can't you hear it? "Eight-oh-seven-one-seven-siiiiiiix…"

Posted by Staci at 11:47 AM |  Contact Staci |  Permalink  |  Comments (0)
Found in Banking, College, Federal loans, Financial aid, Financial education, Parents, Paying, Student loans, Tuition, Wells Fargo Bank

With one child in college, one in preschool, and another one due any day now, college savings plans are never far from my mind.

I've given some consideration to a 529 Plan , but after looking over some of the details, I'm not so sure. There are a few pros and cons  to consider, but the thing that keeps stopping me is that if the money is not used for education-related expenses, there are heavy penalties to pay.

I certainly will encourage my kids to go to college, and hope that they do. But do I want to pay a penalty if by some chance they don't? It's not that I won't save money for their education — we're certainly investing and saving right now, if not in a college-designated fund — I just wonder if there isn't another more flexible option  that is still a smart choice.

Parents: How are you saving for your child's education? Do you have any concerns about the investment vehicle you've chosen?

Editor's note: There's a new addition to Caroline's family — her son Gus was born on January 25, 2008! Caroline will be on leave from the Student LoanDown for the next few months. Please join us in congratulating her!

Posted by Caroline at 10:10 AM |  Contact Caroline |  Permalink  |  Comments (1)
Found in College, Financial education, Money management, Parents, Paying, Saving, Tuition, Wells Fargo Bank

Calling all parents of high school seniors!

It's now time to take on a not-so-fun parental duty. It's time to have "the talk" with your senior: that uncomfortable discussion about college costs and their future ability to repay their student loans.

In almost every article I read these days about student debt, there are a few anecdotes about students who spent thousands upon thousands of dollars on college, only to find upon graduation that their salary is completely out of whack with their debt load.

I'm always left wondering if the student either: 1) had no idea of the earning potential in his/her chosen career; 2) knew the earning potential but just didn't realize how that would translate in a practical sense; 3) just chose not to think about finances at all until it was time to pay.

It's easy to understand why 18 year-olds would have a tough time understanding how their salary translates in the real world. That's where parents need to step in during the college-selection process and give the following short, but pointed speech:

I know you're very interested in attending "Really Expensive College," but we're going to have to consider what kind of financial aid package they offer you. Because you plan to study XYZ, you'll probably start out at a salary of around $25,000. Once we see your financial aid package, we'll have to figure out how much money you'll need to borrow, and what your monthly payments will be once you graduate. If it's going to be too much to handle on your salary — and I can help you figure that out — you're going to have to consider "Less Expensive College ."

Of course, the discussion may not be that simple — especially if your child is very attached to the idea of attending an expensive school and following a career path that doesn't justify the price tag. But hang in there, parents, and keep them focused on financial reality. They'll thank you one day.

Parents: are you talking with your kids about college costs?

Posted by Caroline at 09:33 AM |  Contact Caroline |  Permalink  |  Comments (1)
Found in College selection, Debt, Financial aid, Financial education, Jobs, Money management, Parents, Paying, Post-college, Preparing, Student loans, Tuition, Wells Fargo Bank

College brings its own special kind of medical drama. And, no, I don't mean the Grey's Anatomy  kind.

I mean the kind where close living quarters, stress and lack of sleep cause you to come dragging home at the end of the semester coughing, tired, feverish and in need of some chicken soup and sometimes a trip to the doctor's office. I call it "finals flu."

Or where you sprain your ankle  playing pickup basketball with your buddies. Or need your wisdom teeth  removed over winter break.

If you end up in the doctor's office at any time during college, and you think you're covered under your parent's insurance — have them double check.

I just recently learned that our health insurance company likes to be reminded every semester that my stepdaughter is still a college student. I found this out after receiving a bill from an end-of-semester trip to urgent care — it seemed awfully high, and I wondered why no insurance payment had been applied.  Once I reminded them of her student status, they corrected the bill, and it was about half as much.

Parents, keep an eye on all your insurance coverage to make sure your student's status is up-to-date — especially since "finals flu" and wisdom teeth removal season is just around the corner.

Posted by Caroline at 10:02 AM |  Contact Caroline |  Permalink  |  Comments (0)
Found in Parents, Paying, Wells Fargo Bank

Eventually Charlie's* transcripts were released and he obtained his degree — summa cum laude  and Phi Beta Kappa  — from the University of Minnesota. I told you he was smart! But with the degree and all its honors came a wide range of emotions, including severe financial fear.

