In 2017, Reconsider Co-signing Student Loans, Search College Scholarships First


April 4, 2017
by Susan Dutca
With more than 75 million struggling millennials and a colossal $1.3 trillion in student debt, parents should be wary of co-signing on a student loan, as it could greatly affect their future finances and retirement. While Americans highly value a college degree and many parents would sacrifice their finances to help their children, co-signers can be left in the dark if the college plan doesn't go as planned.

With more than 75 million struggling millennials and a colossal $1.3 trillion in student debt, parents should be wary of co-signing on a student loan, as it could greatly affect their future finances and retirement. While Americans highly value a college degree and many parents would sacrifice their finances to help their children, co-signers can be left in the dark if the college plan doesn't go as planned.

The majority of families afford college through college loans, especially when the average yearly cost of a four-year college degree is $80,000 at an in-state public school and roughly $200,000 at a private college. These numbers don't even account for the cost of not graduating on time, which happens often.

Nonetheless, co-signers are "willing to ignore harm to their credit rating and being burdened by loan payments in retirement." According to LendEDU, 57 percent of co-signers "believe their credit score has been negatively impacted by co-signing on a student loan" but "only 35 percent of parents regret [it]." 33 percent of co-signers did not even fully understand the risks of co-signing; and still, 66 percent of parents whose children asked for help on loans co-signed. Co-signers do have the choice to opt out of the agreement via a co-signer release, or if the loan is refinanced. Options such as Parent PLUS loans also require parents to repay the loans, so that they aren't "at the mercy of the student being able to make payments."

If co-signing loans is a necessity for your family, experts recommend having strong and open family communication. Being able to discuss debt, what financial information should be disclosed with children, and "examining the dollar-and-cents details" are crucial for successful co-signing. Either that, or avoiding it altogether. One way in which college can be paid for - sans the financial repayment or burden is through college scholarships, which do not need to be repaid and are awarded for various types of achievements, hobbies, talents and more. No matter your current year in school, there are dozens of college scholarships, scholarships for undergraduate students and graduate student scholarships waiting for you!

Just because there are millions of college scholarships out there doesn’t mean you have time to go searching, and many won’t even match your profile. We’ve done the work and Scholarships.com is totally free. We have the search algorithms and scholarships database, saving you time in searching, finding and applying to thousands of dollars in college scholarships. Get instantly matched to scholarships that meet your unique talents, skillset and strengths, only those you qualify for. Access a complete list of college scholarships now by conducting a free college scholarship search at Scholarships.com.

Discuss

Share your thoughts and perhaps thousands of students will benefit from your unique insight on the subject!



If you can read this, don't touch the following fields


 
 Photo obtained by ABC News.

A gun-toting Tennessee college senior showed her support for President Trump and guns while holding her shirt up to reveal her handgun in her graduation photos to show who [she is] as a person. The photo, which went viral on Twitter, gained both positive and negative feedback - some of which claimed she was brandishing a firearm for a photo shoot or showing it off to try and look cool.

Gun-Toting College Girl Faces Backlash for Grad Photo

April 10, 2018 11:05 AM
by Susan Dutca
Photo obtained by ABC News. A gun-toting Tennessee college senior showed her support for President Trump and guns while holding her shirt up to reveal her handgun in her graduation photos to
A former University of Central Florida football player who lost his athletic scholarship for his YouTube antics is now suing the university for allegedly violating his constitutional rights. In its defense, the university claims he violated NCAA rules on players not making money from their likeness and reputation.

College Student Loses Scholarship, Sues School

March 20, 2018 2:46 PM
by Susan Dutca
A former University of Central Florida football player who lost his athletic scholarship for his "YouTube antics" is now suing the university for allegedly violating his constitutional rights. In its
An autistic Orange Coast College student who was barred from campus is suing the institution for $5 million, claiming it mistreated him. The civil lawsuit was filed after an altercation where the student was pepper-sprayed and arrested for felony vandalism and misdemeanor charges.

Autistic Student Alleges Assault, Sues College for $5M

March 13, 2018 2:56 PM
by Susan Dutca
An autistic Orange Coast College student who was barred from campus is suing the institution for $5 million, claiming it mistreated him. The civil lawsuit was filed after an altercation where the

    You don't need to have the luck of the Irish to apply for and win these March scholarships. If you want to see a little more green in your future to help pay your college tuition, you will need to explore, review and apply for these March 2018 scholarships. If you prefer to get a list of personalized scholarships for which you qualify instead, conduct a free scholarship search here.

Land Your Pot of Gold with March 2018 Scholarships

March 7, 2018 3:52 PM
by Susan Dutca
You don't need to have the luck of the Irish to apply for and win these March scholarships. If you want to see a little more green in your future to help pay your college tuition, you will need
A new Stanford Student group, the Stanford Students Against Addictive Devices (SSAD) led a student-protest over the weekend asking Apple for help in getting its users to put their phones down. Led by computer science majors, the group wants to bring awareness to the public health issue which, research shows, can have serious implications for people's mental and physical health.

Stanford Students Call on Apple to Combat Phone Addiction

March 6, 2018 1:56 PM
by Susan Dutca
A new Stanford Student group, the Stanford Students Against Addictive Devices (SSAD) led a student-protest over the weekend asking Apple for help in getting its users to put their phones down. Led by