Private Student Loan Advice & College Financing Resources

Receiving a college financial aid offer can bring both relief and a new question: How will your family cover the amount that remains? When comparing a Parent PLUS loan vs parent student loan, the order matters. Families should start with scholarships, grants, savings, and federal Direct Loans offered to the student. Next, eligible parents can consider a federal Parent PLUS loan. If a gap remains, a parent can take out a private student loan to provide supplemental funding. Both are student loans for parents, but the borrower requirements, interest rates, fees, limits, and repayment protections are different. Understanding those differences can help your family make a more informed decision before anyone signs a loan agreement. Key takeaways Start with federal aid in the student’s name. Complete the FAFSA and use available grants, scholarships, savings, and federal Direct Loans first. Consider a Parent PLUS loan next. Parent PLUS loans have a fixed federal interest rate and certain federal protections. Know the new limits. For many families, federal Parent PLUS loans are now capped at $20,000 per academic year and $65,000 total per dependent student. Use private financing to bridge a remaining gap. If you still have college costs after federal aid and Parent PLUS, a private loan can help cover what's left. You can take out a private parent loan in your own name, or cosign a private student loan in your student's name. Consider cosigning to help your student build credit. When you cosign, the loan is in your student's name, so every on-time payment helps them build their own credit history. That can make it easier for them to rent an apartment, finance a car, or qualify for credit on their own after graduation. As a cosigner, you're still responsible for the full balance if your student can't pay. Start with federal loans first Before comparing parent loans for college, make sure your student has completed the Free Application for Federal Student Aid, or FAFSA. Colleges use the FAFSA to determine eligibility for federal grants, work-study, and federal student loans. Federal Direct Loans in the student’s name should generally come before parent or private borrowing. They typically offer lower fixed interest rates than Parent PLUS loans, do not require a credit check for most borrowers, and include federal repayment protections. Direct Subsidized Loans can be especially valuable because the federal government pays the interest during certain periods, including while an eligible student is enrolled at least half-time. Interest accrues on Direct Unsubsidized Loans, but these loans still include federal repayment options and protections. After reviewing the financial aid offer, subtract grants, scholarships, savings, federal Direct Loans, and other resources from the school’s cost. That remaining amount is your family’s funding gap. You can review available college loans after you understand how much you actually need to borrow. What is a Parent PLUS loan? A Parent PLUS loan is a federal loan issued by the U.S. Department of Education to an eligible parent of a dependent undergraduate student. The parent, not the student, is the borrower and is legally responsible for repayment. For Direct PLUS loans first disbursed from July 1, 2026, through June 30, 2027, the fixed interest rate is 9.07%. The rate is set by federal law and does not change based on the parent’s credit score. Once the loan is issued, that fixed rate remains in place for the life of the loan. Parent PLUS loans also have an origination fee. For loans first disbursed on or after October 1, 2020, and before October 1, 2027, the fee is 4.228%. The fee is deducted from the amount sent to the school, but the parent must repay the full amount borrowed. Parent PLUS loan interest rate and credit check Unlike private student loans, Parent PLUS loan interest rates aren't based on a parent's credit score. Every parent who receives the same type of loan during the same federal award year gets the same fixed interest rate. That said, Parent PLUS Loans do require a credit check. Instead of a full underwriting process like many private lenders use, the Department of Education looks for a history of adverse credit, meaning certain negative marks on your credit history. Adverse credit can include certain debts totaling at least $2,085 that are 90 or more days delinquent, charged off, or in collections. It may also include events such as bankruptcy, foreclosure, repossession, tax liens, wage garnishment, loan default, or certain federal student aid debt write-offs within the applicable review period. If a parent has an adverse credit history, they may still be able to qualify for a Parent PLUS Loan. They may be able to apply with an eligible endorser or document extenuating circumstances. In either case, PLUS Credit Counseling is required before the loan can be approved. New Parent PLUS loan limits Beginning July 1, 2026, parents who do not qualify for a limited exception can borrow up to $20,000 per academic year and $65,000 total in Parent PLUS Loans for a dependent