Once the debt had been paid, how did you feel?

Honestly? I felt like telling the messed up and unsympathetic bureaucracy of that school to take a flying leap.

But, most importantly, I finally felt free and unfettered. I felt like nothing else, no matter how bad, would ever get me down. I felt grateful to my family and my friends for being constant sources of emotional support during the dark years of debt. Most of all, I am grateful to my father, who worked up to four jobs at one time to keep our family financially afloat and to make headway in the debt owed.

I will say this, and perhaps it is not entirely appropriate, but money is an emotional issue for me, and this is an emotional response to the issue. I said I am grateful to my father for all he did for me and for my family during some very dark years financially. But because my dad worked so much and was so burdened with the stress and constant worry about this debt, he became seriously ill. In the end, he was diagnosed with cancer and passed away when he was only 61 years old. For me, this debt will always be linked to the emotions of my father's untimely death.

What advice would you have for others who may be in a similar situation?

Start talking about money BEFORE you even THINK of applying to school. And honestly talk about what your family can afford and what sort of debt you can support. Students should do a lot of research, speak with the financial aid offices, and apply for every loan and grant available. And remember that there would be NO schools if it were not for the student. Remind the colleges of this and do not allow yourself to be brushed off by the bureaucracies.

How has this experience changed how you approach finances?

As I have said, money is linked to emotions for me. It is not the simple clear-cut idea of dollars and cents. It's linked to my father's death and to my own struggles to support myself and finance my continuing education. I find myself very cautious when it comes to finances and loathe to repeat the experiences of the past. However, I am much less emotional and terrified of money and debt than I once was.

How did the situation end up impacting your credit?

Miraculously, the debt owed did not reflect negatively on my credit. When I began requesting my credit reports  from the three major credit agencies, I combed through them diligently to see if there was anything that would be a black mark against me.

That huge sum of money owed, just sitting there and dragging me down, that's what truly affected me mentally and emotionally. The anxiety and stress of trying to come up with a plan on how to pay the debt was arduous, but, eventually, a payment plan was agreed upon with the school and the whole amount was paid off last year.

Even though your credit didn't take a negative hit, what made you decide to work on improving it?

My partner and I have a goal of purchasing a house within the next year or two. As such, we wanted to make sure there were no skeletons in our financial closets and that we had everything in order before we began the process of applying for a mortgage. Knowledge IS power and it's important to understand that money SHOULD work for YOU, not the other way around.

I review my credit reports every six months to check for any discrepancies and to see how my credit rating is improving, pay my bills ahead of time, and pay well over the minimum amount due. I've instituted an aggressive savings plan, including the purchase of CDs.

How are you feeling about your financial situation these days?

I make a lot of jokes about Suze Orman  and how I hate the fact that I cannot be as capricious as I would like in my spending habits because of her financial guidelines.

But I do have her "tough love" tactics for financial health to thank for being in a much better place than I have ever been. I do not feel as weighed down and helpless as I once did. I feel very positive and confident that my goals for continued improved credit and the purchase of a home are well within my reach.

I'll have you know that I'm very proud of my dear friend Charlie. Throughout this whole financial ordeal (and there were some seriously trying times), he never let it get the best of him. When his debt was paid last year, we celebrated — celebrated his dignity, his tenacity, and ultimately, his freedom!

If Charlie's story has given you something to think about, I hope you'll share your thoughts.

Oh, and in case I didn't make it clear before, I'm thrilled about the prospect of getting his canned goods and embroidered dishtowels for Christmas!

* Names have been changed to protect the financially challenged.

Posted by Staci at 11:23 AM |  Contact Staci |  Permalink  |  Comments (0)
Found in Budgeting, College selection, Debt, Federal loans, Financial aid, Financial education, Looking back, Money management, Parents, Student loans, Tuition, Wells Fargo Bank

After Charlie* embarked on his Ivy League adventure, he thrived. But unbeknownst to him, money was a problem.

Charlie, did you know that you had outstanding tuition bills?

For the year and a half I was at school, I had no idea there were any problems with paying for my tuition. If my parents received any sort of statements or letters, I was never privy to them.

