Blog Highlights
- Comprehensive Budget Planning: Details the necessity of accounting for all potential college expenses such as tuition, books, and technology, as well as costs beyond traditional expenses like childcare and transportation to avoid surprise financial hurdles.
- Securing Free Financial Aid: Highlights the importance of scholarships and grants, providing strategies for identifying and applying for these resources effectively to minimize college debt.
- Smart Financing Options: Discusses various student loans and educational financing methods, including the strategic use of a home equity loan and home equity line of credit, with an emphasis on long-term financial planning.
College costs today can vary widely from school to school, and can also extend well beyond tuition and books. From high-tech laptops and pricey college dorms to transportation and childcare for class, no matter how you slice it, college is expensive. Whether you’re just graduating from high school and starting out on your new college journey, are a career-focused professional returning to school for a better position, or simply have the goal of pursuing further education for self-improvement, early planning can go a long way in helping you afford the college experience you're hoping to achieve.
Tips for Paying for College for Every Type of Student
1. Identify All Potential Expenses
When it comes to carefully planning for college, you must first understand all the costs involved with your education. While we usually consider the traditional expenses such as tuition, housing, school supplies, and textbooks, we often overlook things like the cost of childcare, required technology, and commuting costs when considering paying for college. Having a complete list of all education expenses as well as a detailed budget for them not only helps you determine if you can afford to attend your desired school, but also reduces the risk of surprise expenses that can drain your budget during the semester.
2. Scholarships and Grants - FREE Money for College
Savvy college students should focus on securing local, state, and national scholarship opportunities, as well as need- and merit-based grants. There are a variety of free resources to search for scholarships and grants that can help alleviate the financial pressures of affording college.
- Speak with your high school counselor or visit the financial aid office at your college.
- Use the U.S. Department of Labor’s free scholarship search tool where you can search almost 10,000 financial aid award opportunities.
- Visit your local Georgia or South Carolina state government websites for state funded grant offerings.
- Check with your local credit union and other community resources for additional opportunities.
Submitting a well-tailored application and meeting deadlines is critical to increase your chances of earning a scholarship to help pay for college.
3. Federal and Private Student Loan Financing Methods
There are a variety of ways to pay for college and a plethora of resources to help make it affordable. This includes federal student loans such as subsidized, unsubsidized, and PLUS loans, as well as different types of private loans. Be sure to pay attention to interest rates, and the repayment terms and options before obtaining a student loan. You'll want to choose the best option that will fit your needs now to avoid the potential long-term impacts of carrying heavy student debt that may affect your financial situation later on.
4. Financing Options for Career Seekers and Parents
Homeowners who need help paying for college may decide to use the equity in their home to cover expenses. Whether you need to fund your own continuing education or help cover a child’s college costs, a home equity loan or home equity line of credit (HELOC) may be your solution.
- Home equity loans and home equity line of credits (HELOCs) typically offer lower interest rates than personal or private student loans.
- Depending on your home's value, you may have access to borrowing a larger sum of money.
- Offers flexibility in using funds to cover traditional and untraditional college expenses.
- Possible tax benefits (be sure to consult with your tax advisor).
A home equity loan or HELOC can be an affordable alternative for paying for college. However, homeowners should be aware that their home will be used for collateral, and that additional fees and closing costs will apply. Before making a decision, be sure to weigh the costs to determine whether this option aligns with your financial goals.
5. Build a Supportive Budget
Creating and sticking to a budget is crucial for affording all the things you need for your education. It'll give you the empowerment of being able to manage limited finances and avoiding future debt so you can continue to focus on building a secure and stable future after graduation.
- Download one of our '3 Practical Budget Templates' that best fits your lifestyle.
- Try myBalance, a budgeting app offered through BALANCE (free for Peach State members).
- Use online or mobile banking to pay bills on the go, monitor your account, set up alerts, and more.
- Set up automatic transfers to make saving for emergencies and paying loans easy.
Peach State Offers Financial Resources for Every College Student
Having a solid plan to help cover the costs that come with getting an education is a must in order to stay focused on your studies and get the best possible experience. Understanding the different types of financial tools and resources available can help you choose an affordable strategy that suits your specific needs.
Whether you’re just starting out or continuing your college journey, planning early and staying organized are critical steps when it comes to paying for your education. If you'd like to learn more about your options to help pay for college and get the education you deserve, contact us today!