I'm downgrading everything when my daughter does into college, so I can pay it for her and she'll have no debt when she is done. The average kid getting out of college with 40k in loans is bullshit and no way to start life.
40k is a lot to start with if you are just getting a bachelor's degree. I have seen a lot of people with that much debt. Most people with bachelor degrees don't make a whole lot more than 40k when they come out of school.
D, I have some experience with student loans because I had to take some when I went to grad school. If you are only borrowing $3,000 you will have no problem. You will want to apply for stafford loans. These loans are basically with the government - guaranteed by it, so the rates are low. I believe they are capped at 8% and your credit does not matter. I am not sure what the restrictions are on stafford loans in regards to what programs they must be used for. I know you can use them for all of the standard graduate type schools. Once you graduate, you can consolidate your loans and lock in a rate. I locked in a rate of 2.7%. I will take as long to pay off these loans as possible. That is basically interest free money.
If you have to get private loans, you will have to pay a much higher interest rate and your credit score will be considered.
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