I do not blame my folks for keeping this information from me. I think their first instincts were to protect me and to try to figure out on their own how they were going to come up with this huge sum of money to see their firstborn through his college education. And, the way I was raised, this is what parents do. They find a way, any way, to make their kid’s dreams come true, no matter what the sacrifices or hardships. And we were not raised to discuss the “sordid topic of coin.” So this crisis (and believe me, it was a crisis) just simmered and boiled over. And my entire family and I suffered for it.

How did you find out that you had to leave school?

I was home for the Christmas break. I had packed up all of my bags and even had some boxes addressed to my campus address that I needed to be mailed. I remember walking into our kitchen and telling my parents we had to go to the post office that day so the stuff would be at school when I arrived. They didn’t respond; they just sat there, very quiet. And I knew. I knew something was terribly wrong.

Mom and Dad broke the horrible news to me that I would not be going back to college and that Mom and I would be leaving the next day to collect all of my belongings. Of course, I was thunderstruck, devastated, shocked. I did not know how any of this could have happened. HOW could my carefully planned life have gone so terribly wrong? I remember a lot of tears. I was in a stupor for the entire drive and spoke very little to my mother.

When I got to school, I had to tell all my friends, as well as all of the freshmen I counseled (I was a Resident Counselor for my sophomore year) that I had to leave and I did not know if I would ever be coming back. I had less than 12 hours to pack up my entire college experience, stuff it into a tiny car and leave it all behind me. Once I got back home is when the anger and the fury at the school and what they had done to me and to my family begin to really take hold.

Because of the unpaid tuition bill, it took several years before your school would release your transcripts — meaning that you couldn’t continue your education elsewhere. How did that situation change your education plans?

I had no choice but to immediately go to work. With no college degree, I did not have a lot of options, but I did find a job at a local book retailer. I worked for several years in my home state and then transferred jobs to a neighboring state. Like any twentysomething , I needed to find my independence.

I always planned to go back to college. It was simply a question of when. And the WHEN was determined by the release of transcripts from the school. My education plans never changed — they were only postponed.

When all was said and done, how much did you owe?

We owed over $30,000, which included late fees and fines.

How long did it take to pay off the balance?

15 years.

Tomorrow, the final chapter: lessons learned (and emotional baggage packed).

* Names have been changed to protect the financially challenged.

Posted by Staci at 11:35 AM |  Contact Staci |  Permalink  |  Comments (2)
Found in Budgeting, College selection, Debt, Federal loans, Financial aid, Financial education, Looking back, Money management, Parents, Paying, Student loans, Tuition, Wells Fargo Bank

It's October, which means that high school seniors all around the country have begun their college searches in earnest. They're taking entrance exams, filling out applications, visiting campuses, and setting their hearts on particular schools.

But are they thinking about how they're going to pay for it?

Are you?

A few posts ago I introduced my best friend Charlie* and his financial challenges. This week, I'm going to tell you how he got there (and hopefully, how you can avoid some of the pitfalls he experienced).

It all started in our senior year of high school, right around this time of year. Charlie was (and still is) my brilliant friend, and I always knew he was destined for something great. So it was no surprise to me that he was admitted to some very prestigious colleges.

Charlie, how did you find yourself in the Ivy League? 

Like many other prospective college students, the summer before my senior year in high school my family and I took a tour of the colleges and universities in which I had an interest. We took the incredibly long drive from South Dakota to the East Coast to look at seven campuses, both state and Ivy League schools. Of course, the academics and the prestige of attending an Ivy League school were very enticing.

In the end, I got into all the schools except for one. The spring of my senior year, I was invited to visit two of them for a weekend, to get a better feel for campus life, meet other students, etc. (I clearly recall receiving letters from both schools, telling me what an asset I would be to the student body, how impressed they were with my academics and extra-curricular activities, how I was very unique and had a lot of potential. Well, for an 18-year-old kid from a square Midwestern state, that's wonderful praise.)

I had a tough choice, but I knew that my father in particular would be over the moon if I decided to attend an Ivy League school. I remember walking into one of the large halls off the campus green and approaching my dad, saying, "How would you feel about having a child with an Ivy League degree?" The man literally leaped up and down, clapped his hands, and gave a whoop. He was so, so very proud. And that was very, very important to me.

Why was it important for you to attend this type of school?

Honestly? Because it had cache. Because it had status. Because I wanted to be one of the very few from my graduating high school class to attend an Ivy League school.

