Student Loan Help

I grew up like most kids, loving the October Halloween month. I had a license to be bad and wasn’t afraid to use it. Snickers, KitKat’s, Reese’s Peanut Butter cups, & Twix were the sweet objects of my affection. And yes, my waistline reflected my sinful indulgence, but I wasn’t trying to impress anyone. Today October holds a much different feel from those young carefree days; a feel more in line with those post chocolate celebratory belly aches, given all the economic woes plaguing our county. And while my waistline is now much thinner, so is my hairline. Stress surrounding the greenback plagues us all.

“I need money for school, please help,” is a common phrase I hear from students each day. And when you come to the realization your money tree has been chopped down by Paul Bunyan it’s a terrifying reality check. I’ve been there myself. I just wish I had the ‘08 version of me to advise the ‘94 version of me, but I digress. I want you to benefit from my infinite wisdom. Here are my “Fab Four” ways to get those funds you need!

Private Student loans

Perhaps the only good thing surrounding an economic downturn is the cost of borrowing decreases, which means lower interest rates for you and me, which makes private loan options more attractive. It’s important to note that most students do require a co-signer for a private loan. Funds get sent directly to you and are great for everyday school expenses. You can also borrow up to $45,000 and repayment does not begin until after you graduate.

To apply for a private loan (click here).

Line of Credit

Bank of America offers a $25,000 line of credit for qualified applicants. Decision in 10 minutes and the funds get deposited directly into your checking or savings account. Best of all you don’t need excellent credit or collateral. Another great perk is you can re-borrow money you’ve already paid back if you get in a pinch.

To apply for the Bank of America Line of Credit (click here).

Credit Cards

Great to have for emergency situations. Also, depending on the card you can score some pretty sweet rewards points such as cash back on gasoline or even World of Warcraft online game time. The Citi mtvU card, our Editors Choice, rewards students for using credit wisely and getting good grades. A lot of cards also offer exclusive savings on merchandise and restaurants as well.

To apply for a credit card (click here).

Scholarships

I saved the best for last. We hold monthly scholarship giveaways for students. Students love it because you don’t need to write an essay or have a certain GPA to enter, but that doesn’t mean everyone has an equal chance of winning. By completing point activities you can accrue additional points which can then be used toward a monthly scholarship drawing. By the way, if you are already a scholarshippoints.com member use this bonus code FOURSTEPS for 20 magical points, and don’t forget to enter this month’s big 10K giveaway – cha-ching!

To become a scholarshippoints.com member (click here).

I hope at least one of these options satisfies you like a king size snickers, and I hope you get the funds you need for school. I want to turn those tricks into treats. Then we can all do the Monster Mash and won’t have to wonder whatever happened to the Transylvania twist!

It’s not the gun, but the person pulling the trigger that’s ultimately guilty of the crime. The same principle applies to credit cards and debt. Who’s really at fault when credit card debt gets out of control? Is it the person swiping the card or the bank that handed it to them? Or perhaps it’s neither. Maybe it all starts at home.

I receive calls and emails from angry parents asking, “Why are you offering credit cards to students? I don’t think that’s very responsible of you.” I must admit, I scratch my head when I hear this, although I do understand that parents want to safeguard their children from life’s many dangers. Being a father myself I certainly want to protect my son from any potential pitfalls, but credit cards are not one of them.

I’ll sit down with Barrett, when he is a little older, and set in motion a plan to ensure he is financially viable, and yes, having a credit card in his name is one way I plan on doing it.

I’ll serve as the co-signer on his credit card so I can monitor the purchases and view the statement activity. I will also have the credit line capped at $500-$1,000 as a precautionary measure. I want him to first learn to be responsible with a small balance before graduating into the world of auto loans or even a mortgage. Your child can gain valuable credit history at an early age and be well on their way to financial freedom with your guidance and watchful eye.

I take my responsibility as a parent seriously. I want the very best for my son as any parent does, which is why when I receive emails claming we are irresponsible for offering credit cards to students I’m bewildered. My Dad took time to explain things to me and ensure I would not get myself into financial trouble. “Pay yourself first” and “spend beneath your means,” were two common threads of wisdom he showered on me. He also eased me along in the world of credit and showed me how to make it work to my advantage.

We send our children to school so they’ll be educated and capable of making intelligent decisions in their lives, but that education begins at home. They look to us for sound advice and guidance. They put their trust in us. I am educated to the facts, and not the negative propaganda surrounding credit cards, which is why my son will be a step ahead of the rest. But it can be lonely being the lead dog. Anyone want to join our team?

Related Topics

Why Smart Students Have Credit Cards