Author Topic: how to pay for school tuition  (Read 4893 times)

partgypsy

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how to pay for school tuition
« on: June 23, 2015, 11:18:52 AM »
Hello. Our youngest child is in elementary school but are planning to enroll her in a school that specializes in learning "difference" (ie disabilities) for the next 1 to 2 years. After financial aid, we are responsible for paying 12-13K for this coming school year. We have the option of paying 1.5K (a little more for the 1st month) July-Feb on a monthly basis, or in 2 lump sums, (one already due, 2nd in November). We do not have the cash in hand to pay either of these amounts, though over the school year we should be able to pay off with a lot of diligence on our part. Some options are to get a credit card (they accept credit card payments) or home equity loan.
What would you suggest for payment purposes? If one was going to use a credit card, how to get/apply for one of those first year no interest type cards? And before you question the necessity of this, I am the last person I would have ever thought would be enrolling my child in a private school. We have only reached this decision after much thought and discussion.

partgypsy

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Re: how to pay for school tuition
« Reply #1 on: June 23, 2015, 01:19:37 PM »
Any other creative ways to pay for this, that maybe I'm not thinking of? (to avoid a lot of interest). I could take out a loan from my TSP that has low interest, but that means I would need to stop my contributions and that is one thing I would want to do only as last resort.

mcgb

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Re: how to pay for school tuition
« Reply #2 on: June 23, 2015, 02:22:23 PM »
The Chase freedom card I use has 0% interest for the first 18 months and no annual fee. You'd also get a $200 dollar bonus after spending 500 in the first 3 months. Not sure if its the best option but maybe something to consider.

partgypsy

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Re: how to pay for school tuition
« Reply #3 on: June 23, 2015, 02:45:25 PM »
Is that for new or existing customers?

seattlecyclone

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Re: how to pay for school tuition
« Reply #4 on: June 23, 2015, 02:57:35 PM »
Your post gives me a bit of pause. You say you don't have $1.5k on hand to make the July payment, yet you're sure you'll be able to repay a loan taken out on a credit card to pay this cost? What changes are you planning to make in your earning or spending to make this a reality?

Supposing you really have thought through how you will find the cash for this, a 0% credit card promotional rate should be relatively easy to get if you have good credit. Use your favorite search engine to see what are the best deals currently available. You may not be able to find a card with a high enough credit limit to pay the full year of tuition, so do be sure that you start to turn that cashflow situation around sooner rather than later.

partgypsy

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Re: how to pay for school tuition
« Reply #5 on: June 23, 2015, 03:38:39 PM »
We have to pay a year's worth of tuition, in 8 months (July-Nov). Just found about the financial aid that even makes it a remote possibility, and decision, yesterday.

There are months that we have cleared 1.5K a month, but I don't want to count on that for 8 months straight as it seems our household is prone to having a series of unfortunate events lately. We only have 3K in our efund at the moment.
 
Over 12 months (foreseeing no additional emergencies!) we can do it but not on the accelerated schedule they have (either everything paid by Feb 2014, or the more draconian one of everything by Nov 2015).

We do get offers for credit cards in mail, but the first statement is due July, want to get this arranged before then. No idea how to apply for credit cards if don't get offer.

 I think what we may do is a home equity line of credit. A pain, but that way we only have to pay interest in whatever we borrow, and not on what we don't. 
« Last Edit: June 23, 2015, 03:40:32 PM by partgypsy »

swick

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Re: how to pay for school tuition
« Reply #6 on: June 23, 2015, 03:56:59 PM »
There are months that we have cleared 1.5K a month, but I don't want to count on that for 8 months straight as it seems our household is prone to having a series of unfortunate events lately. We only have 3K in our efund at the moment.
 
Over 12 months (foreseeing no additional emergencies!) we can do it but not on the accelerated schedule they have (either everything paid by Feb 2014, or the more draconian one of everything by Nov 2015).

We do get offers for credit cards in mail, but the first statement is due July, want to get this arranged before then. No idea how to apply for credit cards if don't get offer.

These days you don't need an "offer" from a CC company, everything can be done online and in most cases instantly. ...but it is the rest in the quote above that does concern me. You have a family, there will ALWAYS be unforeseen expenses and emergencies unless you run a very strict budget and have a hefty contingency fund.

Blonde Lawyer

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Re: how to pay for school tuition
« Reply #7 on: June 23, 2015, 04:04:50 PM »
Do you live in the US? I assume the reason you consider private school a necessity in your case is because your local school doesn't have the resources to provide a quality education to someone with your daughter's different abilities.  If that's the case, you may be able to require your town to pay for her to attend this other school.  Usually, you have to first show the school failed to meet her issues.  If you know the school will fail but you haven't first tried it, that can be hard to watch your kid struggle for a year.  If the school knows it isn't equipped for her, they may happily agree to send her to the school for the differently abled.  Often it is more cost effective than the one on one person they would have to provide in their school (usually 20+K).  Talk to an education lawyer.  Read up on IEPs and 501 plans. Read up on blogs of people who have had to send their kids to different schools.  I'm sure there are people who have wrote about getting the town to pay it.  The state and town are required to provide your daughter an education and if they can't meet her abilities they have to pay for her to go somewhere that can.  Many people disagree with this law but it is the law and you have every right to invoke it.