Most importantly, though, because I had EARNED it. I had worked so, so hard for four years to get excellent grades and to participate in a myriad of extra-curricular activities. My entire focus and direction while in high school was to be an academic all-star so that an Ivy League school would be able to look at my application and think, "Wow! We cannot pass this kid up! Let him in!"

Was the cost of education an issue for you? Your parents?

The topic of money was never, ever brought into the equation in my final decision. My parents never discussed it with me, and, as an 18-year old I assumed what most children do: that Mom and Dad would provide. How was I to think differently? We lived in a beautiful house with a pool in an affluent upper-middle class suburb. Why wouldn't I be able to attend whatever school I wanted, no matter what the cost?

I will also say that I do not recall the high school counselor with whom I spoke about colleges providing me with information about financial aid. Also, when I visited the campus and attended various programs to learn more about the school, I do not remember getting a lot of information about how to pay for college.

After I did get in and my family came to visit me in the fall of 1989 for Parents' Weekend, my folks did meet with financial aid. I think it was at that point, unfortunately, too late in the game, that they realized that an Ivy League education would be very dear and they just did not have the funds to see me through four years.

Of course, at that time, all federal loans and grants had been meted out for the year, so there really was nothing left for me. And, because my parents made a decent living, they did not see me as a hardship case. My parents were turned away without any help or any solid and feasible suggestions for paying for my education. In fact, I later learned the loan officer told my parents, "If we had known your son would need such significant financial aid, we never would have admitted him."

Next up: What happened to Charlie when the money ran out.

* Names have been changed to protect the financially challenged.

Posted by Staci at 10:00 AM |  Contact Staci |  Permalink  |  Comments (0)
Found in Budgeting, College selection, Debt, Federal loans, Financial aid, Financial education, Looking back, Money management, Parents, Preparing, Student loans, Tuition, Wells Fargo Bank

A funny story comes to mind about my son when he was about 5 years old. He assumed that since Mommy works at a bank, she can just get money out anytime she wants. Oh, if it were only that simple.

Fast forward about 7 years to the future – now he thinks that a credit card is the simple solution to anything we could ever want.

"Why, he asked me very innocently, "can't we get a Wii ?

I reminded him matter-of-factly that money doesn't grow on trees and, besides that, Wii's cost a lot of money. I thought that would end the discussion. This time, however, he'd been thinking a lot about his response.

"You have a credit card, he said. "Why can't you just buy it with your credit card? For some reason, he's convinced that a credit card is just like a gift card you get on your birthday. Someone gives you money to spend, so it's your duty to spend it.

I've fallen short of my parental role because what he really needs to know are the basics. Luckily, there's this great, online educational tool from Wells Fargo called the Hands on Banking® program that I haven't introduced him to yet (but it sounds like I need to start soon). The Hands on Banking program guides you through the fundamentals of smart money management, dividing learning into four different age groups: 4th & 5th grade Kids, 6th to 8th grade Teens, Young Adults and Adults. It's one of those things that I wish had been around when I was venturing into the world of credit – kind of like how I wish there'd been Wii's around when I was younger.

But don't feel too bad for my son. He may not have a Wii, but he is armed with the knowledge that it's something he has to work for to get.

Too bad Wii's don't grow on trees.

Editor's note: We're excited to benefit from Karen's customer insight (and killer dance moves) here on the Student LoanDown!

Posted by Karen at 01:27 PM |  Contact Karen |  Permalink  |  Comments (0)
Found in Banking, Budgeting, Credit cards, Financial education, Money management, Online banking, Parents, Preparing, Wells Fargo Bank

What was our big summer trip this year? We didn't go Costa Maya, Costa Brava , or Costa Rica — but it sure did "costa lotta!" Sorry, couldn't resist the pun.

Our family vacation was a road trip to "The Happiest Place on Earth": Disneyland ! With my five-year-old getting ready to start kindergarten, my two-year-old obsessed with princesses, and the newly-opened Finding Nemo  ride to check out, Disneyland was the perfect destination to please the whole family.

But jeez, it was hot, hot, hot! The new Nemo ride was very well done, but the wait in line was at least 1½ hours and we were just melting. On the other hand, since everyone was in line to find Nemo, other favorites like the Pirates of the Caribbean  and the Haunted Mansion  were only a 5-10 minute wait. Sweet! Plus, the rides were air-conditioned — ahhhhhhh...nice!

