How to Get Financially Prepared for College

Pursuing college education is every parent’s dream for their kids. With only a few years left before graduation, can you say that you are financially prepared to send your child to college? If you’re a student, are you confident that you can take on the financial challenges that await you? In this article, we’ll discuss some of the possible steps you can take- both as a parent and as a student- to be financially ready for college.

Research about college student loans. Student loans are great assistance for college. There are two basic types of student loans that you can get- Federal Student Loans and Private Student Loans. Know the qualifications on how to get approved for a Federal Loan. Can you qualify for a subsidized Stafford Loan? Find out the necessary documents you need to prepare to speed up your student loan approval.

There are some students who choose to acquire more than one type of loan for their studies. Aside from obtaining a Federal Student Loan, you can still apply for a Private Student Loan at the same time. Although Federal Loans have lower interest rates, these loans are usually limited. Private Student Loans may come with higher interest rates but if you need additional financing assistance, you can apply for more one private student loan. Studying your options as early as possible would definitely work to your advantage.

Search for possible scholarship programs. Are you qualified for a scholarship? If you are, you should start your search early. Don’t forget that hundreds of students apply for scholarships each year. If you fail to submit your application on time, you could be missing on a wonderful opportunity to study for free.

Check for company sponsored scholarships. If you’re a working parent, don’t forget to check whether your employer provides a sponsored scholarship program. If so, don’t hesitate to enlist your child for a scholarship.

Start saving for college. To be financially prepared for your child’s college education, set aside a portion of your income each month for your child’s education. Today, banks offer special Savings Accounts that are exclusively for college purposes. Ask your bank about this provision and grab the opportunity.

Get a college student credit card. Another funding assistance that you can get is a student credit card. As a student, you have the privilege to get approved for a student credit card even if you haven’t yet build a credit history of your own. In fact, a student credit card is primarily used to establish credit history while you’re still studying.

It’s also worth noting that lenders aren’t the only ones who check credit reports. Landlords and employers also use an individual’s credit report to examine a person’s background and credibility. Building up good credit would prepare you when the time comes that you’ll need to look for a job, find an apartment to rent, or seek a car loan. By establishing your credit history while you’re still in college, you can better prepare for your future.

About the Author

Samantha Wilson is a consultant for credit cards for students. For years she has written student credit cards articles that would help build student credit.
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