IF YOU’RE A PARENT LOOKING FOR WAYS TO HELP YOUR CHILD PAY FOR COLLEGE, IT MIGHT SEEM LIKE YOUR OPTIONS ARE LIMITED.
There are a lot of resources available for students to cover college expenses, but it can feel like there’s not much help out there for parents. But what you might not know is that there are actually student loans available for parents, too!
Like traditional loans for college students, federal and private student loans are offered to parents (federal Parent PLUS Loans and private parent loans from a variety of lenders). Parent student loans, or simply “parent loans,” are a great way to help cover the cost of your child’s college education while keeping the funds in your control.
If your child has maxed out their federal student loan limits, or if you simply want to manage the loan yourself, borrowing a parent student loan is a great way to do this. And if your plan is to eventually have your child take over the loan, refinancing is an option to turn repayment over to him or her in the future.
Because parent loan options are available from federal and private sources, interest rates, repayment plans, and other loan terms can vary. It’s worth it to do your research before borrowing a parent student loan to ensure you’re getting the best deal and finding the best loan option for you.
Want to learn more? Check out our articles on the pros and cons of parent student loans, plus what to look out for, and more here!