partgypsy

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Re: how to pay for school tuition
« Reply #8 on: June 24, 2015, 07:41:48 AM »
Do you live in the US? I assume the reason you consider private school a necessity in your case is because your local school doesn't have the resources to provide a quality education to someone with your daughter's different abilities.  If that's the case, you may be able to require your town to pay for her to attend this other school.  Usually, you have to first show the school failed to meet her issues.  If you know the school will fail but you haven't first tried it, that can be hard to watch your kid struggle for a year.  If the school knows it isn't equipped for her, they may happily agree to send her to the school for the differently abled.  Often it is more cost effective than the one on one person they would have to provide in their school (usually 20+K).  Talk to an education lawyer.  Read up on IEPs and 501 plans. Read up on blogs of people who have had to send their kids to different schools.  I'm sure there are people who have wrote about getting the town to pay it.  The state and town are required to provide your daughter an education and if they can't meet her abilities they have to pay for her to go somewhere that can.  Many people disagree with this law but it is the law and you have every right to invoke it.
I guess I don't know much about all these options. She was dx in 1st grade with specific learning disability (ies), and since then has had an IEP (individualized assessment program) plus pulled out of regular classes for additional assistance for 3 different things (reading, math, speech therapy). She also participates in an after school reading program, and last year a free summer program she was eligible for.  She is progressing, but slower than she needs to be to keep up. We have been fine and happy with how they are working with her; she has gotten additional assistance. The primary issue, that they don't really hold back kids academically until 3rd grade. Starting in 3rd grade they may hold her back if she hasn't made sufficient progress. So she does have an IEP, she does get additional resources (I can't complain what they are doing), just that in her case, it may not be enough.  My fear is, that if she gets held back, that she will no longer be with her age peers, she will become disengaged with school, which may start a number of negative consequences. We do have a good relationship with the school. but I guess I could see if there is any way any of this could be subsidized, I don't know.     
« Last Edit: June 24, 2015, 07:44:56 AM by partgypsy »

partgypsy

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Re: how to pay for school tuition
« Reply #9 on: June 24, 2015, 07:54:01 AM »
There are months that we have cleared 1.5K a month, but I don't want to count on that for 8 months straight as it seems our household is prone to having a series of unfortunate events lately. We only have 3K in our efund at the moment.
 
Over 12 months (foreseeing no additional emergencies!) we can do it but not on the accelerated schedule they have (either everything paid by Feb 2014, or the more draconian one of everything by Nov 2015).

We do get offers for credit cards in mail, but the first statement is due July, want to get this arranged before then. No idea how to apply for credit cards if don't get offer.

These days you don't need an "offer" from a CC company, everything can be done online and in most cases instantly. ...but it is the rest in the quote above that does concern me. You have a family, there will ALWAYS be unforeseen expenses and emergencies unless you run a very strict budget and have a hefty contingency fund.

I think this is why we are going to go with a home equity line of credit. This way it can serve both as a way to pay any part of the tuition we cannot pay, to be paid back later this year, and serve as an efund during the next couple years when our efund is particularly low. Husband has picked up extra shifts since Jan, and may now try to find additional ways to work while we have this additional burden. 

rubybeth

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Re: how to pay for school tuition
« Reply #10 on: June 24, 2015, 07:58:26 AM »
I like Nerd Wallet for investigating credit card offers: http://www.nerdwallet.com/credit-cards/

Also I would see if her current school can do more to help, or if additional therapies out of school may make the difference--more speech and reading therapy, etc. My sister is a speech language pathologist, so I know a bit about how this works. Additional therapy may be cheaper than the new school, and changing schools may be a challenge--if your daughter likes where she is, there may be other options to help her.

partgypsy

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Re: how to pay for school tuition
« Reply #11 on: June 24, 2015, 08:12:30 AM »
It is a bit of a unique program, the way it is designed for all kids, she is at the (specialist) school 1/2 the day, and her regular school the rest of the day. The intent and design of the program kids are enrolled in the specialist school for 2, 3 years, and then mainstreamed back into regular school. Other than me (for the financial shock) everyone else is recommending this course of action (pediatrician, primary school teachers, school psychologist, other parents). We have talked to other parents who have kids with similar learning difficulties (dyslexia) who have gone through this program, and it has been overwhelmingly positive, their only regret being that they waited to do this.  They also mentioned corollary benefits of the school on child's self esteem, and basic organization and planning skills that generalize to both school and outside of school. So while this is going to be financially painful, I feel this is the right decision. 
We also have a 529 for her with about 4K in it. I would rather not touch it (want to save it for higher education), but that is another option.

partgypsy

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Re: how to pay for school tuition
« Reply #12 on: June 26, 2015, 09:02:25 AM »
Yeah this whole thing is scary to me. We basically emptied out our efunds with a couple large house projects the last year, and are now tackling this before we build up the efund. Most likely she will have to attend for 2 years (unless there's a miracle) so wrestling in my mind, how to handle an additional 24-26K in expenses the next couple years... I'm leaning towards heloc due to its flexibility (can take out a little or a lot, and over a 10 year period) and also relatively low interest, while he is scared of doing that, which I understand (secured loan on house).

We will talk over this weekend before making final decision.
 

Blonde Lawyer

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Re: how to pay for school tuition
« Reply #13 on: June 26, 2015, 10:12:24 AM »
It is a bit of a unique program, the way it is designed for all kids, she is at the (specialist) school 1/2 the day, and her regular school the rest of the day. The intent and design of the program kids are enrolled in the specialist school for 2, 3 years, and then mainstreamed back into regular school. Other than me (for the financial shock) everyone else is recommending this course of action (pediatrician, primary school teachers, school psychologist, other parents). We have talked to other parents who have kids with similar learning difficulties (dyslexia) who have gone through this program, and it has been overwhelmingly positive, their only regret being that they waited to do this.  They also mentioned corollary benefits of the school on child's self esteem, and basic organization and planning skills that generalize to both school and outside of school. So while this is going to be financially painful, I feel this is the right decision. 
We also have a 529 for her with about 4K in it. I would rather not touch it (want to save it for higher education), but that is another option.

If her school teachers and psychologist are recommending it there is a greater chance the school should be paying for it.  Not my area of law though.  Just something you should explore.