student's undergraduate education. These limits apply to the student, not each parent, meaning all Parent PLUS borrowing for that student counts toward the same limit. A limited exception may be available for some students who were already enrolled in the same program at the same school by June 30, 2026. To qualify, either the parent must have previously received a Parent PLUS Loan or the student must have received a Direct Loan for that program before July 1, 2026. The student must also remain continuously enrolled in the same program and at the same school. If these requirements are met, the exception may continue for up to three academic years. Because eligibility depends on a student's enrollment and borrowing history, families whose students began school before July 1, 2026, should check with their school's financial aid office to see whether they qualify for the exception. What is a private parent loan? A parent student loan is offered by a bank, credit union, or private lender. Like a Parent PLUS Loan, the parent or another eligible adult is the borrower and is responsible for repaying the loan. The student is not responsible for repaying an Ascent Parent Student Loan. Unlike Parent PLUS Loans, parent student loans typically have credit-based interest rates. Lenders may review factors such as credit history, income, existing debt, and debt-to-income ratio when evaluating an application. As a result, borrowing costs and loan terms can vary from one borrower to another. The Ascent Parent Student Loan is available to eligible parents, grandparents, guardians, and sponsors. Borrowers can choose repayment terms ranging from 5 to 15 years and benefit from no application, origination, or disbursement fees. There is also no penalty for paying off the loan early. Families interested in a parent student loan can learn more about the Ascent Parent Student Loan, including eligibility requirements, repayment options, and current rates. Parent PLUS loan vs parent student loan comparison FeatureParent PLUS loanParent student loanWho lendsU.S. Department of EducationA bank, credit union, or private lenderWho can borrowAn eligible parent of a dependent undergraduate studentEligible parents, grandparents, guardians, or sponsorsInterest rateFixed for all borrowers receiving the same loan type during the applicable award yearFixed or variable, based on credit and other underwriting factorsFees4.228% origination fee for loans first disbursed before October 1, 2027Varies by lender. No application, origination, or disbursement fees with Ascent Parent Student Loans*Credit checkReviews adverse credit history rather than using a traditional score-based approval modelReviews credit history, income, debt-to-income ratio, and other eligibility factorsBorrowing limitFor many families, $20,000 per academic year and $65,000 total per student beginning July 1, 2026Up to $200,000 for undergraduate loans and $400,000 for graduate loans, subject to eligible school-certified costs, credit approval and applicable loan limits.RepaymentNew loans are generally limited to the Tiered Standard Repayment Plan, with a 10- to 25-year term based on balanceVaries by lender, Ascent offers 5-, 7-, 10-, 12-, and 15-year termsProtectionsIncludes applicable federal death and total and permanent disability discharge provisions; forgiveness access depends on when the loans were borrowed and consolidatedHardship and forbearance options vary by lender and loan agreement. Ascent also offers a bankruptcy discharge process for eligible new college loans originated on or after June 5, 2023, that does not require a showing of “undue hardship.”*Moves to the student laterNo. The debt remains in the parent’s name unless refinanced through another lenderNo. The debt remains in the parent’s name. Parent PLUS Loans can be easier to qualify for when a parent has a limited credit profile but does not have an adverse credit history. Parent student loans may offer different rates, fees, and repayment options depending on the borrower's creditworthiness, but federal borrower protections generally do not transfer to private loans. When comparing your options, look beyond the interest rate. Consider the total cost of borrowing, repayment terms, fees, eligibility requirements, and available borrower protections to determine which loan best fits your family's needs. What a $20,000 Parent PLUS loan could cost With a Parent PLUS Loan, the amount you borrow isn't always the amount your school receives because an origination fee is deducted before the funds are disbursed. For example, if a parent borrows $20,000 through a Parent PLUS Loan during the 2026-27 academic year, here's what that could look like: Amount borrowed: $20,000 Origination fee: $845.60 Amount sent to the school: Approximately $19,154.40 Amount the parent repays: $20,000, plus interest At the 2026-27 fixed Parent PLUS Loan rate of 9.07%, repaying $20,000 over 10 years would result in an estimated monthly payment of about $253.80 and approximately $30,450 repaid over the life of the loan. These figures are estimates and assume the interest rate remains fixed and all