We all had a great time! If only going to Disneyland were FREE it would truly be the happiest place on earth for parents.   We thought the trip would be cheaper than going to Europe, but after reviewing my credit card statement online and seeing the cost of the hotel, park tickets, breakfast with characters, dinner at Ariel's Grotto, princess costumes, collectible pins, autograph books, and many other priceless souvenirs only found in the Magic Kingdom — well, maybe we should've just gone to Neuschwanstein  instead to see the real Cinderella Castle!

Next time we'll do a better job of budgeting ahead of time and practicing self-restraint with our spending. I'll have to stop myself and think: Do we really need another princess outfit? Will I have sleepless nights if I don't buy that limited-edition collectible pin, light-up Mouse ears, or $18 spray water bottle?

Have you ever spent more than you expected? Do you have any tips for how to control spending on your credit card?

Posted by Dinna at 12:24 PM |  Contact Dinna |  Permalink  |  Comments (0)
Found in Back to school, Banking, Budgeting, Credit cards, Looking back, Money management, Online banking, Parents, Travel, Vacation, Wells Fargo Bank

I used to love back-to-school time. Now, I still share Staci's love of school supplies, but as a parent, "back to school" time can be hard sometimes. The first time you send your kid off to school it's tough — suddenly your round-faced "baby" is wearing a "Lightning McQueen"  backpack stuffed with crayons, juice and baby wipes. (That's what they request at preschool these days.)

But when you send your kid off to college — like many of you probably did over Labor Day weekend — it's even tougher. Suddenly your "baby" is leaving town with your car and a laundry basket full of clothes. And this time, she won't be home in three hours, ready for a nap.

Recently, I found a great article  in the Des Moines Register about how parents handle sending their kids off to college. It profiles three families: one with a senior in high school, one with a student about to start college, and one with a student who's just completed his freshman year of college. There are also some good tips for parents and students found in the article's left sidebar.

So parents, tell me: How are you coping with sending your kids off to college?

Posted by Caroline at 02:42 PM |  Contact Caroline |  Permalink  |  Comments (3)
Found in Back to school, High school, Parents, Wells Fargo Bank

Today the Student LoanDown blog celebrates its first anniversary!

A year ago, I wasn’t sure if we’d reach this milestone. I strongly believed in our blog and its mission, but I was concerned that a Wells Fargo blog about education financing and debt management might not be embraced by students, parents, or the blogosphere. After all, these aren’t the sexiest of topics.

Well, here we are, more than 150 posts and countless exchanges later, still going strong. We don’t always hit the mark, and we certainly don’t always agree — but at least we’re talking.

Now the traditional first anniversary gift  is paper, one of my many addictions (seriously, ask Barbara or Caroline what happens when I approach a Hallmark®  store). But we’re not expecting any presents to commemorate this occasion. Rather, we want you to know that your presence is our gift. And as we move into our second year, we hope you’ll continue to come to the party, offer your insights, and push us to discuss the tough topics.

Congratulations — this first anniversary is just as much yours as it is ours.

Posted by Staci at 09:23 AM |  Contact Staci |  Permalink  |  Comments (4)
Found in Budgeting, Financial education, Looking back, Money management, Parents, Remember, Wells Fargo Bank

If you're off to college this fall, you've probably loaded up on the necessities  like sheets, towels and cool décor for your dorm. But put one more thing on your list, if you haven't already: a bike.

A bike probably wasn't the mode of transportation you chose in high school—and maybe you haven't ridden one since the fifth grade—but bikes are the best way to get around on a college campus.

Biking is much cheaper than driving, when you consider gas prices and parking tickets. (Ask any experienced college student—you WILL get a parking ticket!) And it's faster than walking—good news when you oversleep the day of your bio quiz.

OK, I admit, I'm a little biased. I really like to bike. My most recent vacation was spent biking—I rode a couple days on RAGBRAI®  (Register's Annual Great Bicycle Ride Across Iowa™) in July. It's a touring ride across the state. And it's ginormous—about 10,000 people participate every year. It's actually a really relaxing vacation, because when you hop on a bike you completely change the pace of your life.

That's another benefit of biking that's great for college life. When you're busy and stressed, biking to class or a study session may be just the exercise and change of pace that you need to feel refreshed. Biking around campus can also help you ward off the "freshman 15"  without dragging yourself to the gym.

