Tuesday, September 30, 2008

The Michigan Daily

Rising Student Debt Leaves Many with Shaky Credit Future

By Layla J. Merritt: Daily Staff Reporter
Published February 7th, 2003

Economic problems combined with student loans have made it harder for students to afford leisure items.
Shabina Khatri
Engineering junior Charles Igwekala has spent countless hours searching websites and flipping through book pages in what he said he feels is almost a vain attempt to find scholarships.
"I don't doubt that the scholarships and grants are out there, but it's very time-consuming to actually find the scholarships that are beneficial," he said.
Over the past two years, Igwekala has successfully attained a few scholarships of a few hundred dollars each, but the money does not add up to the cost of attending the University. As a result, Igwekala estimated he has borrowed more than $11,000 thus far in federal loans - not including interest.
The University's tuition increased 7.9 percent this year, and the University estimates the total cost of attending and living in a residence hall is $16,673 per year for Michigan residents and $32,553 for non-residents. As states reduce budget allocations to public universities, many schools are raising tuition at rates exceeding inflation.
About half of all University students receive some type of financial aid, said Margaret Rodriguez, senior associate director of the Office of Financial Aid.
The average debt upon graduation for a University undergraduate student is $19,000, she said, a figure that is slightly higher than, but consistent with, national averages. The University's rate of loan default is exceptionally good - 2.3 percent compared to about 6 percent nationally - indicating that students are finding employment after graduation, Rodriguez said.
Sunita Sachdev, branch manager of TCF bank in Ann Arbor, said she has witnessed a 20 percent increase in student debt over the past two years both graduate and undergraduate students.
"The students want to consolidate (their loans), but it's very difficult," Sachdev said. "Because the state of the economy has made the risk factor much higher, students thought they would be able to get a good job, but they can't," Sachdev said.
One promising option students currently have is the consolidation of their loans through the Federal Direct Loan Program, which would lock in the current rate of interest at 3.46 percent, the lowest rate Rodriguez said she has ever seen.
"Consolidation would change the interest rate on the federal Direct Loans from a variable rate to a fixed rate. With interest rates so low, students could save a significant amount of money," Rodriguez said.
According to a 2001 report by the non-profit State Public Interest Research Group, there has been an increase in student dependency on loans as federal loan aid increased 125 percent over the last decade compared to a 55 percent increase in grant aid over the same period.
The report stated that accessibility to grants has decreased during the last 20 years, comprising 40 percent of all student aid, compared to 55 percent in 1981. Loan aid, which accounted for 40 percent of all aid in 1981, is now 60 percent.
Numerous surveys conducted by the group found that students underestimate the total cost of their loans, often neglecting the impact of interest - which can increase the total cost of federal unsubsidized loans by nearly 100 percent.
"Students that are the most vulnerable - those with high levels of debt - have the least understanding of repayment," the report stated.
Igwekala said he thinks overestimating one's debt is easy because of easy access and student's hectic schedules, but he considers himself to be an exception.
"I have a unique outlook on my finance," he said.
LSA sophomore Jonathan Friedman said he expects to borrow approximately $100,000 by the time he finishes law school.
"It's a double-edged sword. If the economy does a double-dip recession, more people will be inclined to go to law school instead of business school or start small businesses, which will make it harder to get into law school and may depress my initial earnings," Friedman said.
President Bush's 2004 budget proposal, released Monday, raised federal financial aid for higher education $62.2 billion - up 5 percent from last year. The funding would be allocated for college and vocational students and would include grants, loans and work-study programs.
The Pell grant is entirely need-based and is the heart of the government's effort to make higher education accessible to low-income students. Due to the current economic recession and the large cohort of children who will be continuing to reach college age during the upcoming years, Bush also proposed to give 17.6 percent more to the Pell program, raising the total government spending on the Pell to $12.7 billion.
However, higher education interest groups, including the PIRG, have criticized the plan because Bush's proposal will not increase the maximum amount of Pell, despite the rising costs of tuition and inflation. The Pell award is currently $4,000 annually.
Education Prof. Michael Nettles has conducted several national surveys documenting graduate students' attitudes toward borrowing money.
"It seems like they are not allowing it to be an impediment," Nettles said.
"As a rule nobody likes debt, but in the end it's the best investment anyone can make. People who graduate from college today are estimated to have $1.8 million more in earnings than people who don't," Nettles said.

