Quote:Some thoughts (not attacks, just thoughts):

 

 

It also doesn't really seem (to me) to work out any better than a student loan.  Assuming someone gets a job right out of school at $40,000/ yr.  Using Rubio's example of 4% of salary for 10 years (and assuming no raises) that ends up coming to $1600 a year or $16,000 over ten years.  Assuming interest isn't being compounded, that is a 6% rate (which is actually 3x higher than my current rate.)  

 

I don't know if he expounds on his ideas (I haven't read his book) but it seems like the only advantage would be that if you don't find a job you don't pay as much back which means the key component of risk is assumed by the company.  Sounds like a typical student loan to me.  

 

Also, what happens if you have a private company paying for your, say, business degree and you decide to change majors?  Are you allowed to or do you then need to pay back the amount they lent?  Is the amount based on your salary while you pursue your new degree?

 

Lastly, am I the only one who thinks it wouldn't take long for the companies who make these investments to start pushing for legislation that protects them if a student defaults?  

 

SIDE NOTE:  To be open and honest in this discussion, I have 2 degrees, one that many would suggest is a practical degree (Business) and one that would be considered a wasted degree (History.)  

 

Hey, me too!   BA in History from Indiana, followed shortly thereafter by a BBA in Accounting from UNF.  

 

I'm still glad I got a History degree, though.   Can't make any money on it, but that's not the real value of it.  I think it makes your life more interesting on a day to day basis.  It gives you some perspective on things and a knowledge base for understanding the world, people, and events a little better.   I think it has added a lot to my general enjoyment of life. 

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