scheduled payments are made on time. The key takeaway is that borrowing $20,000 doesn't mean the school receives $20,000. Because the origination fee is deducted upfront, the amount available for education expenses is lower than the amount borrowed. This can be especially important for families subject to the new Parent PLUS Loan limits, since they generally can't increase the loan amount to offset the fee. When evaluating your options, a student loan calculator can help you estimate how different borrowing amounts may affect your monthly payments. How Parent PLUS repayment changed in July 2026 If you're considering a Parent PLUS Loan, it's important to understand how repayment options have changed for new borrowers. For Parent PLUS Loans borrowed on or after July 1, 2026, repayment is generally limited to the Tiered Standard Repayment Plan. Monthly payments are fixed, and the repayment term can range from 10 to 25 years, depending on the total amount borrowed. This change can also affect parents who already have Parent PLUS Loans. If you take out a new Parent PLUS Loan on or after July 1, 2026, all of your Parent PLUS Loans generally become subject to the Tiered Standard Repayment Plan. Another important change is that new Parent PLUS Loans are not eligible for income-driven repayment plans. The Tiered Standard Repayment Plan also does not qualify for Public Service Loan Forgiveness (PSLF). Some parents with older loans may have additional options. For example, borrowers who consolidated their Parent PLUS Loans into a Direct Consolidation Loan before July 1, 2026, may remain eligible for Income-Contingent Repayment (ICR) no later than July 1, 2028. Under current guidance, some borrowers may then be able to transition to Income-Based Repayment (IBR) if they meet certain requirements. Because these rules depend on when you borrowed and whether you've consolidated your loans, parents with existing Parent PLUS Loans should review their loan history carefully before taking out additional loans. When a Parent PLUS loan may be a good fit After your student has used available federal financial aid, a Parent PLUS Loan may be worth considering if: You don't have an adverse credit history but may not qualify for the most favorable rates or terms from a private lender. You prefer a fixed interest rate that doesn't change based on your credit score. Access to federal borrower protections, such as death and total and permanent disability discharge, is important to your family. You qualify for the limited exception to the new Parent PLUS borrowing limits. You already have Parent PLUS Loans and have reviewed how taking out another loan could affect your repayment options or forgiveness eligibility. One benefit of a Parent PLUS Loan is predictability. Every eligible borrower receives the same fixed interest rate for that loan year, so you don't have to worry about your rate changing based on your credit profile. At the same time, it's important to consider the full cost of borrowing, including the origination fee, repayment options, and any recent changes to Parent PLUS repayment rules. When a parent student loan may make sense After you've explored federal student aid options, a parent student loan may help cover remaining education costs if: You need to borrow more than what's available through a Parent PLUS Loan. You've reached the annual or lifetime Parent PLUS borrowing limit. A Parent PLUS Loan wasn't an option, and another eligible adult plans to borrow. A grandparent, guardian, or sponsor wants to take responsibility for the loan. A qualified borrower may be able to access competitive rates or terms through a private lender. You're looking for different repayment options or a loan without an origination fee. Parent student loans can offer flexibility, but they work differently than federal loans. Understanding the full cost of the loan can help you choose the option that best fits your family's budget and goals. A third option: cosigning a private student loan Taking out a parent loan isn't the only way to help pay for college. Another option is cosigning a private student loan. The biggest difference comes down to who owns the loan. With a parent loan, the parent or other adult borrower is responsible for repaying the debt. With a cosigned private student loan, the student is the primary borrower, and the cosigner agrees to share responsibility for repayment. For some families, cosigning can be a way to help a student qualify for a loan while allowing the student to begin building credit through on-time payments. However, it's important to remember that both the student and cosigner are responsible for the loan. If payments are missed, it can affect both borrowers' credit. Cosigner release can also give you a path off the loan. With Ascent, you can apply to be released as a cosigner once your student makes 12 consecutive on-time payments* and meets the other requirements. After that, your student becomes solely responsible for the loan. Eligibility requirements apply, and approval isn't automatic. Before choosing this option, have an honest conversation about who will make