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Attending College should be a step toward future opportunities. But have you ever considered that going to college might potentially ruin your future Career?

"Paying off my student loans makes it very difficult to survive financially as a teacher," admits Tim Campbell, a graduate of the University of Colorado (Fort Collins, CO). He can hardly believe the numbers on his loan paperwork. "I took out about $28,000 for college. The scheduled payoff amount is now about $68,000. If I pay the scheduled amount, I'll be done paying it off two years after I retire!"

Of course, Tim's extra debt burden came as a result of extending his repayment schedule to 20 years from the more common 10-year period, as well as a buildup of accrued interest over the six years it took him to complete his degree.Still, while Tim's case isn't the norm for everyone who signs on the loan dotted line, the sinking feeling that comes along with student loan repayments is, unfortunately, a common story among recent graduates. Some are even forced to put their chosen careers on hold and work at any full-time Job they can get, in an effort to reduce the weight of their debt.

Many agree on one thing: "I just wish someone had told me what I was getting myself into when I was 17," says Karen Bruce, a graduate in dramatic arts from the University of Connecticut (Storrs, CT). "I feel like I signed my life away on those financial aid forms. All I knew was if I wanted to go to college, I needed loans."

Most students have that in common with Karen. In fact, according to the Department of Education, 67.9 percent of graduating seniors in the year 2000 borrowed money for undergraduate education. And, in 2002, $37.8 billion was taken out in student loans -- over triple the amount borrowed in 1990! How do students get into such holes of debt?

Despite what you think, no loan provider wants students to end up in a situation where they're unable to handle paying off their debt. Stephanie Babyak, a U.S. Department of Education spokesperson, explains that schools offering government-sponsored loans are required to provide financial counseling to students. "[They must] actually sit down, one-on-one, saying 'This is a loan, this is how you pay it back,'" she explains.

There is some good news. Despite increased borrowing, loan defaults (when borrowers fail to make a loan payment for over 270 days) were at a historically low level in 2002. Then again, that doesn't tell the whole story, which includes the uphill work of recent graduates to avoid defaulting.

After taking out loans for a degree in criminal justice, Tim admits something happened to him that he didn't plan on. "I found out along the way that I'm a darn good teacher, and followed my heart into that profession." Teachers, however, don't initially make much money, he says, so when his student loan bills came due after Graduation, the monthly struggle to pay them was a shock. "I realize my debt is my responsibility. The signature on the loan agreement is mine and mine alone. But if I could go back and do it over again differently, would I? You bet!"

Now teaching for an alternative high school program in Fort Collins, CO, Tim's turning his negative experience into a positive lesson for his own students. "I show my kids what I wish I'd known. I teach them how easy it is to write grants, create budgets, to make a plan and stick to it. Most of tuition costs can be covered by grants. I don't tell my students not to take out student loans -- I show them how to research everything else at their disposal."

Karen paid for her puppet arts program dramatic arts degree with a combination of Stafford and Perkins loans, grants, work study, and scholarships. But, she says, getting loans was almost too simple. "I applied for student financial aid when I applied to the university. The college financial aid office told me what wasn't covered and how much loan money I would need. Then my mother and I went to the bank and I signed my little 17-year-old life away."

What surprised Karen was the monthly payment amount she had to come up with once repayment began. "I called the loan officer and originally got them to change it to interest-only payments, which cut the payment amount in half. But that got me in trouble because I wasn't lowering the principal of the original loan."

Because of this, she says she felt great pressure to have a job that could support her debt. "I ended up taking an accounting job on the fringe of the arts industry and stayed there for five years. Eventually, I started paying slightly more than was actually due and that helped a lot." It wasn't until she paid off the entire student loan that Karen was able to quit the accounting job to return to more creative work she loved.

"Surviving that job for five long years wasn't easy, but I made paying off my loans a priority. I knew I was extremely lucky to be able to go to college. The only reason I was able to go was due to loans," she admits. That being said, Karen adds, "Anyone who thinks it's okay to default on loans, it's not! You're depriving someone else of an opportunity by not paying back what you owe."

Planning Pays Off
Before you begin college, think hard about your plan for paying tuition so you get a handle on it before it ends up getting a handle on you. Karen and Tim recommend proactive research to understand the opportunities that exist. Tim points out that many "free money" scholarship and grant options are out there, and quotes a favorite shop teacher motto: "'Plan your work and then work your plan.' Figure out a four-year financial plan, stay focused, and stick to it."

Karen strongly recommends that students overcome being shy, and ask questions. "No single solution for paying for college is right for everyone. You're the only one who can figure out the right options for you."

Learn Your Lingo

Consolidation -- Combining several loans into a single loan to reduce the monthly payment amount and/or increase the repayment period.

Cost of Attendance -- Add up tuition, fees, room, board, books, supplies, and personal expenses, and there you have it.

Default -- Failure to repay a loan according to the terms agreed upon in the promissory note.

Expected Family Contribution -- That's how much you and your 'rents are expected to pay toward your cost of attendance.

Independent Student -- A self-supporting student who is considered financially independent from his or her parents. This is often difficult to prove.

Principal -- The original amount borrowed, which may increase as a result of added interest.

Promissory Note -- The document in which you promise to pay back your loans (or sign your future earnings away).

Self-Help -- No, not the late-night infomercial kind. It's the portion of your aid package made up of student loans and/or work study.

What'll It Cost
Sure, paying back a few thousand bucks over 10 years doesn't sound so bad -- that is until you receive your first payment booklet with monthly payments you can't afford. Before you sign on the loan dotted lines, use an online repayment calculator (there's a good one at WiredScholar.com) to see what your monthly payments will be. (Keep in mind interest rates fluctuate every July.)

Some examples:
Student Loan Amount: $5,000
Loan Period: 10 years
Interest Rate: 5%
Actual Amount Paid: $6,364
Monthly Payment: $53

Student Loan Amount: $25,000
Loan Period: 10 years
Interest Rate: 4%
Actual Amount Paid: $30,373
Monthly Payment: $253

Student Loan Amount: $50,000
Loan Period: 10 years
Interest Rate: 4.5%
Actual Amount Paid: $62,183
Monthly Payment: $518

Recommended Resources
1. Ask everyone under the sun for their input and ideas: Parents, older siblings, relatives, favorite teachers, counselors, librarians, friends, college financial aid officers -- you may be surprised how much information they can share!

2. www.ed.gov: The U.S. Department of Education Web site. You can download a free Student Guide that explains the financial aid process.

3. www.fafsa.ed.gov: The Free Application for Federal Student Aid (FAFSA) is a standard federal form used to determine your eligibility for most types of financial aid, including Federal government-backed loans and grants.

4. www.finaid.org/scholarships: Explains the process of scholarship searching with warnings on scholarship scams; includes online links to scholarship searches.

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