Making smart education loan decisions
As you plan for your loved one’s future education, your savings strategy should include a review of student loans and what part they may play in paying for education expenses. And if you have a recent graduate, understanding repayment options is an important next step.
Alaska 529 has partnered with our program manager, T. Rowe Price, for valuable perspectives on understanding student loans. Certified Financial Planner Roger Young shares his insights in an article called How to Make Smart College Loan Decisions and Evaluate Loan Forgiveness Options. Check it out to understand why he recommends limiting debt to federal direct student loans, and how the various repayment options can affect your loved one’s future financial situation.
A few key takeaways from the article:
- Researching the types of loans and repayment terms is a critical step.
- Limit debt to federal student loans if possible.
- Depending on your income, an income-driven repayment plan might lower your payments.
Alaska 529 is here to support you on your education savings journey, with a commitment to the high level of service you deserve. For more information on the benefits of saving with Alaska 529, visit our Why Alaska 529 page.