the payments, what happens if finances change, and whether the lender offers a cosigner release option in the future. While some lenders offer cosigner release, eligibility requirements apply and approval is not automatic. Parent PLUS alternatives if you're denied or reach the limit Being denied for a Parent PLUS Loan or reaching the borrowing limit doesn't necessarily mean you're out of options. Depending on your situation, you may be able to: Apply with an eligible endorser who meets the credit requirements. Appeal the decision if there was an error or you have qualifying extenuating circumstances. Complete PLUS Credit Counseling if required as part of the approval process. If your Parent PLUS Loan application is denied, ask your school's financial aid office whether your student qualifies for additional Direct Unsubsidized Loan funding. Explore other resources, such as payment plans, school-based aid, scholarships, savings, or private student loan options. In some cases, students whose parents are denied a Parent PLUS Loan may be eligible for additional Direct Unsubsidized Loan funds. The exact amount depends on the student's year in school and other federal borrowing limits. Because eligibility can vary, it's a good idea to work with your school's financial aid office to understand what additional aid may be available and how it could affect your overall financial aid package. Five questions to ask before you borrow Before choosing a loan, take a few minutes to think through these questions with your student: 1. How much do you actually need to borrow?Start by subtracting scholarships, grants, savings, federal student loans, and any other financial aid. The smaller the gap, the less you'll need to borrow and repay later. 2. What will the loan really cost?In addition to the interest rate, compare fees, repayment terms, and the total amount you'll repay over time. Two loans with the same balance can end up costing very different amounts. 3. Who will be responsible for the loan?With a Parent PLUS Loan, the parent is responsible for repayment. With a cosigned private student loan, the student is the primary borrower and the cosigner shares responsibility. 4. What monthly payment fits your budget?A longer repayment term may lower the monthly payment, but it can also increase the amount of interest paid over the life of the loan. 5. What features matter most to your family?Some families prioritize federal borrower protections, while others focus on repayment flexibility, loan fees, or the ability to choose from different loan terms. Think about what's most important before making a decision. The best loan isn't always the one with the lowest advertised rate. It's the one that fits your family's budget, goals, and repayment plan. Frequently asked questions Is a Parent PLUS Loan or a private loan better? There's no one-size-fits-all answer. Most families start with scholarships, grants, savings, and federal student loans in the student's name. If additional funding is needed, a Parent PLUS Loan or parent student loan may help cover the gap. What are the disadvantages of a Parent PLUS Loan? A Parent PLUS Loan comes with an origination fee, and the debt remains in the parent's name. Beginning July 1, 2026, many borrowers are also subject to new annual and lifetime borrowing limits, along with changes to repayment options. Before borrowing, be sure to understand the loan's fees, repayment requirements, and how a new Parent PLUS Loan could affect any existing Parent PLUS Loans you already have. What are the downsides of a parent student loan? Parent student loans are credit-based, so approval, rates, and terms depend on the borrower's financial profile. Some borrowers may qualify for favorable terms, while others may receive a higher rate or not qualify. Private loans also don't include federal repayment programs or federal loan forgiveness options, so it's important to review the loan terms carefully before borrowing. What are the 2026 Parent PLUS Loan limits? Beginning July 1, 2026, Parent PLUS borrowing is generally limited to $20,000 per academic year and $65,000 total per dependent undergraduate student. Some families may qualify for a limited exception if the student meets specific enrollment and borrowing-history requirements. If you're unsure whether the exception applies, contact your school's financial aid office. Can I get a Parent PLUS Loan with bad credit? Parent PLUS approval is based on whether a borrower has an adverse credit history, not a specific credit score. If you're denied, you may still have options. Some borrowers are able to qualify with an eligible endorser or by documenting extenuating circumstances. PLUS Credit Counseling is required when using either path. Students whose parents cannot obtain a Parent PLUS Loan may also qualify for additional Direct Unsubsidized Loan funding through their school. Can a grandparent borrow a parent loan? A grandparent can't receive a federal Parent PLUS Loan based solely on being the student's grandparent. Parent PLUS eligibility is generally limited to an eligible parent or, in some cases, a stepparent. However, some