Opinion: Parents: Stop Taking Out Loans For Your Child's College Education

"It’s almost time to write that first check for your child’s first year at college," Robert Farrington writes in a Forbes opinion piece

"You have a responsibility to take care of your child, and to take care of yourself – financially speaking. And contrary to what many financial aid officers will say, you shouldn’t be taking out loans to pay for your children’s education – under any circumstance. Parents should not be borrowing money to pay for their kid’s college. …

What parents don’t realize is that there is a cost for them for taking on student loans, and it doesn’t usually make the most sense for them to take on this cost. …

There are better alternatives to parent’s borrowing for their children’s education. First, parents and students need to look for ways to graduate college debt free. It’s possible, and many students have done it. Next , parents and students should look for financial aid programs that could help. Many schools have programs that could help students, and there are also grants and scholarships that may be available.

If these options still don’t help cover the full cost of going to school, and there is a need for student loans, the student should only take them out. They should stick to Federal student loans, unless they have a valid financial reason for getting private loans, such as going to medical school. …

So, instead of borrowing for your children’s education, look at these alternatives and structure things correctly to save yourself in the future."

NASFAA's "Financial Aid in the News" section highlights media coverage of financial aid to help members stay up to date with the latest news. Inclusion in Today's News does not imply endorsement of the material or guarantee the accuracy of information presented.