The Michigan Daily

Housing Resources Offer Students Help

By Layla J. Merritt
Daily Staff Reporter
Published January 23rd, 2003
Off-campus housing presents an exciting and difficult situation for many students. It is exciting because of the opportunity to live either alone or with friends, often for the first time, but the frustration of maintaining a house or dealing with uncooperative landlords can be difficult.
Steve Antonucci is an LSA senior working toward graduation. He and his five housemates pay $3,000 per month plus all utilities for their home. Yet everyday this winter he awoke to discover the temperature in his house hovering at 50 degrees.
Antonucci said his house is so old and archaic that it is not fit to live in.
"We blow multiple fuses a day because the house was originally wired to draw a very modest amount of power," he said. "We literally have to replace fuses every day."
Antonucci said he was surprised that a house with inadequate heat, insulation and electricity could pass unnoticed by city inspectors every two and a half years.
Problems regarding the safety of Ann Arbor homes can be attributed to the budget cuts the city has been making in several departments, including the Building and Housing Inspection Department.
"The housing bureau has had the same level of staffing for the last 10-plus years," said Housing Inspector's Office Supervisor Dave Sebolt. "The rental population has increased, but to my understanding the city has not been on an expansion mode for quite some time."
Sebolt said there are five inspectors working in the department and each inspector has one hour to inspect a single-family house, including travel time between appointments. The next appointment could be across town, up to 30 minutes away, leaving just 30 minutes for the inspector to see the property, he added. Homes like Antonucci's, occupied with six people, are defined as sin-gle-family houses by the city.
"We have applied for more inspectors, but the city is also going through the process of being more efficient by cutting costs," Sebolt said.
City inspectors only look for the minimum housing code requirements when inspecting a house, he said.
Yet LSA senior Vanessa Furtado's house met the minimum requirements of the city's housing code just six months before her porch collapsed and sent her to the hospital with a broken knee.
The Ann Arbor Tenants Union's website advises tenants that inspectors favor landlords when checking homes.
While Sebolt said city inspectors do not accept bribes from landlords, he admitted that some landlords may treat inspectors to lunch, or may give them what he called a "token."
Amy Ament, executive director of the AATU, said although there is no significant evidence that shows city inspectors favor landlords, it is recommended that tenants are present for the house inspection.
Since homes are inspected just every two and a half years, it is difficult for students - who often rent for just one or two years - to be involved in the inspection process.
"Tenants must know his or her rights. Often times, college is the first time students are renting and they are not aware of their rights and responsibilities," Ament said.
City inspectors do not automatically check everything in the house. The tenant must inform the inspector of any problems with the house, Ament said.
Another important resource is the inspector's office. If a student's landlord is not responding to their complaints, they can call the city inspector, Sebolt said. "If anyone is seeing something that looks unsound they can call up the building inspection department and we will come out and inspect the house at no cost to the tenant," he said.
Students often encounter landlords who will not work with them on problems. "Landlords often try to intimidate students by threatening eviction or not doing repairs," Ament said.
LSA junior Julie Rajagopal said she felt intimidated by her landlords after they refused to remove the bats that were living in her apartment.
"My roommates and I called our landlord 100 times about the bats. They finally told us to chase them with a bucket and a broom," Rajagopal said.
University Off-Campus Housing Advisor Melissa Goldstein said if a student has a problem with the safety of their home or is feeling intimidated by landlords, they can seek aid at the University Off-campus Housing Office or at Student Legal Services.
"We are here for the students and they need to feel OK coming to talk to us. If you are scared to report something, you need to contact us immediately," she said.
The OCHO has many resources available to help make renting an apartment more comfortable for students, Goldstein said.
Many of the local landlords are enrolled in an OCHO program that provide them with benefits such as advertising, but they are required to abide by the rules of the program which are designed to help students. The OCHO offers counseling for students and mediation between landlords and students. If the student requests a mediation session with the landlord to discuss problems, the landlord is required to attend by the program rules.
Another resource designed to protect students from unreasonable, disrespectful landlords is the AATU, which can inform students of their legal rights and offer tangible support.
The group, located in the Trotter House on Washtenaw Avenue, is seeking volunteers and will train in housing law.
If a student has a fear of discrimination, the Fair Housing Center of Ann Arbor can assist with litigation or counseling, Ament said.
"Education and knowledge of tenant rights and the law are the most powerful tools to work against a bad landlord," Ament added.