private lenders, including Ascent's Parent Student Loan, allow eligible grandparents, guardians, and sponsors to apply. In those cases, the adult borrower is responsible for repaying the loan. Choosing your family's next step For many families, the best place to start is with scholarships, grants, savings, and federal student loans. If there's still a gap to cover, compare all of your options carefully, including Parent PLUS Loans, parent student loans, and cosigned private student loans. As you compare, focus on the total cost of borrowing, monthly payments, repayment terms, fees, and borrower protections, not just the advertised interest rate. Learn more about Ascent's Parent Student Loan or apply online. * For more information, including eligibility requirements, terms, and conditions, please visit www.ascentfunding.com/ascentbenefitsterms/

If you’re a part-time student, you might be balancing work, family, or other responsibilities while completing your degree, making financial aid especially important to you. You may be wondering if you qualify for financial aid or if it’s even worth it to fill out the Free Application for Federal Student Aid (FAFSA) if you’re only in school part time.  The good news is yes—part-time students can often get financial aid. Even if you’re only taking a few classes, you should complete the FAFSA to see what you’re eligible for. While the amount of aid may be smaller than what full-time students get, every little bit helps.  We’ll walk through part-time student financial aid options and requirements so you can make the most of what’s available. Key Takeaways Part-time students can qualify for financial aid such as grants, scholarships, federal loans, and work-study programs as a part-time student. You’ll need to be enrolled in at least 6 credit hours per semester to be eligible for federal financial aid and many private options.  Part-time students may receive less aid than full-time students, but support is still available. Private student loans can help fill any funding gaps after you've used all available federal student aid. Understanding Part-Time vs. Full-Time Enrollment When it comes to qualifying for certain types of financial aid, your enrollment status matters:  Colleges consider you a part-time student if you take between 6 and 11 credit hours in a semester.  Full-time students must be enrolled in 12 or more credit hours per semester.  It's important to enroll in 6 or more credit hours per semester if you want to qualify for federal grants and loans. For scholarships and private loans, the number of credit hours required can vary, but many follow the same rules as federal financial aid.  Can Part-Time Students Get Financial Aid? Yes, you can get financial aid as a part-time student.  Most federal and state financial aid programs start at 6 credit hours per semester. That typically means if you're taking at least two classes, you can qualify. Part-time students can also get scholarships and private loans. To determine how much financial aid you can get, you’ll need to complete the FAFSA. This is a government form you’ll fill out to determine your financial need. As long as you’re taking at least 6 credit hours in the semester, you’re eligible for FAFSA. The total amount of aid you receive will depend on your financial situation and the number of credit hours you’re taking. Covering the rest of your costs Now that you know how part-time enrollment affects your FAFSA aid, it’s worth thinking about how you’ll cover the rest of your costs. Federal aid may not cover your full cost of attendance, and a private student loan can help fill what’s left after federal aid, grants, scholarships, and savings. To find out whether a private loan could fit your plan, see how Ascent’s undergraduate loans work. How FAFSA Works for Part-Time Students Even if you’re only a part-time student, FAFSA is still the best place to start figuring out how to pay for college. FAFSA connects you to federal grants, loans, and federal work-study programs. It also helps your school understand if you qualify for state or school-based aid, and how much. FAFSA covers part-time students and full-time students in the same way. You’ll answer questions about your income, family size, and what schools you’re applying to. The government uses that info to calculate your Student Aid Index (SAI), which helps decide how much aid you’ll get.  Once your school receives your FAFSA information, they’ll send you a financial aid award letter outlining the types and amount of aid you qualify for. Financial Aid Types Available to Part-Time Students There are several types of financial aid that part-time students can use. Some options come from the federal government, while others can come from your state, school, or private organizations. Federal Pell Grants, federal student loans, and work-study programs are all available to part-time students. Scholarships and private student loans can also be applied to college tuition. Let’s take a closer look at where part-time students can get financial aid. Grants Federal grants are a type of financial aid that don’t have to be paid back. As a part-time student, you may still qualify for grants like the Federal Pell Grant.  