Financing your child's college education promises to become one of the most important investments your family will make. We're here to help you along that journey!
For information on federal parent loan programs, parents can review the Federal Student Aid website. PLUS Loans made on or after October 1st, 2022-September 30, 2023 will have an origination fee of 4.228%. The fixed interest rate for the 2022-23 school year will be 7.54%. Parents can also calculate the total cost of borrowing by utilizing a repayment calculator.
Private Loan Programs
The interest rate charged on most private educational loans is either tied to the "prime rate" (the interest rate at which a bank will lend money to its best customers) or the 3 month United States Treasury Bill ("T-bill") rate or libor. For information on current and historical rates, visit the Federal Reserve's homepage.
For information on other private loans programs (where the student can be the borrower with a co-signer), go to the section on Loan Programs.
Monthly Payment Plans
Families may want to consider using a combination of the BVU Monthly Payment Plan and the PLUS loan to finance their expected family contribution.
General Financial Planning Tools for Parents
At www.collegeparents.org you can find college information for parents from start to finish.
For more information on the new, federal American Opportunity Tax Credit and other changes enacted by the tax cut bill recently passed by Congress, call 1-800-USA-LEARN.
There are many Internet sites which deal with the new "Education IRA". Visit Vanguard's site for a good summary of the program.
The U.S. Treasury Department's website has information on U.S. Savings Bonds.
Mapping Your Future features information on career planning, choosing a college, and financial aid programs.
The Financial Aid Information Page has a number of calculators which help families estimate their expected family contribution, how much they can afford to borrow, and how much they need to save.
To learn more about a 529 Plan offered by the State of Iowa check the College Savings Iowa website.