[Sulurith]

It's been a long time since I visited this forum, and I am loath to report that I didn't take the advice I received when I asked for it last.

The last time I was here, I was worried about student loans. I had just graduated high school, and was planning on attending a private college for a software engineering based degree. This school is a four hour trip from my home in Connecticut. I was worried that the loans for a private education, considering that I didn't have much of a college fund to speak of in relation to the tuition costs, could become unmanageable.

I have since completed 3 semesters, and I am currently attending my fourth. I am afraid that my fears are coming true.

I had originally thought that a computer software engineering (specifically, Game Programming, since I also loved to game as a hobby) would make a great choice for me. Programming was one of the few classes I truly enjoyed in High School, and I was proficient at understanding the core concepts. Yet, now, I am not so sure.

While at school, one of my high school friends with whom I have kept in relatively regular contact, introduced me to the idea of trading currencies on the foreign exchange market. That was about a year ago. I have been regularly performing research and paper trading around the FOREX market, and it's something I have a passion for. I make time for the foreign exchange market when I should be doing other things. I don't even pay attention during half of my classes now. I spend that time on my laptop, analyzing the market and reading books and forums on the subject. The potential for loss is high in the FOREX market, if something goes wrong or the proper measures aren't taken, especially for an individual trader, but so is the potential for reward. In the last three months, specifically, I have made great strides in understanding the market and with every passing day I gain confidence that I can make a success of myself by becoming a trader.

Becoming a trader doesn't require a programming degree. As an ironic aside, programming a trading robot has been the only coding I've done for fun since I started my collegiate education. Of course, a degree wouldn't keep me from becoming a trader either. They are not mutually exclusive. My worry, however, is that even if I should manage to secure the loans to finish my degree (Which, without credit, is no sure thing) by the time I graduate my debt would balloon to over $70,000 with ease, and possibly over $100,000. If I got a job right out of college, I would be making probably between $60,000 and $70,000. The debt would take an enormous portion of my salary to be able to pay off in a reasonable amount of time, if at all. Not to mention putting myself through the rigors of a degree and profession that I no longer find as attractive as I used to, especially in relation to a potential career which could be far more lucrative, and which I find to be a better fit for my capabilities anyway.

On the other hand, dropping out now I still have over $30,000 in debt to pay off, that would require payments to start within 6 months. I now have a fiancée in the area of my college, and to return to CT and live with my parents while paying down loans and starting my trading career is far from preferable, it is at best plausible. I intend to stay with my fiancée and get an apartment with her this June, regardless of my educational situation. As it is, I have had to take on another part time job on top of my work study (admittedly not much, but both totaling almost 30 hours of work per week, on top of my educational time and the time I wish to use for trading). All of these factors are peanuts compared to the possible risk from not having a degree if something goes wrong down the line and I have a family to take care of. My ambition tells me to drop out, and risk it on this FOREX opportunity. The sooner I can start trading consistently and profitably, the more the career as a trader will pay off. The contingency planner in me tells me to finish my degree anyway, and work trading around a full time job until I can make a good living from it, despite the added stress and time.

My family, my fiancée, and my future in-laws all agree that a degree is something I should get first, and then work on the trading aspect. My father is supportive, somewhat, offering $500 in start-up capital whenever I feel I'm ready, but dislikes the notion of being a trader only, saying that one should always be able to do something with one's hands (he's an electrician, and wasn't as supportive of me being a programmer either, but he certainly likes that more than being a trader for a number of reasons).

After all that, I'm torn between finishing the degree and being cautious, if stressed, remembering that I might not even be able to secure the loans it requires by the end of my senior year, or not finishing the degree and remembering that my success as a trader, although I find it preferable, is no guaranteed success either, and could leave me in just as much trouble, or more.

Edited for Grammar.

[Swanky1]

You are missing an option of changing colleges and degrees. If trading is the direction you would like to go you should look into college classes that would help you. Maybe a public college with a lower cost.

[Sulurith]

You're right, I should have mentioned that. If I'm going to be able to stay in the area, to be with my fiancée, the out-of-state tuition for the local state school (I wouldn't be eligible for in-state tuition) is greater than that of my private college (30,700, compared to 27, 100). My college doesn't have a finance major, the closest being business/accounting majors. Changing majors would also likely add one or two semesters, and the associated costs, to my debts. Changing schools and majors would likely add 2-3 semesters, but would get me into a finance major.

