There are things we all share in common at College Coach: a passion for education, a love of books, professional admissions experience, a perhaps-too-nerdy interest in college visits. But despite all the things we have in common, there are many characteristics that make us different from one another. As a newer member of the team, I’ve enjoyed getting to know the subtle differences in my colleagues’ approaches to essay reviews, their philosophies on college admission, and of course, their passions outside of work. As you work with us to find an educational consultant that best fits your needs or the needs of your child, we will help you consider the personality and working styles that will bring out the best in you or your student.

With school winding down and summer break dominating most high school students’ thoughts, it hardly seems the time to think about college. But for high school juniors, the flip of the calendar from May to June marks the steady countdown towards winter’s application deadlines.

In breaking student loan news, this afternoon President Obama signed an executive order designed to provide repayment relief to struggling student loan borrowers.  Obama’s plan attempts to relieve student debt pressures and decrease defaults in three primary ways:

What I Did on my Summer Vacation…

There comes a time in the relationship between a college coach and a student when the question of summer activities is broached. The conversation might go something like:

I just received a letter in the mail telling me I’m a leader in <name that field>. Do you think <name that camp> in <name that college town> will look good on my resume? It’s gonna cost several thousand dollars. Should I do it? Or should I take classes at <name that prestigious university>? Because I’m also hearing that taking a job over the summer is now the new thing. What do you think?

Relax, take a deep breath, and Zen. Summer vacation shouldn’t be giving you an ulcer.

529 Savings Plans: How Bad are the Non-Use Penalties, Really?

Today is 529 Day, and I am sure you are seeing a lot of articles encouraging you to open and fund 529 Savings Plans for your children, grandchildren, nieces, and nephews. At College Coach, we talk to thousands of families a year who are thinking about saving for college, and 529 Savings Plans are one of the most popular ways our clients choose to save for college.

In almost every discussion we have, people ask “What happens if my kids don’t go to college?” It’s a great question to ask, because there are taxes and penalties that apply when people withdraw money from 529 Savings Plans but cannot match the withdrawal to college costs for the plan’s beneficiary.

Part Two: What questions should I ask about financial aid on my college visits?

Last week we told you how to begin researching the financial aid practices of colleges you plan to visit. This week, we provide you with questions to ask an admissions or financial aid counselor that will help clarify your understanding of their processes. (Note: It’s usually not a good idea to ask these questions of student tour guides, as they will not be as well informed about school financial aid policy.)

Questions for the Admissions Office to Understand Financial Aid:

Does your college award merit scholarships? If yes, what is the average award? What percentage of the admitted class is offered scholarships, and what is the academic profile (test scores and G.P.A.) of recipients?

This is one of the most important financial questions you will ask on your visit. Every college’s merit scholarship awarding practices differ based on the academic profile of the students they admit and who they are trying to attract to their campus.

Part One: Do your finance homework before making college visits

The car is packed and you’re ready to hit the road for a summer tour of colleges with your soon-to-be high school senior. While your student is checking out the majors offered, the size of the dorm rooms, and the quality of the food, you’re probably wondering about the price tag.  Unfortunately, you can’t learn your exact “bottom line” at a college until your child’s senior year when he or she applies for college admission, scholarships, and financial aid. However, the initial college visit is a perfect time to collect information about financial aid and pricing practices, and to establish a general idea of the aid your student might receive.

First Step:  Look at each college’s online resources

The first step is preparing for your visit. Research each college’s website to learn about the types of financial aid offered, including merit scholarships.

Part Two: If parents are denied a Parent PLUS loan, what are their options?

Last week, we outlined the basics of the Federal Parent PLUS loan, a great option for many families, but an option that might not be available to all. If you’ve been denied a PLUS loan, you first have the right to appeal the decision by documenting extenuating circumstances (Tweet this Tip). For more information, see https://studentloans.gov/myDirectLoan/whatYouNeed.action?page=credit.

The student’s other parent or stepparent also can apply for the Parent PLUS Loan which will trigger another credit check for the new borrower to determine his or her eligibility. Finally, the original borrower also has the option to utilize an endorser to cosign the loan. The endorser must pass the credit check, and he or she will be responsible for repaying the loan if the borrower fails to make payments.

Part One: What is a Federal Parent PLUS Loan, and how do I get one?

Now that you’ve deposited at a college, it is time to figure out how you are going to pay the bill. One of the many ways parents can help their students pay their college costs is with a Federal Parent PLUS Loan. As the name suggests, this is a loan where the parents are the borrowers. The PLUS Loan is a federal loan that provides borrowers with protections not often found in the private loan market, including several attractive repayment options, fixed interest rates with predictable payments, and deferment and forbearance options during short term hardships.

In recent years, the Parent PLUS loan has offered a fixed interest rate. It is currently based on the Ten-year Treasury Note plus 4.6 percent with a cap of 10.5 percent. The current interest rate is 6.41 percent and will be reset on July 1^st for the 2014-2015 school year. Borrowers should borrow for the entire academic year, keeping in mind that they will need to reapply each year. A credit review is done each year because borrowers are not automatically approved for the entire cost of the education.

Summer is just around the corner and, especially for those juniors powering through the sea of standardized tests formally known as “junior spring,” I bet y’all can’t wait! But before you head off to camp, work or the beach, I suggest you spend some time thinking about recommendation letters for college.

Colleges that require recommendation letters generally want to hear from junior year teachers. As a result, junior year teachers end up writing a lot of letters. Seriously, a lot. If you think your class of 35 is big, remember that your teacher teaches three other sections of US History! And by the time next October rolls around, they’ll be working with a whole new crop of students.