Argh! How do you pay for college when things don't go according to plan?

[KidsHappen]

As I have mentioned before, my 17 year old worked extra hard last year to finish both 11th & 12th grade so she could start college a year early. She finished with a GPA of 3.75, got an 1850 on her SAT, was accepted to her college of choice and passed all her entrance and placement exams. If any child deserved to go to college it is this one. She has worked really hard to get where she is. She is out of state so the tuition is higher but moving back home isn't really an option for making into college this year anyhow. I really want to help her through until she is 18.

 

However, according to the FAFSA we are expected to contribute $20,000 per year for each child in college even though we have eight children total (only four of which count because one is 27, two are married, and the last one just turned 26) with three going to college at the same time and we are still paying our student loans. Our plans were for the children to get student loans to use for tuition, books and fees. We are providing housing and food and they are working for any other costs they may have. The only problem is that the 17 year old can not take a student loan by herself because she is a minor. We can't co-sign because we are over extended, duh (see reasons above and below). If they say that we don't qualify for a loan of that amount how is it that they expect us to pay tuition for that amount? My brother also tried to co-sign with her but her doesn't make near enough money to cover the cost so they denied him. She hasn't qualified for any scholarships yet so basically we need to come up with about $5000 by Thursday and this would only cover the tuition for two class (half time) but would not include all the fees and books and such. We can come up with that amount for first semester even though it will be a real stretch but there is no way we could come up with that much again for second semester. How in the world are we going to pay for second semester to get her through until she is 18 and can take a student loan?

 

We currently have a mortgage, two car payments on our credit (only one is ours we co-signed on the other), student loans, and regular utilities, plus excessive medical bills and living costs and loans we took to pay for family funerals in the last two years. There is very little fat that can be cut from the budget. We usually get both a tax refund and bonus each year so that we have an emergency cushion in the bank but have received neither in the last two years.

 

Has anyone else ran into this situation and if so how did you work it out. All advice welcome. Thanks so much.

[Rosie_0801]

Our system is different, but I worked full time and took one class per semester, paying for that class upfront. If she's living at home, which I wasn't, she might be able to squeeze in two subjects. I don't think I'd recommend that though. I did this for three years before quitting work to go to Tafe (like your CC, I think) full time for 18 months, and while doing that I kept doing one class at night at uni. That got put onto our student loan scheme. After that I finished off my BA full time.

 

A sucky situation, but if she can work and study, she'll be building her resume which is a very valuable thing. Maybe a year of full time work would allow her to cover one class per semester for that year, and have enough saved to be able to cut her hours down enough to take two classes after that? It would take longer, but maybe she can get out without a debt, or at least half the debt she would have had. Having remained employed the whole time will surely help her when she has finished and is competing with kids who have nothing of note on their resumes.

 

:grouphug:

Rosie

Edited August 10, 2010 by Rosie_0801

[Barb_]

First the :grouphug:

 

Then the practical part. If it were me, I would encourage her to live at home and work full time for a year. She can sock away at least one year's EFC.

 

I see Rosie already said the same thing and obviously :iagree: The situation isn't ideal, but as they say, it is what it is.

 

Barb

[Rebel]

My son took out a federal student loan in his name AND was required to sign for it himself both last year when he was 16 and this year when he was 17. I thought I would need to do it in my name since he is a minor, but the college said, "no." I believe his was a subsidized Stafford which is need based, but an unsubsidized Stafford is not need based so your dd should at least be able to qualify for that. Also PLUS loans can be obtained by the student if the parents are turned down, but not sure if age would be a factor there.

 

Edited to add that he has both subsidized and unsubsidized Stafford loans.

Edited August 10, 2010 by Rebel

[Sonshine]

Gosh - how frustrating and disappointing. Is community college an option? How about a gap year? Maybe she can go off and do some exciting thing that will at least cover her living expenses. Some people do that on purpose just to have an adventure. Do you have any relatives she might enjoy spending a year with while working and seeing another part of the country?

 

I also frequent collegeconfidential.com. You may get some additional insight into the finances of college there, although it sounds like there are no easy answers here. We too have a lot of kids and it does not help with the FAFSA expectations. Why they don't know it costs more to feed, clothe, house etc. 8 more than 1 I don't know.

