Forbes: The Dangers Of Paying For Your Kid's College

Claire Bradley of Forbes Magazine has published an article which notes the financial risk of college debt for students and parents.  She observes that the $20,000 in debt the average undergraduate leaves school with can often balloon to an amount whose payments are impossible to make.  Parents who have often cosigned these loans then become responsible for the hefty bills.  Bradley also cautions against taking money out away from retirement savings account to help a student; while this common practice may lessen the amount of debt a student carries, it may leave parents without a satisfactory "nest egg," creating only another financial burden for students who may have to take out a loan to support their retired parents.  Bradley suggests that parents and students consider in-state public schools which are often cheaper.

Posted by Joshua Hock, Associate Editor, Wealth Strategies Journal