Some of life's best experiences include exploring new environments and learning about different cultures – which is why study abroad programs for students are so valuable.
The problem is that these programs aren't cheap. Many parents are looking for additional ways to help cover their child's program, for example ensuring they apply for scholarships and reviewing their best charge card options.
As a parent or gaurdian, your first step ought to be to help your son or daughter consider all program cost factors, including setting a financial budget.
Typical Cost Breakdown of a Study Abroad Program
Study abroad programs can vary long and price, depending on the senior high school, college, or organization that runs them. Here are sample costs of some popular study abroad programs around in 2022:
| Sol Education Abroad | Semester, Spanish Immersion in Heredia, Costa Rica | $8,195 |
| American Institute of Foreign Studies Study Abroad | Semester, General Studies in Barcelona, Spain | $12,995 |
| IES abroad | Semester, musical studies in Vienna, Austria | $21,625 |
Build a budget
It can be scary sending your son or daughter abroad the very first time. Whether they are studying Hispanic linguistics in Argentina or doing a semester-long internship in London, it is crucial that they are financially ready for their months away from home.
Michael D. Izbotsky, financial planner, owner, and CCO of From Planning to Living LLC suggests working part-time or working on along side it to begin building a fund for the trip.
\”I think a minimum goal ought to be at least $1,000 for each month spent abroad, excluding rent/dorm and tuition,\” Izbotsky says.
By putting aside money every month, students can be better ready for expenses outside the program, for example excursions and hostel stays, daily activities, dining out, and more.
Funding options to help your child study abroad
There are a variety of methods to help fund a study abroad program, aside from cash from your or your child's banking account. We have described a few of the more popular techniques below.
Scholarships, grants and allowances
One of the most common methods to lessen the cost of study abroad programs is to apply for scholarships and grants.
If your child is within a program at their university or college, the initial place to check for scholarship and grant opportunities ought to be the college's office of worldwide education, language department, or college study website. 'foreign.
Organizations like NAFSA, the nation's Association of International Educators, offer helpful information on students who wish to make an application for grants centered on studying abroad. You will find funding options according to need, scholarships, diversity and more.
Federal financial aid can also be used to study abroad. The amount you can generate for the program depends upon its duration and your student status (part-time, full-time, undergraduate or graduate).
Stipends to study abroad are usually obtained through research or internship programs abroad and can most likely be described within the program description. You can expect a stipend to pay for living expenses like accommodation, meals and transportation.
Crowdfunding programs
Websites like GoFundMe allow you to raise money for events by creating a campaign, setting a fundraising goal, and sharing with friends on social media, email, and more.
Some study abroad programs offer their own crowdfunding options, for example GlobaLinks Learning Abroad. While large crowdfunding platforms typically take a part of your donations, GlobaLinks guarantees that 100% from the donations you earn are put on your program.
Helping your child manage their finances abroad
Things can easily fail abroad; pickpockets may steal a wallet, a flight or perhaps a bus may be missed, or a doctor's trip to an overseas hospital may be so as. That's why it's important to have a operating plan in position should anything happen.
A charge card is a superb method to keep your child's bank account protected and supply extra assist in case of the emergency on a trip.
\”I would recommend using a charge card whenever possible – one without any international transaction fees, of course. That way should you lose the credit card or it gets stolen, nobody has direct access to your bank account\” says Christine Centeno, financial planner and founder of Simplicity Wealth Management.
Let your son or daughter make use of your card being an authorized user
If you have in mind a credit card for your child try not to think they're ready to own their own yet, consider making them an authorized user on your card. They won't need a specific credit rating, if any, and you can set a spending limit for them as the primary cardholder.
As an authorized user, your child will be able to charge purchases to the card, but will 't be accountable for payments. Keep in your mind that you and the Authorized User will share exactly the same credit line.
Find a student or beginner credit card
With students or starter charge card, your son or daughter can control their finances and boost their credit simultaneously. To make certain a card is a great fit, think about the following benefits:
No foreign transaction fees
For students who would like to study abroad, probably the most important factors of the credit card should be the lack of foreign transaction fees.
Discover it(R) Student Cash Back, for instance, charges no foreign transaction fees and offers 5% cash return on several rotating categories each quarter like groceries, restaurants and Amazon.com (up to quarterly maximum of $1,500, then 1%, activation required).
welcome bonus
In accessory for the absence of foreign transaction fees, the Discover it Student Cash return card offers an exceptional welcome bonus. At the end of the first year of card membership, Discover will automatically match any cash return you've earned. This bonus could potentially help cover a flight back and forth from a place of study abroad.
Another choice is the financial institution of America(R) Travel Rewards charge card. This card offers a bonus of 25,000 points when you spend $1,000 in your first 90 days (worth $250 when redeemed for travel statement credit) and has no annual fee .
Consider debit cards or prepaid travel card
If your son or daughter travels to a less developed country, you may consider prepaid and travel card options, when they don't already have one.
Debit cards
A debit card not just allows your son or daughter to withdraw money, but offers an additional layer of protection just in case their credit card sheds. When searching for a debit card for the child, stick to a card that doesn't charge overseas ATM fees, particularly if your child plans to operate primarily in cash.
Prepaid travel cards
Similar to a debit card, a prepaid travel card enables you to buy things and withdraw cash at an ATM using the card. Prepaid cards differ in that they are not associated with a banking account and wish you to definitely load a specific amount of cash to the card.
Visa and Mastercard prepaid travel cards, particularly, will protect your child against fraud if their card is stolen.
Before leaving the country
There are a few final steps you and your little world traveler should take prior to leaving the nation to make sure a secure and trouble-free trip.
Inform issuers from the trip
Be certain to inform credit card issuers that your child is going to be abroad. It is important to let the issuer know where they will be studying and for how long. Otherwise, their card could be frozen as a result of suspected unauthorized transaction.
Take note of your child's account information
Talk for your child about protecting their overseas username and passwords before they travel. It's also important for you or any other parent to keep their account information inside a rut in your own home in case something goes completely wrong. If your child finds themselves inside a difficult situation, you can transfer funds to their account.
Money change
If the country your child is traveling to doesn't accept US dollars, go to your local bank and exchange a few $ 100 for that currency they'll need most abroad.
Doing it at a familiar bank, instead of an exchange booth in a foreign airport, can help to save your child a lot of money in exchange fees.
To observe how much the US dollar may be worth in the country your child is traveling to, try the currency converter below.
The bottom line
A study abroad program can be a once-in-a-lifetime journey for the child – an outing that leaves all of them with priceless experiences, knowledge and friendships. To recap, this is what both you and your traveling student ought to know before their trip:
- Get your child to budget and start saving with a part-time job
- Review additional funding options for example scholarships, stipends, and crowdfunding
- Consider adding your son or daughter being an authorized user in your credit card and have them apply for a student or starter card
- Before they leave for their trip, inform the issuer, save their account information and alter the currency
By following these tips, your child will be fully prepared for when they step from the plane and right into a new country.
