Unless you have been saving for your childs college education since they were born, you may not have enough money to cover their room and board, tuition, and other expenses at a college or university. Private schools cost much more than public ones, and in todays economy, you may be struggling to cover the bill for your child. You may only have limited funds, or you might not be able to afford anything. Luckily, there are some options that can make things easier.
Go the Traditional Route of Student Loans
Many students take out loans to cover the portion of their expenses that scholarships or their savings wont cover. Help them research providers, and consider cosigning on their loan with them. This makes it more likely they will get approved, and it could even result in lower rates. Your help can help your child save money over the loans life.
Help Your Student Find Scholarships
Grants and scholarships can help you cover the costs of school, although it can be hard to get into them, and you may struggle to find them. Start by checking with your childs university of choice to see what they offer that you can apply for. There might be some they are eligible for, such as privately funded ones. Next, use online scholarship tools to find grants or scholarships your child could qualify for. Start early and keep track of all deadlines. Read the fine print and requirements to qualify so you dont get any surprises. This also ensures your child has their application reviewed and considered on time. Applying can also help your child build writing skills as some applications will require an essay.
Consider Alternative College Types
If a traditional school is not on the horizon, look into junior colleges and technical schools. There are plenty of technical schools and vocational schools that can help your child prepare for a career. Your child could even earn some credit that can then be transferred to a traditional school. They can take their general education requirements at a community college and then transfer them. Just make sure their school of choice accepts credits from the community college. In some cases, students might find they dont need more than an associates degree to get into their career field of choice. You might find in some cases that two-year schools are more affordable, and they still allow your student to further their education.
Look to Other Sources of Funding
You could get other funding from your home by taking out a home equity loan. Ask your mortgage lender or bank if this is a good choice for you. Even if it won’t fully cover the cost of tuition, it can pay for some college expenses, and your child could cover the rest through scholarships or a job. You can also take advantage of retirement accounts, like your mutual funds or IRA accounts. Still, this is generally seen as a last resort because your child can always get funding for school, but you cannot borrow for your retirement expenses, and there could be early withdrawal fees.