<p>I would appreciate the advice of any CC parents and students on my situation. I was recently accepted to my ~$43,000 a year dream school. My family did not qualify for any need based aid other than a Stafford Loan. I did not receive any scholarships to this school. My parents are both immigrants and are unsure of how best to attack this 43k a year problem... My family is middle class, and my parents make a good income (150k +) but its not like we have buckets of money around the house. </p>
<p>Any advice from families in similiar situations?</p>
<p>Don't forget that 43K is just for the first year, it will typically increase 4-5%/year. Perhaps you should consider a more reasonably priced school.</p>
<p>I don't mean to make this seem like a huge problem, I just want some advice on how to finance my college education well. 43k is a huge chunk of my parent's income and there is no way that they can pay that sum every year for four years out of pocket. So what kind of loans are best for our situation? I want to help my parents out.</p>
<p>Although I do have more reasonably priced alternatives, my family and I have worked hard for this acceptance and I can't imagine not goint there... I know it seems selfish of me, but at the same time, my acceptance meant sooo much to my parents, that they really want to send me there too.</p>
<p>I'm hoping you have some extenuating circumstances. It's very hard to believe that you applied to a school that was that costly and your parents are only able/willing to contribute $5000 to a $43000 bill. Especially with an income of $150,000. Did you not discuss this before or during the application process? Many people can give suggestions on how to make up or finance some money but not to the tune that you're talking.</p>
<p>If your parents want it that badly too, they'll find a way. If they own a home, home equity loan or refi may do it. They have a high enough income that bankers will be all over them if they put the word out.</p>
<p>david, in spite of the above comments, lots of people are in your situation. Your parents have a good income, but like most people can't pay a third of it out of pocket for college.</p>
<p>Home equity loans and remortaging homes are very common for homeowners with significant equity in their homes. They can also go to the bank and take out a conventional loan. You can chip in by working long hours summers and working some during the school year too.</p>
<p>Stop bashing this guy. All he wants is advice, not your milk money!</p>
<p>Free money is the nicest way to pay college bills. That includes grants, scholarships, and generous relatives. It's work to fill out scholarship and financial aid forms, but worth the trouble. Follow up with your college. They might reevaluate your situation. You are in an especially good position if you were offered an award by a different college. Mention that when you call to discuss this.</p>
<p>The next best money comes from subsidised loans such as Stafford and Perkins Loans. The interest on these is paid by the government during your time in college and for 9 months after you graduate. The college arranges for these loans and distributes the money. You must fill out the FAFSA in order to qualify. Be sure that your FAFSA is submitted and that your college received a copy (FAFSA reports information directly to the college). Check out <a href="http://www.finaid.org%5B/url%5D">www.finaid.org</a> for interest free loans too.</p>
<p>The least preferred method of paying for school is the old fashioned loan. But there are plenty of varieties. Your parents would probably prefer you take out the loan, not them. That way if you turn out to be a deadbeat it's your credit history on the line, not their home and retirement.</p>
<p>Among the best values are unsubsidised Stafford loans. Again, fill out the FAFSA, and go through the college finance office. The college finance office can also direct you to favorabe student loans. The interest rate will go up once you move away from Federal loans. </p>
<p>At some point it may be a matter of who will give you or your parents the best interest rate. Other than home loans and home equity loans, look into employer sponsered education loans. </p>
<p>One other place to look is your State college fund. Some states offer vouchers that can be used in foreign states (within the US).</p>
<p>Good luck, and let us know if you find other sources of "gold."</p>
<p>With income of 150K I don't think he qualifies for the subsidsized Stafford Loans? Our income is way less and we don't qualify. We do qualify for the unsubsized Stafford loans - $2,625.00. I was told this was a gov. thing and you don't get any more unless your income is less but I am wrong? Because we would definately like the subsidzed ones.</p>
<p>Thank you for the understanding and informative message lwk and Zagat, I don't understand why people get so critical on these boards, I used to think of it as "support system", but not lately.</p>
<p>I have been applying for scholarships left and right, I'm practically going mad from all these apps but I know that right now it's my best option. Unfortunately we don't qualify for a subsidized Stafford loan, but we will most likely take an unsubsidized one as well as follow a Home Equity / Remorgaging route. All this info has been great and I am grateful to those who freely offered it up without criticizing my questions.</p>
<p>David, I'm facing a similar situation with my daughter. I make almost mid six figures and my daughter's tuition is $44k. Her school calculated our EFC to be $27k (which was less than federal) so we were able to get some insitutional funds for about $9k plus some loans for a total of $17k. I committed to paying $20k because that's what I thought I could reasonably afford. Her school has a plan where parents can make monthly payments towards tuition. I'll pay $1500 a month for 10 months for a total of 15,000 and borrow $5000 from my Home Equity Line of Credit. She'll take out the remainder in loans in her name and once she finishes school I'll either help her with the additional loans or do a refi and pay them off.</p>
<p>If your parents are considering doing monthly payments they may want to check it out soon. At my daughter's school, the payments start in May (as in next month:) and go through February.</p>
<p>I have no idea. I was quite surprised actually because federal said $36k. Maybe I got points for being a single parent (my daughter's father is deceased).</p>
<p>Proudmom, I am surprised that even the federal came to as little as $36K. </p>
<p>I now wish that we had applied for financial aid just in case it worked out favorably. I used one of these calculators that said that our EFC would be some ridiculous amount - substantially in excess of the $45K tab at the private schools that my son applied - and so I decided that it was just not worth even bothering.</p>
<h2>davidpien posted: I don't understand why people get so critical on these boards, I used to think of it as "support system", but not lately.</h2>
<p>That's so funny, cuz I used to think that a family making, say, $150,000 per YEAR without a mess of children or debt from a catastrophic event would've been a fairly good "support system" for paying the cost of a good college education. What's even stranger is that I never realized there were so many parents who achieve, almost overnight lately, a level of financial security that $150,000 a YEAR can buy them....I thought that such a proud, though modest, fortune of circumstance won by a steadfast resolve to succeed, as seen among many immigrants and non-immigrants alike, would have required a slow blossoming to realize labor's reward. It couldn't be more unbelievable if it were to happen to my own mother (may she rest in peace). </p>
<p>It's a pity some parents NEVER earned, oh...say, only $107,000 a YEAR at some point in their lives, because then they might have gotten the chance to consult one of those wizards who magically stores money and can even grow money! </p>
<p>I know, I know, it's so easy to criticize others and probably a bit mean on my part, especially when I remember that the idea of tuition, being in various and even monstrous sizes, was just proposed last week by a leprechaun with a cleft palate who broke into my house and demanded to know what a bucket of money should be used for.</p>
<p>Quite silly, that leprechaun, for having to ask.</p>
<p>I don't understand people like you who have nothing better to do than annoy other people on CC. You have no perspective on what my life is like, and no right to judge my situation. </p>
<p>Seriously, get a life other than posting sarcastic comments on message boards.</p>
<p>I in no way am trying to liken my financial situation to someone who truly cannot afford college. I understand that my family is truly lucky and blessed. However, last time I checked, this board was open to everyone, not just the poor.</p>