How Credit Unions Can Help Students with Mounting Costs

For the average student attending a four-year public university, they can expect to spend around $33,000 a year, this is according to new research from the College Board. What exactly makes up this number and how can today’s students afford it?  Here is the break-down of college expenses and a solution for handling the cost of a higher education.

Average Education Costs

Tuition – for students attending school at a public college average around $8,893, for private colleges $30,094, and for out-of-state residents attending a public university tuition costs can be expected at $22,203.

Housing and means – Room and board depends on a lot of different things. Will the college student choose a food plan, live in apartment, live in a dorm or commute. The average cost of room and board range from $9,500 at a four-year public school to $10,830 at a private school. Of course the student who chooses to live at home saves for this college expense.

Books and supplies – The College Board reports that the average cost for books and supplies for students in the 2014 school year should be about $1,207 at a public college and $1,253 at a private college.

The Student Loan Solution

While there are several forms of loan programs for college students to utilize, many are hard to apply for or have restrictions on the loan that many students just cannot qualify for. Credit Union Student Choice is a private student lending program that gives your credit union the ability to reach those college students who cannot qualify for traditional student loans. Founded in 2008 by the nation’s leading credit unions, Credit Union Student Choice makes it easy for credit unions to provide students with lending solutions they need.

The best part for credit unions is you control the program. You get to oversee:

•  Rates and fee
•  Index
• Margins
• Credit tiers

While you get control over all of that….Credit Union Student Choice manages all of your key operational challenges including:

• Origination
• School-certification
• Call center support
• Loan servicing
• Guidance on establishing a proper loan policy

Building Members for Life

Credit Union Student Choice gives the ability for undergraduate and graduate students to apply once, which saves not only the college student time but your credit union as well! And the loan accounts are flexible thanks to the program’s innovative line-of-credit structure and standard closed-ended loans. Your costs are minimal to offer these flexible loans. Offering college students these types of necessary loans enables your credit union to build a relationship with its members which can turn into lifelong relations with these young adults.

For more information on Credit Union Student Choice, please visit our products page or visit Credit Union Student Choice’s website at studentchoice.org. Let CU Solutions Group help your credit union develop a student loan program that can make a difference and grow your member base!