State grants and school-based grants might also be available, depending on where you live and go to school. Check with your school’s financial aid office to see if there are additional grant opportunities available for part-time students. Scholarships Scholarships are another great way to lower your college costs, and many scholarships don’t require you to be a full-time student. Some scholarships are based on academic merit, while others are awarded based on background, interests, or field of study.  You can find scholarships through your school, local organizations, or national programs. Ask your school counselor or use online search tools like Scholarships360 to find options part-time students qualify for. Like grants, you don’t have to pay back scholarships, and since there is no cap on how many scholarships you can be awarded, applying to as many as possible can help reduce your out-of-pocket expenses. Federal Loans Federal student loans are available to many part-time students. There are two main types: subsidized and unsubsidized. Subsidized loans don’t gain interest while you’re in school at least half-time, which usually means 6 credits.  Unsubsidized loans start collecting interest right away, but they are available for students whose income is too high to qualify for subsidized loans. Federal loans can help you cover costs that grants and scholarships don’t. Private Student Loans to Fill in the Gaps Sometimes, federal aid isn’t enough to cover all your school costs—even if you’re only going part-time. Part-time students can get financial aid from private lenders to pay for tuition, books, fees, and other school expenses not covered by federal aid. As with federal loans, you’ll need to meet certain enrollment requirements to qualify. You’ll usually also need to meet minimum income and credit score requirements. Private loans offer benefits like a fast application process and flexible repayment options that work with non-traditional students.  Ascent offers private student loans with and without a cosigner, no fees, 40 repayment options, and student-friendly benefits to help throughout your experience. Ascent’s undergraduate borrowers also get access to expert coaching and resources to support degree completion and career success.  With any loan, be sure to read the terms carefully before you borrow, and don’t borrow more than you need to cover your expenses. Learn More with Ascent Going to college part-time doesn't mean you lack financial options. Many part-time students can get financial aid if they’re enrolled in at least 6 credit hours for the semester. FAFSA is a great place to start, but you may also want to explore private student loans to help cover the rest.  Ascent offers flexible loan options for all types of students—but we’re also here to support your journey however we can. Check out the key takeaways from our latest FAFSA webinar to learn more about how to apply for financial aid as a part-time student. FAQs Does FAFSA provide aid for part-time college students? Yes, FAFSA provides financial aid to many part-time students. You need to take at least 6 credit hours per semester to qualify for most federal programs. The amount of aid you get will depend on your enrollment level and financial need. How many credits do I need to take to qualify for financial aid? Most financial aid programs require you to take at least 6 credits per semester, which is considered half-time or part-time enrollment. Anything less than that may limit your options or make you ineligible. How do I indicate that I'm a part-time student on my FAFSA application? You don’t need to select “part-time” on the FAFSA itself. Your school will determine your enrollment level based on your class schedule. They’ll use that to figure out how much aid you qualify for. Are there private loans designed for part-time students? Private loans can be good options for both part-time and full-time students. Compared to federal loans, private student loans for part-time students can offer more competitive rates based on credit and more flexible repayment terms.  Can working adults get financial aid for part-time study? Yes, many working adults qualify for financial aid while attending school part-time. You can apply through FAFSA and look into private loans or scholarships. Being a non-traditional student won’t stop you from getting help paying for college.

How long does the FAFSA take to process? We've compiled a quick reference guide on how long it takes to get FAFSA results.

The Free Application for Federal Student Aid (FAFSA) is a form current and future students need to fill out to get financial aid. Learn more from Ascent Funding.

Student loan deferment helps students pause payments on their student loans for up to three years. Ascent Funding explains what loan deferment is and how you can qualify. Read more here.

Wondering if you qualify for federal financial aid? Learn more about the eligibility requirements while submitting your Free Application for Federal Student Aid (FAFSA).