The Michigan Daily

INS deadline looms closer for foreigners

By Layla J. Merritt
Daily Staff Reporter
Published January 8th, 2003
Citizens of some foreign countries who are in the United States, including University students, could face deportation if they do not register with the Immigration and Naturalization Service by Friday.
That is the deadline for the second group of non-immigrant aliens to register with the INS under the newly implemented National Security Entry-Exit Registration System, which requires male aliens older than 16 and holding temporary visas to complete a special registration with the INS.
The registration, which must be met by one of three deadlines, began Dec. 16 and ends Feb. 21, and is only applicable to persons from 22 countries - which, except for North Korea, have large Muslim populations. Citizens from Algeria, Lebanon and North Korea are among those who must register by Friday, while Saudis and Pakistanis have until Feb. 21.
Law Prof. Nick Rine said there are hundreds of thousands of people in the United States who do not have proper visas. Of the 19 Sept. 11 hijackers, three were in the country on expired visas.
"If they are not in a legal status, they can be detained. Detention means they are put in jail. The INS is renting a lot of space right now," he said, adding that in Michiga non-immigrants are sent to jails in Calhoun or Monroe counties.
INS officials said 400 men were detained in Southern California after the December registration date, but most were released within three days, the Associated Press reported.
Slim Mchela, a finance student who is permitted to study at Eastern Michigan University on educational visa, registered with the INS five weeks before his deadline.
Mchela was required to check in with the INS at the airport on his way home to Tunisia over Winter Break.
"Each time I leave to go to another country, I have to call the immigration officer to come and fingerprint and photograph me," Mchela said. Although Mchela reported that the INS officers were sympathetic, he said he was initially annoyed by the extra attention he received in the airport.
"At first, it bothered me because I was the only one. The whole plane was waiting for me because I have an Arab name." Mchela said.
Mchela, like other alien residents and university students, said he was reluctant to speak freely about his feelings regarding the treatment of men from Muslim nations by the U.S. government because of fear of deportation.
"People are afraid to talk about the situation because they fear small remarks could be easily misconstrued as a threat to national security and the INS could take action against them," said Saad Siddqui, a Business School senior and a Pakistani citizen holding a temporary educational visa.
"Airport security was routine before September 11. Now it's a hostile atmosphere. The INS has a lot of authority right now so there is a lot of speculation involved in the process of inquisition," Siddiqui said.
After returning from a vacation in Pakistan Friday, Siddqui said he was delayed more than two hours after being interrogated, fingerprinted and photographed by INS officers.
The officers rifled through his possessions, including his wallet, and even copied his credit card numbers, he added.
Unlike Mchela, Siddiqui noted the heightened level of condescension in the attitudes of the INS officers.
Siddiqui said the officers did not speak rudely to him because he speaks excellent English, but they treated others with poorer English rudely.
LSA sophomore Aly Caverson said she agrees with the registration program because it is important to protect national security since the terrorist attacks.
"I understand that people might say that the United States shouldn't assume that one bad apple spoils the whole bunch, but we're just taking precautions," Caverson said.
Yet many people, including Siddqui, view the registration as blatant discrimination and an invasion of privacy.
Siddiqui said the program and the unprecedented freedom of authority it provides to the INS and FBI are serious encroachments on civil liberties.
"They may not be Americans, but they're still human beings, and all human beings deserve to be treated with the same fundamental rights of humanity," he said.
Still, the law distinguishes between the people required to obey the conditions of the registration law and U.S. citizens.
"Non-citizens in his country have much more limited rights than what Americans naturally think of as their civil rights," Rine said.
A lack of rights and immense INS authority is what is making non-immigrants paranoid and afraid, Siddqui said.
Alexander Azzam, an Ann Arbor immigration attorney, said the registration is simply a milder alternative to the encampment method used to control Japanese-Americans during World War II.
"If I am a terrorist from one of those countries, I will not register. I'm supposed to be underground and I'd avoid detection and the police. It's unlikely any potential terrorists will show up at registration and say, 'Hi, I'm here on a fake visa, please arrest me,'" Azzam said.
Siddiqui said the government needs to make the law applicable to non-citizens of all ethnicities in order to create equality under the registration program.
"If you are going to make those groups register, then you should have everyone register, but who's to say that no one who is a citizen could be a terrorist," Siddiqui said.
Another alternative to the procedure is to increase precautions at the rudimentary stage and make obtaining a visa harder.
"It's so difficult to get a United States visa that when you get one, it's like opening the gates of paradise," Mchela said. In the end, he said, the registration is an excuse for the government to reduce risk by deporting people.
"I think that what the government is doing to non-citizens is indicative of the narrow-mindedness of the current government," Rine said.
More than 245 men were detained after the first deadline of Dec. 16, primarily because of technical problems with their INS status.
Government officials defend the procedure, noting three of the 9 hijackers responsible for the Sept. 11 attacks illegally remained in the country on expired visas.