So dust off that two-wheeler and pack it up! Are you bringing a bike to college?

Posted by Caroline at 08:36 AM |  Contact Caroline |  Permalink  |  Comments (2)
Found in Back to school, Bikes, Budgeting, Cars, Financial education, High school, Moving, Parents, Paying, Preparing, Student loans, Wells Fargo Bank

At the risk of sounding like a total nerd, I've never had an issue with debt and have always had good credit. Somehow, Mom and Dad got the message through to live within my means and pay off debts quickly.

Maybe it was because I saw my parents living simply, budgeting their money, balancing their checkbook, and not buying many of the big-ticket luxuries that their friends were indulging in. I can remember hearing my father say to my mother, "When you see me driving around a Mercedes , I won't be worrying about making payments." I guess I took that to heart and didn't want to worry about making payments, either.

I was the older of two kids from immigrant parents and grew up in a middle-class neighborhood. My dad was in the Navy , and my mom worked in the banking industry. My parents bought their first home when I was about 10 years old, and my mom managed the household finances.

When I was old enough, Mom gave me money management “training wheels” by putting me on her credit card account. But she didn't just hand the card to me without instructions—she taught me the basics like credit limits, balances, minimum payments, and payment due dates. And, while I didn't completely understand its value at the time, she emphasized how proud she was of her good credit rating . She said that I should try to build my own good credit by paying back my debts and always paying on time.

Now that I work in the credit card industry, I recognize the value of these lessons. And, from talking to friends, I've learned how uncommon it is for parents to give their kids the basic financial guidance I was lucky enough to get. By the time I got a credit card in my own name, I understood that each purchase I made was actually a little loan that needed to be paid back—so I really thought long and hard before using it.

Thanks to my folks, when I ventured out on my own I did so with a good credit history. This signaled to lenders that I was a good risk to buy a car or to rent an apartment. I was surprised to learn that even employers were interested in my credit rating. And, when it came time to buy a house of my own, I was able to qualify for a mortgage with a lower interest rate, which saved me a considerable amount of money.

What money management lessons—good or bad—have you learned? And who have been your teachers?

Editor's note: Please welcome Dinna as the newest member of the Student LoanDown blog team!

Posted by Dinna at 09:02 AM |  Contact Dinna |  Permalink  |  Comments (0)
Found in Banking, Budgeting, Cars, Credit cards, Debt, Financial education, Lenders, Looking back, Money management, Parents, Paying, Post-college, Preparing, Remember, Student loans, Wells Fargo Bank

If you're going to be a high school senior this fall, it's likely that you've already completed a time-honored tradition: senior portraits .

Senior portraits have evolved from the traditional head-and-shoulders shots marking a student's graduation year to full-blown fashion shoots expressing a student's personality. Mine were somewhere in between.

I was a latecomer to the senior portrait party. Two months into the school year, I still hadn't had them taken. My father owned an advertising agency and suggested that one of his staff photographers take mine. "It's just a yearbook picture," he reasoned.

There was no reasoning with 17-year-old me: impetuous and hormonal and on the cusp of adulthood. I didn't want a photographer with a different point of view to document the end of my high school days/the beginning of the rest of my life. I wanted photos that looked just like everyone else's.

Eventually, my dad relented. If I remember correctly, my senior portraits cost a couple hundred dollars.

Seniors today might pay closer to a couple thousand dollars. Of course, there are more options now than there were in the late ‘80s. A friend or parent with a digital camera, an eye for detail, and some knowledge of Photoshop®  can produce professional-looking, personality-filled senior portraits at a fraction of the cost.

Class of 2008, what are you spending on your senior portraits?

Posted by Staci at 08:59 AM |  Contact Staci |  Permalink  |  Comments (2)
Found in Budgeting, High school, Looking back, Parents, Paying, Preparing, Remember, Student loans, Wells Fargo Bank

Since summer is more than half over (so sad!)—I'm wondering how your summer job has been going?

I'm thinking about it because my stepdaughter is having a much better job experience this year compared with last. Last summer she was bored silly working a few hours a week as a waitress.

This year she's a nursing assistant  at a local hospital and is working toward certification. It's hard work and she's putting in lots of hours, but I can tell she's much happier. She's building her resume  and getting great experience (since she's planning a career in occupational therapy).

