Parent college loans can work for you, if you can answer "yes" to these questions:
Does your child know what they want to major in?
Will employers care which school granted the degree?
Will your child stick it out to the end, no matter what?
Do you have a concrete plan to make these additional payments?
One at a time:
The days are long past when students go to university simply for the "college experience". Guidance counselors used to ask students if they knew what they wanted to major in. When they replied that they weren't sure, their counselors would say, "Oh, that's ok; you don't need to decide until your junior year." Not anymore. Tuition is just too expensive. And parent college loans should be looked at as an investment in the future. Would you invest in a company that didn't have a business plan? Its understandable if a student does not have a clear idea about what they want to do, but if the money isn't there, they should take some community college or public school courses to find out.
In the spirit of looking at parent college loans as investments, the next thing you want to know is will it make a difference? Is a high-priced school going to give the student a real, professional edge over other graduates? If your child is going to major in computer science or chemical engineering, it will. A top-notch engineering college will make an enormous difference in career placement and salary. For a public service profession like social work, a state university degree will work just as well. Or, if an advanced degree will be needed, the high-priced school can still be in the picture for graduate work. Undergraduate work can be done at a lower-priced school without sacrificing future prospects.
This is somewhat unpredictable. No one knows how a student will react to college life. It can be overwhelming even for students who have wonderful grades in high school. And of course, life just throws curves once in a while-- your child may meet the person of their dreams and give it all up for love (leaving you with the bills). So, this is where you measure their passionate commitment to their field of study. Is your child excited about the major they've chosen? Or is it just something they fell into because it comes easy to them? You should feel confident, not apprehensive about taking out parent college loans.
The payments are not going to go away; the future is not going to take care of itself. You have to do that. Before you say "yes" to the loan, you need to come up with your own 'business plan' to make those extra monthly payments (and not by squeezing it out of your current income). You shouldn't have to live like a student even if you are taking out a 'student' loan. Whatever your plan is to get the additional income, (starting an e business, getting a part-time job, selling a house)don't count on your child helping you with the payments. Your child is going to have their own loans to pay back. The maximum amount for a Parent PLUS loan is the cost of school minus other aid (like the Stafford loans they'll be offered).
The good news is that now (through 2010) you can take out parent college loans and defer the payments until after the student graduates. That gives you four years to secure that added income. The bad news is that one parent loan won't be enough; after all, college is four years. And while its true that the student's maximum loan amounts increase every year, that simply allows other aid to be decreased. Unless your expected family contribution is lowered because of unemployment or some other drastic change, the amount you take out the first year is what you're looking at for every year.
So, are parent college loans right for you? Well whether they are or not, you'd better learn everything you can about them, because you'll probably apply anyway. After all, everyone knows that parents can't say "no" to their kids.
Recommend : Electronics on Sale Womens's Fragrance Video on Sale Tool Sets & Home Repair Buy HDTV Onsale
ไม่มีความคิดเห็น:
แสดงความคิดเห็น