After reading my fellow classmate, Richard Lee’s blog post regarding this issue, I was interested to research this because it directly applies to me. Richard’s suggestions were spot on, but one of his recommendations was to apply for student loans. I decided to dive into that topic a bit more because I’m not knowledgeable about it but many of my classmates have used this resource to lessen their/their parent’s financial burden.
This article talks about reasons why parents taking out loans for their children is the worst mistake to make. From Parent PLUS Loans to private student loans, there are several type of loans to choose from, but no matter which type of loan parents go for, it is always a bad idea to borrow money under their name. They are not eligible for most things on the Student Loan Forgiveness list, such as the “Pay As You Earn” program. These programs are created to ease the fees students have to pay back and make it a more gradual process.
However, there are many better options to taking out student loans. Taking on a job, applying for scholarships and grants, and starting the college path early on by tacking on high school classes that can be counted for college credits. There are a variety of creative methods to graduate debt free, but they all require students to take initiative and responsibility for their own education.
https://www.tuition.io/blog/2013/02/should-the-government-profit-from-student-loans/