(StatePoint) As the most of parents today highly value higher education, that does not always dampen their sticker shock with regards to college-related costs.
A new survey from College Ave reveals that 91% of oldsters think a university degree is essential for their child's future. At the same time frame, 74% of oldsters found the cost of university education surprisingly high. From getting their kids involved – 46% of oldsters strongly believe their kids should contribute financially to their education – to borrowing – 16% currently or considering taking out private student loans – many people are exploring a variety of financing options college studies.
\”If you use private student loans to fund your higher education, you need to produce a budget and do your research,\” says Angela Colatriano, director of promoting at school Ave Student Loans. \”Having a plan can help you avoid surprises down the line and lower the overall cost of the loan.\”
Here's what you ought to know:
First of all
Before even considering private student loans, Colatriano notes that trying to get scholarships and completing the disposable Application for Federal Student Aid on FAFSA.gov is essential to find out your child's eligibility for certain scholarships, grants, and scholarships. , work-study and federal student education loans. . You also needs to explore budget housing options and the ways to spend less on school supplies, such as buying used textbooks.
If federal student education loans don't cover your remaining fees, shop around for the best private education loan, advises Colatriano. Here are four factors to consider when you compare loan options:
- Competitive rates: Getting a lower rate of interest can help you get lower monthly obligations and pay less interest over the life of the loan. To get an idea of the total cost from the loan and your monthly payments, make use of the education loan calculator on CollegeAve.com.
- Flexible loan terms: Look for a education loan having a number of repayment options. Some lenders, like College Ave, permit you to choose the loan repayment term and begin paying immediately or defer them until once you graduate. The thing would be to select a loan whose conditions match your financial allowance.
- Costs: Private student education loans usually have no origination fees, but you should still take time to check. You should also make sure that your loans do not carry any prepayment penalties.
- Positive business reviews: Only work with an honest and reputable company. Check Better Business Bureau accreditation and browse reviews to learn more about customer experiences and see customer ratings of every business.
Take out a loan
Wondering just how much to borrow? \”A good rule of thumb is to evaluate which your student's expected annual salary is going to be after graduation, and then try to keep your total loan amount below that amount,\” says Colatriano. \”For parents with strong credit who wish to undertake the debt on their own, parent loans can be a sensible choice.\”
For competitive rates, flexible loan terms and excellent customer service, consult the industry experts with College Ave Student Loans. The lender offers private student loans and parent loans, and it is simple 3-minute application can quickly determine eligibility, helping your family breathe easy from day one from the process.
To learn more and for additional resources, visit collegeave.com.
At no more the road ? Being a strategic borrower and getting a simple loan experience might help your family take care of what matters most: get yourself ready for a good chance.