[Crimson Wife]

Can you go to court and get her declared an emancipated minor? That way she'd be legally able to sign contracts including taking out student loans.

[Chris in VA]

Have you been to the college's financial aid office and actually talked with someone to explain the situation? You could make an appt and bring in all your financial data, and see if they will take that into consideration and offer a loan.

 

But I think maybe the answer is that your dd won't get to go there right now. :grouphug:

It's a hard lesson, but college is worth working for.

[Pippen]

As I have mentioned before, my 17 year old worked extra hard last year to finish both 11th & 12th grade so she could start college a year early. She finished with a GPA of 3.75, got an 1850 on her SAT, was accepted to her college of choice and passed all her entrance and placement exams. If any child deserved to go to college it is this one. She has worked really hard to get where she is. She is out of state so the tuition is higher but moving back home isn't really an option for making into college this year anyhow. I really want to help her through until she is 18..

 

Just some thoughts: personally in this economy I think it's important to help kids see the long term picture so they put together a college plan that won't leave them saddled with an unreasonable amount of debt at age 24. One's abilities and desires often don't gel with financial realities and that's a good lesson to learn now before mistakes with big time long term consequences are made.

 

Back in the days when I went to college we were a low income family so I was able to get grants and low-interest loans which I was able to pay off in a few years of deliberate effort with a modest teacher's salary. The financial reality for my son is that we have a middle class income that doesn't allow for much in the way of saving but will not give him a great aid package. He'd love to go to a four year college, and would definitely love to go out of state. But most likely he'll be starting at the community college two miles down the road, working part time, and transferring to a four year college after a few years.

 

When large sums of money we don't have stand between our present reality and our dreams, I think it's a good time to stand back and re-evaluate. I don't mean give up those dreams, but to take that as a message that it's best to come at it with a different plan.

[Ravin]

I'd say you should talk to the financial aid office at the school. It's not always as cut and dried as what the FAFSA says.

 

Has she given any thought to military service?

[creekland]

Does the college she wants to go to offer merit aid if she were to wait a semester, spend part of her time working earning $$, and another part taking an SAT or ACT study course and up her score? Some schools offer X dollars for a minimum Y score. That could prove just as valuable.

[athena1277]

Can you go to court and get her declared an emancipated minor? That way she'd be legally able to sign contracts including taking out student loans.

 

:iagree:This would also allow her to qualify for work-study.

[Onceuponatime]

Two things:

 

*Is this a private college? If it is, I don't know if you are going to get a better offer. She may have to seriously think about a different school. I know that's not what you want to hear, but she could get all her general ed out of the way some place cheaper then transfer later.

 

*Is this a state school? If it is, those numbers don't sound right. Did you help her with the FAFSA, or did she do it herself? If she did it herself, I would go over it and make sure all the info is correct.

 

I would NOT go for 20,000 a year in loans. There are not many professions that would have an easy time paying back that debt accumulated over 4 years.

 

It may be annoying and frustrating, but it won't hurt to delay the attendance to that school for a couple of years and go somewhere else in the meantime.

[Renee in NC]

If you have 3 dependent children in college at one time, isn't your total EFC spread out over the three?

[Joyofsixreboot]

Just my $.02. My dd is living at home, working and taking classes as she can afford them. Dh and I feel strongly she should not incur debt to go to school. and neither should we . It will take longer and might not be as much 'fun' but that's life. My 16yo is looking at the armed forces to afford college.

[Jen in PA]

:grouphug:

I finished high school a semester early hoping to use that time to save up for college. Even though I qualified for excellent aid packages, we were really broke, and I was struggling with the unlisted expenses -- airfare to get to school, buying dorm needs, paying for textbooks while waiting for my grant money. I ended up waiting a year while I shopped around for more scholarship money, and my half year advantage turned into an extended gap year. I worked 3 jobs and read nonstop during that time, and I have to say that it made me a much more independent and mature college freshman than I would have been otherwise. But I will be honest -- it was hard to have my friends head off to college when I felt stuck. Just let your daughter know that whatever she does, even if it is working full-time or taking just a few classes, she is making progress toward her goals, and she is gaining new skills along the way.

