The total amount of outstanding student debt has surpassed $1 trillion, according to the Consumer Financial Protection Bureau. If your child is in the process of choosing a college—or is already enrolled—your family might soon be adding to the heap.
While the growing debt levels have raised concerns, student loans still are a reasonable way to help fund a college education—within limits. Even so, figuring out the process and navigating the financial-aid maze can be complex and mystifying.
College costs continue to soar, despite a relatively low inflation rate, with the total bill at some elite universities nearing $60,000 for the 2012-13 school year.
If your family is weighing college choices or just beginning the hunt, here are some common misconceptions about student debt—and what you really need to know.
Here are major sections
The interest rate is what matters most.
Once made, all student loans are alike.
You can't determine what a college is going to cost until the student is accepted.
The financial-aid package offered at admission is good for all four years.
You should start at a cheaper community college.