The Michigan Daily

Glee Club provides post-game fun
By Layla J. Merritt
Daily Staff Reporter
Published November 21st, 2003

What better way to celebrate a victory of the best football teamin the west than to top it off with a performance by the bestmen’s collegiate choir in the world? This Saturday, after theOhio State game, the University’s Men’s Glee Club,directed by Stephen Lusmann, will hold two performances of their144th annual fall concert, which will also feature an a capellaoctet ensemble known as the Friars.
For those unfamiliar with the GC, it is a collection of about100 of your male peers. As a group, they are capable of shaking thefoundations of Rackham Auditorium with a powerful stream of bassand tenor voices resonating through a selection of well known andundeniably adored University anthems.
Exult in the satisfaction of having recently fed your bellicoseappetites with a platter of Ohio State by surrendering to a wave ofresonant anthems such as “Let All the People Sing Praises tothe U of M,” “Varsity” and “TheVictors” and the “Yellow and Blue.”
Despite its love of the University, the GC’s repertoire isnot limited to swollen chants of victory, and features a culturalshowcase of musical delights including Russian, Latin and Nigerianpieces, as well as several spirituals derived from the blackcommunity.
“We like to do a variety, and spirituals because they havea very beautiful quality to them, and they are fun, motivating,challenging and have a whole history,” said Adam Rosenwasser,an LSA senior who has been with the GC since his freshman year.
The audience has been known to succumb to a range of emotionswhile listening to the concerts Rosenwasser said. Perhaps this isdue to the dexterity of the GC, which can swiftly capitulate from asoft, harmonious hum to an intense rush of masculine voices,ringing in unison before dispelling into a soft, warm hush onceagain.
“We have a big, powerful, melodic quality in ourmusic,” Rosenwasser said of the GC. “It’s uniquebecause there are no women, and so there is a very big, deep,masculine sound that’s very traditional. We also have sometenors who can falsetto, so there’s a variety of sound andnothing’s lacking. You’re not wondering ‘whereare the women?’ It’s very joyous and very rousing. Wedefinitely have had people cry at our concerts; it’s a verymoving, beautiful sound.”

The Michigan Daily Newspaper

Fake IDs at the 'U': what will Get You Caught
By Layla J. Merritt
Daily Staff Reporter
January 9th, 2003

Fake IDs are not hard to acquire.
If you are fortunate enough to have an older sibling, the process is simple. You can either use their ID, or visit the DMV and claim that you lost your license.
There are other illegal ways to obtain a fake ID. Searching the Internet will produce a lot of results. Online fake IDs, fraudulent high school and college diplomas, trade certificates and even letters of recommendation can all be purchased for a relatively small fee.
Common sites for purchasing fake IDs are fakeid.us.com, killerids.com and blueprinted.com.
The use of fake identification cards is common around campus. Many students use them and a few make them.
"Students at the University have been caught producing fake IDs out of their residence halls in the past," said Diane Brown of the Department of Public Safety.
"Whether for you or for others, producing fake IDs is a serious offence in the state of Michigan punishable by up to 14 years in prison," said DPS Sgt. Melissa Overton.
Although many people may not have to go to jail for using a fake, the consequences can compound when they are charged by city and University officials.
In Ann Arbor, producing and/or selling fake IDs is a felony, and simply using one is a misdemeanor punishable by jailtime and a fine.
If the University discovers you have been used a fake ID, it may also take decisive action against you.
"We don't have prescribed sanctions. We use a range of sanctions for every case and use the facts to implement sanctions," said Keith Elkin, director of the Office of Student Conflict and Resolution, which handles University policies on issues like fake IDs.
Elkin said that, for a first time offense, if a student accepts responsibility for their actions they will be placed on a lengthy disciplinary probation and will be additionally required to write what he calls a "reflection paper."
"The student is typically given a topic that's closely related to the offense. For us, it's a way for the student to think about what they did and how they view their actions," Elkin said.
An offense like using or producing a fake ID could result in suspension, but it is not automatic and it depends on the individual case, Elkin added.
If the student denies the allegations they have a choice of being judged before a panel of trained students or a resolution office. The dean who may reject, accept, or modify the judgment will then review that decision. However, the student may appeal the decision, at which time the judgment will be reviewed by the vice president of student affairs. The student's sentence ultimately rests with the vice president.