If you’re thinking of attending an expensive college, but don’t have access to huge sacks of cash, you may have a problem says USAToday:
Not only are some lenders closing up their student loan programs, but the home equity that many parents counted on as a college tuition “ATM” has dried up.
Last week, Sen. Edward Kennedy, D-Mass., introduced legislation that would raise loan limits for federal student loans. Similar legislation was introduced in the House. But the limits are unlikely to be increased by the time students start college this fall.
Families that are worrying about paying the cost of the college their child wants to attend should talk with the financial aid office as soon as possible, says Phil Day, president of the National Association of Student Financial Aid Administrators. Financial aid administrators may be able to help families find other sources of funding.
“If there are going to be some gaps,” Day says, “you want to know what those gaps will be.”
Is this affecting your college plans?