[JFSinIL]

If you have 3 dependent children in college at one time, isn't your total EFC spread out over the three?

 

That has been my understanding, too.

[KellyinPA]

Just my $.02. My dd is living at home, working and taking classes as she can afford them. Dh and I feel strongly she should not incur debt to go to school. and neither should we . It will take longer and might not be as much 'fun' but that's life. My 16yo is looking at the armed forces to afford college.

 

 

This is our situation as well. We have committed to paying for CC for our dd ( after years of Christian school $$ it's a drop in the bucket) but she will need to work and pay for her own schooling when she transfers in two years. We are strongly advising her to NOT go into debt. Our 26 yo son is married with two children, baby #3 on the way. My dil's parents were generous enough to allow them to move in with them so they could pay off the debt much sooner and save for a downpayment for a home.

College debt is NOT something you want your kids to be saddled with, IMHO.

[Pretty in Pink]

I agree that I would not encourage her to go that far into debt to finance her education.

 

I would start to seriously consider local (in-state) schools and maybe even community college. She would probably have to delay her entrance until the Spring semester since school starts so soon, but she could work between now and then and save up a few thousand dollars.

[JenC3]

Just some thoughts: personally in this economy I think it's important to help kids see the long term picture so they put together a college plan that won't leave them saddled with an unreasonable amount of debt at age 24. One's abilities and desires often don't gel with financial realities and that's a good lesson to learn now before mistakes with big time long term consequences are made.

 

Back in the days when I went to college we were a low income family so I was able to get grants and low-interest loans which I was able to pay off in a few years of deliberate effort with a modest teacher's salary. The financial reality for my son is that we have a middle class income that doesn't allow for much in the way of saving but will not give him a great aid package. He'd love to go to a four year college, and would definitely love to go out of state. But most likely he'll be starting at the community college two miles down the road, working part time, and transferring to a four year college after a few years.

 

When large sums of money we don't have stand between our present reality and our dreams, I think it's a good time to stand back and re-evaluate. I don't mean give up those dreams, but to take that as a message that it's best to come at it with a different plan.

 

 

ITA! We owe a mortgage in student loans and none of my kids will do the same. Now my dh does !almost! have his doctorate and makes enough to pay them, but it still could going into a college savings plan for them. My idea is for them to earn a practical degree while under 20, work and then follow an interest degree program with some of their own funds. I would rather offer help for first homes, etc when they are older.

[Hannah C.]

:grouphug:

 

Are there any other relatives who would be willing to co-sign with your dd? Does the person co-signing have to be a relative?

 

If that failed, I would try going to the financial aid office, explaining the situation, and asking if there is any way they could provide any sort of aid just for freshman year. Financial aid offices are not ruled by FAFSA..they have the ability to consider extenuating circumstances.

 

There is also the emancipated minor thing. I don't know if that would make your dd independent on FAFSA (that is hard to do!), but it would enable her to take out student loans on her own.

[Night Elf]

I'm just curious, but why did she choose an out-of-state college? A special degree program?

[Forget-Me-Not]

It looks like you've exhausted all your avenues. Even if you could get her emancipated, you couldn't possibly get it done by Thursday so she could sign her own loan. She'll probably have to take a year off and work or go to community college. I understand that she'll be disappointed and that you feel she deserves to go to college this year, but it really doesn't sound like it's a possibility. Sometimes we just can't have everything we want immediately. She'll have to work a little longer for it, and she'll appreciate it even more for that.

[KidsHappen]

I'm just curious, but why did she choose an out-of-state college? A special degree program?

 

No. She chose that college because she wanted to live near all of her sisters that live in GA. They all three live together. It is her intention to become a long time resident here. My SIL, soon to be SIL and one of the girls work at a factory making about $14 an hour starting pay, which is pretty good in this economy. The 17 & 18 year old and soon to be SIL law will all go to this college and they have a good program in her area of study. Plus to tell the truth this house was getting very crowded whereas my dd has a larger house and plenty of room. So really it is a combinations of things all of which were going according to plan and working out well. Being turned down for a sudent loan was a bit of a snag and totally unexpected. I have never heard of someone being turned down for a student loan before.