The money doesn't hurt, either. She's making lots more this summer and is able cover all her own bills and rent. She's also keeping a comfortable balance in both her checking and savings accounts. All in all, she's having a pretty good experience.

What about you?

Posted by Caroline at 08:46 AM |  Contact Caroline |  Permalink  |  Comments (1)
Found in Budgeting, Financial education, Jobs, Parents, Paying, Preparing, Student loans, Wells Fargo Bank

Since July 4th is tomorrow, let's talk about another kind of "Independence Day"—the financial type.

I've always liked feeling financially independent. I had a paper route  as a kid and relished having my own money for movies, candy and Ms. Pac-Man . I worked as a grocery checker  in high school, spending my cash on clothes and other extras I wanted for myself.

In college, I was able to pay my own way through school with a combination of grants , scholarships, student loans, work-study  and regular jobs. And after college, I was soon on my own and paying all my own bills from cable to car insurance.

But I distinctly remember the day I felt truly financially independent. I was 29 years old and had just purchased my first car without consulting my parents in any way, shape or form. Finding that little Mazda  all on my own and securing the financing was a little scary, but it felt great. I'd crossed that final bridge to true financial independence. Light the sparklers!

Got any stories to share about your own Financial Independence Day?

Posted by Caroline at 09:02 AM |  Contact Caroline |  Permalink  |  Comments (6)
Found in Budgeting, Cars, Federal loans, Financial education, Grants, Independence Day, Jobs, Looking back, Parents, Paying, Preparing, Private loans, Remember, Scholarships, Student loans, Wells Fargo Bank, Work-study

On Monday, Staci posted about an article on "College Selection Hysteria."

I've heard a lot about this since I started working in the student loan industry, and it's fascinated me. When I chose my college—some 18 years ago—not only was there no hysteria, there wasn't even mild anxiety. I wasn't agonizing over "brand name" schools, nor was I fussing about which one had the best journalism program . My criteria were quite simple: I wanted a college that was affordable, familiar and a comfortable fit for me. Iowa State University  was kind of a no-brainer for me based on those standards:

• State school. Check affordable.
  
  
• Three of my older siblings had attended ISU, and I had been visiting them there since I was 10 years old. Check familiar.
  
  
• Three close friends from high school were also heading to ISU. Check comfortable.

I admit, these aren't the best standards  to use when choosing a college, but they're not the worst either. I didn't doubt the quality of education I'd get, and I knew I wasn't going to feel homesick or hopelessly out of place. It was important to me (and my pocketbook) to finish college in four years—so I wasn't in the mood to try anything too risky.

Looking back, I don't regret my decision, and I'm certainly glad I didn't get wrapped up in College Selection Hysteria. But I think there is a happy medium to be found between following your siblings and friends to the nearest state school and becoming an anxiety-ridden senior with an "Ivy League  or bust" mentality.

I would certainly encourage my own kids to explore beyond their comfort zone when it comes to choosing a college—and to base their decision on facts, rather than assumptions. Personally, I eliminated any small, private schools from radar because I thought they were too expensive. It was a bad assumption . What I didn't know is that some private schools can give you enough financial aid to make themselves competitive with public schools. It kept me from even considering the benefits I might have found in a small school–a closer relationship with professors, a greater opportunity to get involved in activities, etc.

And I do believe that no matter where you go to school, your college experience will be what you make of it. You can have a great experience and get a fabulous education at a "no-name" school if you choose to work hard, get involved, make friends, and get to know your professors and other mentors.

What do you think? Tell us about your college choice—past, present or future.

Posted by Caroline at 08:40 AM |  Contact Caroline |  Permalink  |  Comments (4)
Found in College selection, Financial education, Looking back, Parents, Preparing, Remember, Student loans, Wells Fargo Bank

Calling all soon-to-be high school juniors and their parents!

Last week I came across a great article  about College Selection Hysteria—also known as CSH—in the Annapolis Capital. Here's what the author (and licensed clinical psychologist) Dr. Scott E. Smith had to say:

“While it is not yet an ‘official' psychological diagnosis, CSH is an often-observed phenomenon that starts to grip many adolescents and their parents around the beginning of their junior year of high school. This amplified form of anxiety is based in concern or worry about finding, being admitted to and paying for the ‘right' college.”