[Storm]

What happens if you lose it all? Do you have any other savings? Any back-up plan? Can your fiancee not move with you back to your state?

[Imagineering]

You could go at the degree slower also and trade now.

[eagleseven]

Trading without a backup plan is dangerous.

I would transfer to an affordable state-school and finish the degree. Even if you are good at trading, you can still work part-time to grow your base capital when necessary.

[ktgrey]

I wouldn't rely on trading currencies for income. It is easy to learn alot about these kinds of things and believe that one is increasing in knowledge and understanding, but it's not so clear whether this knowledge actually results in increased returns or profit. Similarly you should never write off losses with the rationalization that you learned a valuable lesson from this and will have better performance in the future.

Edit: If your trading goes wrong, you are also in a bad spot, with debts and no good way to pay them, while with the degree, you would have major debts but be able to pay them off after a while. If you make 60k-70k I would estimate you could pay off about 20k of the debt a year, and so be debt-free within 10 years even if the interest on it is something big.

The software engineering path is looking really rocky due to the debt, but I think the day trader route has strong elements of wishful thinking to it. I.e. if you are successful in getting the degree and the job, you would still have problems while if you were successful as a trader you would be rich. But I think your chances of success with the former are much better.

[Aronnax]

Finish school and fail @ FOREX: heavy, but manageable debt load, good career prospects.

Succeed @ FOREX w/degree: relatively small additional debt load.

Fail @ FOREX w/o degree: unmanageable debt load, poor career prospects.

Finish your degree, you're already halfway there. Quit looking for an excuse to quit, you're only going to hurt yourself in the long run.

[Alanas]

Originally Posted by ktgrey To view links or images in this forum your post count must be 2 or greater. You currently have 0 posts.

I wouldn't rely on trading currencies for income. It is easy to learn alot about these kinds of things and believe that one is increasing in knowledge and understanding, but it's not so clear whether this knowledge actually results in increased returns or profit. Similarly you should never write off losses with the rationalization that you learned a valuable lesson from this and will have better performance in the future. Edit: If your trading goes wrong, you are also in a bad spot, with debts and no good way to pay them, while with the degree, you would have major debts but be able to pay them off after a while. If you make 60k-70k I would estimate you could pay off about 20k of the debt a year, and so be debt-free within 10 years even if the interest on it is something big. The software engineering path is looking really rocky due to the debt, but I think the day trader route has strong elements of wishful thinking to it. I.e. if you are successful in getting the degree and the job, you would still have problems while if you were successful as a trader you would be rich. But I think your chances of success with the former are much better.

Sums up pretty much everything I wanted to say.


Finish your degree. Go for it and finish what should be done.

[saberu]

Trading cant be your number one strategy. Because realistically the people who earn a living trading have insider abilities in the form of cutting edge technical analysis, information or resources. Don't buy the hype.

If you don't believe me call the thinkorswim helpline for trading tips. Its full of 35 year old men who are real hotshotknowitalls (losers) when they aren't working a phone bank.

If I was in your position I would either stick with school or take some business classes and start and electrical subcontractor company with the old man.

[Autumnleaf]

Switch majors and get a broker's license. Go to a cheaper school if you can.

[Axion004]

Why do you think you will automatically be making $60,000 and $70,000 with your degree? I know maybe three people making within that range right off of undergraduate study and none of them are in computer science. If the economy continues in the recession until 2014 then many students will realize that they definitely won't be making this much with a Bachelor's degree(At least not without a lot of luck). Some Engineers I know are making between $50,000 - $55,000 but a lot of them are also unemployed.

I would say finish your education(Maybe at cheaper public university) and then pursue trading. I don't know how well you know trading. Are you willing to risk everything(Including your $30,000 in loans) just to pursue trading right now? I would finish my education. Although, I am somewhat risk adverse.

If you really are confident about this then pursue trading and drop out. What is life without ever taking a risk? It is good that you are willing to go against the herd and try and think about something new.

[morethanafeelin]

Drop everything than go live in the wilderness and hunt and gather all of your sustenance.