The average college graduate has a staggering $37,172 in student loan debt according to the Wall Street Journal. (1) Most graduates will be lucky to pay off their debt before they have children of their own. There has to be a better way, right? Now is a great time to start putting funds away to help cover costs of student loans. City Credit Union helps prepare children for their future with many different savings accounts ranging from ages 0-5, 6-12, and 13-17. Here are four ways to start saving money for college.
- Get a Job
Whether it’s babysitting, a part time gig, or finding a full time job in the summer, having a job can help your child save money for college. This also gives your child work experience to put on their resume in the future. Set up direct deposit so the funds are put into an account that can collect and save money over the years to put towards college. If you need an account to set up direct deposit with, stop by City Credit Union or visit our website to see all the options we have available.
- Apply for Scholarships
Scholarships are free money for students that you won’t have to pay back. Each school has different scholarships available so if you or your child excel in academics or athletics, look into the options available and apply to them. Apply to as many as your child is eligible for including the small ones. The more scholarships your child receives, the less student loans you will have to pay in the future.
- Take Advanced Placement (AP) Classes
AP classes give your child an opportunity to earn college credits in high school. This can cut down on the amount of classes they’ll need to pay for in college. Have your child talk to their academic counselor to see what classes are available to take.
- Open a Savings Account
City Credit Union has 3 different youth savings account options and you can open the account when your child is as young as a newborn. If you or your child is serious about saving money for college, these different savings account options give you the opportunity to start creating a plan and be consistent at putting money somewhere so it can build overtime.
Sprout Account: Designed specifically for children ages 0-5 years, the Sprout Account savings account provides incentives for deposits made, and is a perfect way to help your child’s savings grow strong!
Timber Account: Children ages 6-12 will benefit from a Timber Account offering the same great savings incentives and information, with a bit more independence. Timber Account members will enjoy account access through My City Branch and Mobile Money.
Branch Out Account: Our Branch Out Account for teens 13-17 years of age includes options for savings, a checking account/transactional account, debit card access and incentives for deposits made.
Start creating a plan for your child’s future and start saving money early to cut down on student loan debt. Contact City Credit Union to see all savings options available by calling us at 816-252-2415 or visit our website to learn more.