<p>For one school that my son applied to we had to submit the CSS Profile from Collegeboard. On that application it had a place to check for applying for a PLUS loan. </p>
<p>My son didn't get into the school that required the CSS and of the five schools he did get into, I'm still waiting for Financial Aid packages from two.</p>
<p>This afternoon I got a letter from Collegeboard/CSS informing me that I did not quailfy for a PLUS loan. My credit is poor because of a number of complicated financial situations, although our household income is steady.</p>
<p>For one of the likely scenarios, we would need $4K to $5K a year in parent loans for it to work. I have an awful pit in my stomach that I'm not going to be able to get make this work. </p>
<p>If my credit is too bad for a PLUS loan, are there any other alternatives (and no, there is no one in the extended family that would be suitable for a co-signer)?</p>
<p>Thanks for the information! So if I'm reading it correctly, the $4K in an unsubsidized Stafford would be an option if we (the parents) have been turned down for a PLUS loan. It still may put us short $1K, but I'll take an extra job for a month or two to fix that (I can catch up on sleep when I retire 30 years from now... right?).</p>
<p>So is that $4000 total- up from the normal first year amount of $2625 or is that $4000 more?? Either way that still puts our family short thousands... :(,
When you co-sign for your kid on their own "private" student loan do they consider your debt to income or do they just look at your credit?? We have so much debt and I am positive we are maxed out as far as debt to income- but our bills are always paid on time and we have never had any problems -just too much debt?? I heard from someone that they only look to see if the co-signer has had derogitory stuff (Bankruptcys-foreclosures-leins) stuff like that, not your debt to income?? If any one knows anything about this please HELP!!! My son is willing to take out personal private loans with "US" (hopefully) co-signing for him. If not he won't be able to go to any school he was offered admission. Mabe community college??</p>
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So is that $4000 total- up from the normal first year amount of $2625 or is that $4000 more?? Either way that still puts our family short thousands
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<p>It is an additional $4000 that the student will be able to borrow. In the OP's case this may leave a gap of $1000 that student may be able to fill with odd jobs, decreasing personal spending (you would be suprised at the number of purchases attributed to want vs. need), if they are getting gifts for graduation/birthday, if you need $$ request $$ to help pay down the debt.</p>
<p>When co-signing for a loan they look at your overall credit "worthiness" your debt to income ratio and your history of bill payments (late payments, liens , bankruptcy, etc) because you are essentially saying that if the person that you are co-signing for does not pay the debt that you will pay and your creditors want to make sure you are in the financial position to do so.</p>