Student Debt Has Financial Ripple Effect

“All my debt is from graduate school and I would recommend never to get in debt from school it is a trap you can’t get out. Optometry doesn’t pay enough.” – Female OD from 1987-1996, whose $150,000-$200,000 debt upon graduation has ballooned to more than $300,000

“Student loan debt is the reason why I wish that I had never gone to Optometry school. I should’ve been an electrician, in my area, I’d make the same amount of money without the decade plus mortgage payment. I am extremely frugal by nature, but I find myself much further behind my friends who simply have a bachelor’s degree and are working in other fields. I have a 16 year old daughter, she’ll start college in 2 years, I’m afraid that I won’t be able to help even as much as my blue collar parents did for my education. I just hope my alma keeps sending me reminders to donate.” –– Male OD, a 2007-2016 graduate who still owes more than $50,000 on his original $200,000-$300,000 loan

Working six-day weeks. Not going on vacations other than just visiting family. Can’t afford trips right now. It’s kept us from buying a house for several years or from me wanting to start my own business. Last thing I need is a business to fail and I’m stuck with that burden as well. With the monthly payments for student debt, and rising costs, it’s hard to have any breathing room. But I’m also against the government forgiving the debt. I borrowed it willingly. I should pay it back. I think they should find a way to cap the interest at 2% though so it’s manageable to pay back.” – Male OD, 2007-2016 grad with between $150,000-$200,000 left on loans that were originally $200,000-$300,000. 

“I graduated optometry school in 1991 with about $70,000 in student loan debt. My salary at that time was $45,000 per year. That is equivalent to some one today making $150,000 per year with $231,000 in debt. Suck it up buttercup and pay off your obligation. I already paid off mine. I don’t want to pay for yours too.” – Male OD, loan details in text

“I was lucky to refi before interest rates shot up, so I’m at about 2%, and owe about $98,000 four years out of residency. I feel fortunate to afford my payments easily and have a spouse with a similar salary and no debt, but this would be so much harder as a single person. It would also be harder in another practice setting (I make significantly more with bonuses than the average BLS optometrist salary because I see high volume in an ophthalmology practice in dire need of providers). I fully support loan forgiveness for ODs, even a small amount, as OD salaries have generally not kept pace with rising tuition nor cost of living.”- Female OD, loan details in text

In hindsight, I would not have changed my repayment schedule from the standard 10 year repayment to income contingent with forgiveness after 25 years. (You get taxed on the forgiveness amount too.) I should have adjusted my lifestyle and gotten that loan payed off in 10 years. It took me over 20 years and the last $45K, I paid off using equity from my office building. Although having a loan did not hinder buying a practice or car, it did affect the timing on buying a house.”  Female OD who graduated between 1997-2006 with between 100,001-$150,000 in debt. 

“Cap interest rates, no capitalization after graduation are ways to constructively deal with debt. I have only made minimum payments because interest rate is very low, it may actually go up when payments resume because of Biden’s delay of payments.”  – Female OD, graduate in 2017-2022, whose student loan debt has increased to between $200,000-$300,000 now, more than when she graduated.

Even if they made student loans low interest ( 1-2%) it would make paying off student loans much easier.” – Male OD, paying down the last bit of a $50,000-$100,000 loan, lasting more than 20 years since graduation. 

Knotty problem

“80% of my student loan debt was at 16.9% interest. I worked 6 days a week for 8 years to pay that off, and another year to pay off the balance of my loans. My loans delayed all other facets of living, i.e.: I delayed getting married, starting a family, buying a house, buying/starting a practice, saving for retirement. I am both bitter about my student loans causing massive strain in my early professional life and profoundly happy that my two daughters will graduate without a dime in debt (I saved for their educations, and I’m helping my oldest pay for Medical School). I don’t see how any OD graduating today can pay their student loans totaling over $250k. I don’t see how I can have a young OD buy my practice in 10 years.” — Male OD, 1987-1996 grad who paid off $100,000-$150,000 in loans in 6-10 years.