Comparing Loan Offers Doesn’t Have to Be Complicated  Comparing student loan offers can feel overwhelming, especially when each lender presents information a little differently. The good news? You don't need to compare every detail at once. By focusing on a few key factors first, you can better understand your options and choose a loan that fits your needs and budget. A little time spent reviewing your offers now can help you feel more confident in your borrowing decision.  If you’re comparing multiple private student loan offers, start with these three questions:  How much will you pay each month?  How much will you pay overall?  When will repayment begin?  These details can help you quickly spot important differences between loan offers. Once you’ve compared them, you can take a closer look at interest rates, fees, borrower benefits, and other loan features.  A Quick Note Before You Compare Offers  Before comparing private student loan offers, make sure you've explored your other financial aid options, including federal student loans, grants, and scholarships.  If federal aid and other funding options don't cover your full cost of attendance, a private student loan may be an option to help pay for the rest.   4 Easy Steps to Compare Student Loan Offers  Once you have a few loan offers in front of you, it's easy to get caught up in all the numbers. Instead of trying to compare everything at once, focus on the details that can have the biggest impact on what you pay and how repayment fits into your plans.  Step 1: Compare Your Monthly Payment  Start by reviewing the estimated monthly payment for each offer.  Think about what that payment could look like after graduation and whether it feels manageable for your future budget. While a lower monthly payment may seem appealing, it's important to look beyond that number alone including how long you’ll be paying, fees, interest rates and more.  You can use a student loan repayment calculator to estimate how different loan amounts, rates, and repayment terms could affect your monthly payment.  Step 2: Look at the Total Cost of the Loan  Next, compare how much you could pay over the life of the loan. A lower monthly payment doesn't always mean a loan will cost less overall. The interest rate and repayment term can affect both your monthly payment and how much you repay over time.  Looking at these details side by side can give you a clearer picture of the long-term cost of each option.  Example: A lower payment doesn't always mean lower cost  Loan Details Loan A Loan B Loan Amount $30,000 $30,000 Interest Rate 6.00% 6.00% Monthly Payment $333 $253 Repayment Term 10 years 15 years Total Repayment $39,960 $45,540  In this example, Loan B has a lower monthly payment, but the longer repayment term means the borrower could pay more overall.  When comparing your offers, consider both what you could pay each month and what you could repay over the life of the loan.  Step 3: Understand When Repayment Starts  Not every student loan works the same way when it comes to repayment. Some loans may require payments while you're in school, while others allow you to postpone payments until after you leave school. You may also have a grace period before full payments begin.  As you compare offers, pay attention to:  In-school payment options: Find out whether you'll make payments while you're in school or if payments can wait until after you leave school.  Grace periods: Some loans give you extra time after graduation before full payments begin. Check how long that period lasts, if one is offered.  When full payments begin: Understanding your repayment start date can help you plan ahead and know what to expect after school.  Repayment term length: This is how long you'll have to repay the loan. Longer repayment terms may lower your monthly payment but can increase the total amount repaid over time.  Understanding when repayments start can help you plan ahead and avoid surprises later. Depending on your repayment plan, when you have to pay back your student loans may look different.   Step 4: Review the Loan Details  Once you've compared the basics, take a closer look at the details that can make one offer different from another.  These may include:  Interest Rate or APR: The interest rate helps determine how much you'll pay to borrow the loan over time. As you compare offers, pay attention to whether you're looking at an interest rate or APR and whether the rate is fixed or variable.  Fees: Some lenders charge fees that can increase the overall cost of borrowing. Review each offer carefully so you understand whether any fees apply and when they may be charged.  Cosigner Requirements and Cosigner Release Options: If you're applying with a cosigner, check whether the lender offers a cosigner release option and what requirements must be met to become eligible.  Autopay Discounts: Some lenders offer a rate reduction when you enroll in automatic payments. While the discount may seem small, it could reduce the amount of interest you pay over time and save you money.   Other Borrower Benefits: Some lenders may offer additional benefits or features that could be valuable depending on your needs.  Remember, even if two offers have similar monthly payments, differences in the interest rate, fees, or repayment options could affect the total cost of the loan and your overall borrowing experience. Understanding how student loan interest works and the differences between fixed- and variable-rate student loans can also help you make a more informed comparison.   Take Your Time and Compare Your Options  Choosing a student loan is an important decision, but it doesn't have to feel overwhelming. By comparing your offers side by side, you can better understand how each option may affect your monthly payment, total repayment cost, and repayment timeline.  The goal isn't to find the "best" loan overall. It's to find the option that best fits your budget, needs, and plans for the future. 