Unofficial diagnosis aside, CSH is very real for some folks. I know I experienced it to some extent when I was searching for colleges almost 20 years ago (gasp!), and there seems to be even more pressure today. Dr. Smith discounts some of the college selection myths out there with his own brand of tongue-in-cheek realism.

Oh, one last thing: I'm by no means a licensed clinical psychologist . But in my opinion, a little humor mixed with useful information goes a long way.

Posted by Staci at 08:44 AM |  Contact Staci |  Permalink  |  Comments (0)
Found in College selection, Financial education, Parents, Preparing, Student loans, Wells Fargo Bank

The Student LoanDown wants to know: What does your first car say about you?

My first car was a 1981 Honda Accord hatchback, pretty close to this . Turquoise blue with a racing stripe and an AM radio—hot. My mom bought it for me after my sophomore year in high school, but I had to wait until I completed Driver's Ed that summer before I could drive it. Twenty years later, I'm still driving a sensible Honda.

Pam's first car was far cooler than mine—a yellow and black 1956 Ford convertible with rolled leather interior. It was a 16th birthday present from her parents in 1963 . Gas cost 27 cents a gallon, so her weekly gas budget was all of $3.00. Once a convertible gal, always a convertible gal—Pam tools around in a Mercedes now.

Arriving during her sophomore year of college, Caroline's first car was a 1976 Caprice Classic in a lovely powder blue. According to Wikipedia , her car was 19½ ft (5.9 m) long—longer even than many modern full-size pickup  trucks, which probably explains why to this day she still pulls WAAAY too far into the garage and parking spaces.

Rachel's first car, which she shared with her mom, was really more of a bus: a 1987 Volkswagen Vanagon Westfalia. She'll never forget the look on the DMV guy's face when she showed up for her California driver's exam. But it was functional—it even had a kitchenette and slept four people. The family in "Little Miss Sunshine"  should've been so lucky!

A 1987 Oldsmobile Regency was Barbara's first set of wheels. She and two friends christened their boat-sized automobiles the Nina, the Pinta, and the Santa Maria  (Barbara's pretty sure she was the Pinta). Unfortunately, the Pinta had some health issues—fading paint and rust—so she didn't last long.

Why do we ask? Tomorrow we'll fill you in.

Posted by Staci at 01:42 PM |  Contact Staci |  Permalink  |  Comments (2)
Found in Cars, Looking back, MPG3, Parents, Remember, Student loans, Sweepstakes, Wells Fargo Bank

Recently I posted some information on financing grad school in response to a question from one of our readers.

In addition to the information in that post, here's a guide to financing graduate school  put out by the National Association of Financial Aid Administrators. This offers information on the application process, basic eligibility requirements, and sources of funding.  It's a good place to start if you're just beginning to explore your options for financing grad school.

Let us know if you have any other tips or experiences to share about funding graduate school.

Posted by Caroline at 08:48 AM |  Contact Caroline |  Permalink  |  Comments (1)
Found in Financial education, Graduate school, Parents, Paying, Post-college, Preparing, Student loans, Wells Fargo Bank

Over the past year, I've done a lot of growing up. Examples here, here and here … and I think my parents are having a tough time with it.

Five years ago, I left the nest and headed off to college. Since I'm the youngest of four daughters, my parents experienced a little empty nest syndrome . But they did OK. I might have been out of the nest, but in college, at least I was still on the branch. My parents still had a big influence on what was going on in my life—and I depended on them to help me.

For the past year, I've been spreading my wings a little more. I keep creeping farther and farther away from the nest—and now, as I'm purchasing a home, I'm ready to head to my own tree.

My home search has taken a toll on me and the ‘rents. I'm trying to be independent and grown up. They're trying to make sure nothing happens to their baby girl. We've been clashing a little bit in the form of some heated discussions:

Dad (protectively): Aren't you rushing into this a little? This is a big commitment. Are you sure you know what you're doing?

Me (sarcastically): No I haven't researched at all; I'm going into this completely blind. Why can't you trust that I'm able to be an adult?

You get the picture …

Change is difficult, but inevitable. Parents—and children, too—really have to take a step back and ask how the other party will be affected by the change (and, perhaps more importantly, your response to it).

During this transitional time of year, you might be going through changes as well. High school graduates are ready to leave the nest, and college graduates are slowly moving farther out on the branch. What part of the tree are you on, and how are you coping?