Last night, the high school where the Princess attends put on a Financial Aid and Scholarship Information program. I must say my head is absolutely spinning with the amount of information we received. There are SO many things to take into consideration. The maximum amount of allowed subsidized loans. The interest rates of subsidized vs. unsubsidized. Estimate Family Contributions. PLUS loans.
I think the biggest eye opener for me was the amount of interest you end up paying if you defer the interest payments until 6 months after the student graduates. The interest accrued during the 4 years then folds into the loan and so you end up paying interest on those four years of interest, which can eventually lead to the student paying back twice the original loan amount. THAT is frightening. SO much to think about!!!!
I've requested a meeting next week with the college counselor at the High School -- because of course I came up with a jillion questions after the program. For now though, my brain is still reeling!