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Our daughter recently finished year 2 of college. We've funded 100% of the costs so far through her 529 plan, scholarships, and current income but the well is running dry. Years 3 and 4 will require taking out student loans (as expected).
I'm generally aware of the various loan options (Stafford, PLUS, private, etc.) but I don't really know where to start. I know her financial aid award letter for the year will list the Federal loan she is eligible for which will be an unsubsidized Stafford loan. which I believe will be for $7,500 as a 3rd year student. The balance needed can come from a PLUS loan, I believe.
For those who have been through this recently, how does it actually all work? When do we need to apply for these loans in order to have the money to pay tuition in a few months?
I emailed the financial aid department of the school to ask the same questions but I figured I'd crowdsource it too. Any sage words of experience would be appreciated.
We will continue to contribute some funds from current income and I'm hoping that the new PT job I'm starting this week will work out and boost the disposable income that we can direct toward college costs as well. But for right now, student loans are definitely part of the plan (even if we get to pay them back in short order with increased income later).
I'm generally aware of the various loan options (Stafford, PLUS, private, etc.) but I don't really know where to start. I know her financial aid award letter for the year will list the Federal loan she is eligible for which will be an unsubsidized Stafford loan. which I believe will be for $7,500 as a 3rd year student. The balance needed can come from a PLUS loan, I believe.
For those who have been through this recently, how does it actually all work? When do we need to apply for these loans in order to have the money to pay tuition in a few months?
I emailed the financial aid department of the school to ask the same questions but I figured I'd crowdsource it too. Any sage words of experience would be appreciated.
We will continue to contribute some funds from current income and I'm hoping that the new PT job I'm starting this week will work out and boost the disposable income that we can direct toward college costs as well. But for right now, student loans are definitely part of the plan (even if we get to pay them back in short order with increased income later).
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