Hot Topics     Home and Family     Education Guide    

Five Smart Tips on How to Pay for College



What parents need to know

Tips to help pay for your child's college

It’s the time of year when high school seniors and their parents receive the much-anticipated college acceptance letters and financial aid offers. College remains a great investment in the future, so it’s important for families to make wise decisions when selecting a school and then creating a strategy to pay for it. But that process can be complicated. 

Here are five smart tips to help students and parents make their college decision and determine a plan to pay the upcoming college bill.

1. Consider financial fit
Choose a college that makes financial sense. Students and families should think about what they can afford to pay, and remember that this is, most likely, a four-year commitment. Carefully analyze financial aid offers, as the college with the highest sticker price may become more affordable based on the types of aid offered. MEFA’s College Cost Calculator can help families make sense of the financial aid provided and determine the net price of each college. 

2. Estimate earning potential
To help make the college decision, find out how much graduates from each college earn in wages after graduation, based on major. Knowing an estimate of potential earnings can help determine whether a college’s cost is worth the investment. The U.S. Department of Education’s College Scorecard provides data on median earnings broken down by field of study for U.S. colleges and universities. 

3. Borrow federal student loans first
If you plan to borrow loans to pay for college, maximize federal student loan options before borrowing a private loan by submitting the FAFSA. Federal student loans have low interest rates and more flexible repayment options than private loans. In addition, federal student loans do not require a credit check or a co-borrower, and repayment is deferred until after the student leaves college.


4. Use a monthly payment plan
If there is one ”best kept secret” to paying for college, this is it: the monthly payment plan. Most colleges and universities offer one for a small, one-time sign-up fee. Instead of paying a lump sum before the semester beings, families can submit payments over ten to twelve months, interest free. This is a great way to manage cash flow and minimize borrowing. It’s like making a monthly loan payment, without the accruing interest or credit check.

5. Borrow wisely
When it comes to student loans, borrow as little as possible. Because borrowers pay back the amount of the loan plus interest, loans increase the overall cost of college and can take years to pay off. Make a plan to pay your college bill with as little debt as possible. You may be approved for a large loan, but it doesn’t mean you have to take the full amount.

MEFA, the Commonwealth’s trusted authority on how to plan, save, and pay for college, has developed How to Pay for College: A Guide for High School Seniors and Families, a program designed to help college-bound students and their families navigate the college decision and payment process. The program offers live and on-demand webinars, and a variety of tools and resources to help families understand each financial aid offer and ultimately make a college decision that will work for their family. 

Find out more about this program here. 

MEFA is a not-for-profit state authority, not reliant on state or federal appropriations, established under Massachusetts General Laws, Chapter 15C. MEFA’s mission, since its founding in 1982, has been to help Massachusetts students and families access and afford higher education and reach financial goals through education programs, tax-advantaged savings plans, low-cost loans, and expert guidance. All of MEFA’s work aligns with the ever-present goal to support the independence, growth, and success of Massachusetts students and families. Visit mefa.org to learn more.



Other articles by HVP News Reporters


  • 3 tips for maintaining a healthy lifestyle for your dogs

    Pet parents want the best for their dogs and will go to great lengths to keep their furry friends healthy. read more »
  • What your feet can tell you about your health

    Understanding peripheral artery disease

    If you are living with pain and discomfort in your feet, legs, thighs or butt, it may be a sign of a serious health problem. Many adults in the United States are suffering and may be at risk of amputations of their toes, feet or legs as a result of an undetected disease known as peripheral artery disease (PAD). read more »
  • Pandemic make you more concerned about finances?

    You’re not alone

    The COVID-19 pandemic disrupted nearly every aspect of people’s lives and, as it turns out, it also impacted their feelings about financial security and life insurance. In a national survey commissioned by Erie Insurance: read more »
  • 3 tips for selecting the perfect home

    Ideas to keep in mind while you search

    For those beginning the process of home buying, there are many factors to consider. Keep these ideas in mind as you conduct your search – whether it’s online or at a series of open houses. read more »
  • Don’t let your child be a financial failure in 2023

    Nine signs your child needs to work on their money skills

    If you haven’t heard the famous stand-up comedy routine of Jeff Foxworthy, I would suggest taking a few minutes to pull some one-liners up on the Internet before reading the rest of this piece. Foxworthy has worked extremely hard over the years building a successful career by making jokes about real-life situations, as well as a particular class of people who might be “Rednecks”. read more »
  • DEC Spring Tree Seedling Sale 2023

    Check out free program available for youth groups

    Youth organizations, schools, and homeschool groups: Apply now for a package of free seedlings through the 2023 School Seeding Program. Applications are accepted on a first-come, first-served basis until the program closes on March 31 or seedling stock runs out, whichever comes first. read more »
  • Prioritize heart health with a balanced eating plan

    Try these recipes from the DASH diet

    No matter your motivations, it’s never too late or too early to start focusing on your heart health, and taking steps now can make a big difference. Small changes, like following a healthier eating plan, can help you start down a path toward improved heart health. read more »
  • A mission for nutrition

    Accomplish health goals with better-for-you family meals

    Setting out on a mission to eat healthier starts with creating goals and working to achieve them with those you love. To help make nutritious eating more manageable, call together your family and work with one another to create a menu everyone can enjoy while staying on track. read more »
  • What to do if your mortgage application is denied

    Don’t panic. There are ways to build your eligibility

    If you dream of homeownership, having your mortgage application denied can be devastating. If this does happen to you, it’s important to remember that you’re not alone. read more »
  • How to prevent being a victim of scams and fraud

    Reported fraud losses have increased 70%

    Scams and fraud are more deceiving these days, reaching you in more ways than ever before. The FTC reported 2.8 million fraud reports from consumers in 2021 alone, with reported fraud losses increasing 70% from 2020 and more than $5.8 million. read more »