So, you've decided to go back to school, or maybe you're still weighing your options. Either way, you might be wondering: How do I return to college after taking time off?  Whether you took a gap year, stepped away to focus on work or family, experienced financial challenges, managed a health concern, or completed a degree and are now thinking about going back for another, you're not alone. There are many reasons students return to school, and taking time away from your education doesn't mean your academic journey is over.  The good news is that returning to college is possible at any stage of life. In fact, many students come back with greater clarity, stronger motivation, and valuable life experience that can help them succeed. No matter how long you've been away, there are steps you can take to make the transition back to school feel manageable and rewarding.  Returning to school may feel overwhelming at first, but you don't have to figure it out alone. We'll walk through the key steps to help you move forward with confidence and make your transition back to college as smooth as possible.  Reflect on Why You're Going Back to College  Before you start researching schools, filling out applications, or exploring your funding options, take a moment to think about why you're returning to college. Having a clear sense of purpose can help you stay focused and make decisions that align with your goals.  Take some time to consider:  What motivated you to return. Are you looking to advance your career, change fields, finish your degree, pursue a master’s or another degree?  What success looks like for you. Think about the opportunities, skills, or outcomes you're hoping to gain from earning your degree.  What's changed since you last attended college. Work experience, new responsibilities, and life experiences may have given you a clearer perspective on your goals.  How college fits into your future plans. Understanding how a degree supports your long-term goals can help keep you motivated throughout the journey.  Understand Your College Options  When returning to college, it's important to remember that you don't have to pick up exactly where you left off. The best path depends on your goals, schedule, finances, and current responsibilities. For some students, returning to their previous college is the simplest option. If the school still offers a program that fits your goals, you may be able to build on the credits you've already earned rather than starting over. The familiarity of your previous school can also make the transition feel less intimidating.  However, your needs may have changed since you last attended college. A different school may offer a program that better aligns with your career goals, more flexible scheduling options, or lower tuition costs. If you're considering transferring colleges, be sure to review how your existing credits will apply toward a new degree program. If you're returning for a master's or another degree, compare programs to find one that fits your current goals and plans.  You'll also want to think about what learning format works best for your lifestyle. Many schools offer:  Online programs  Hybrid programs  Evening or weekend classes  Part-time enrollment options  As you compare schools and programs, look beyond the degree itself. Consider factors like class schedules, support services, tuition costs using free calculators, and how much time you can realistically dedicate to school. Choosing a program that fits your life today can make it easier to stay on track and reach your goals.  Contact Your School and Review Your Academic Status  Once you've decided to return to college, reach out to your school as early as possible. An admissions representative or academic advisor can help you understand what steps you'll need to take and answer questions about enrollment, credits, and requirements.  Before you register for classes, make sure you understand:  Whether you'll need to reapply. Some students can simply re-enroll, while others may need to submit a new application depending on how long they've been away.  How many credits you already have. Request a copy of your transcript and review the coursework you've completed.  Whether your credits still count. If you're returning to your previous school, ask how your credits apply to your degree requirements.  How transfer credits work. If you're considering a new school, find out which credits will transfer. The more credits that transfer, the less time and money you may need to spend completing your degree.  Any requirements for returning students. Ask about enrollment policies or additional steps you'll need to complete before registering for classes. If you're pursuing a master's or another degree, ask about the admissions requirements and whether your previous degree meets them. Federal Student Aid also offers a checklist for preparing for graduate school.  A few conversations now can save you a lot of confusion later. You'll have a better understanding of where you stand academically and a clearer path toward your degree, whether you're finishing one you started or pursuing a new one.  How to Pay for College After Taking Time Off   Returning to school is an investment in your future, but that doesn't mean you have to figure out how to pay for it on your own. Taking the time to explore your funding options can help reduce stress and make it easier to focus on your education.  As you prepare to return to college:  Complete the FAFSA. Even if you've received financial aid in the past, submit a new FAFSA to see what federal grants, loans, and work-study opportunities you may qualify for.  Look for scholarships and grants. Many organizations offer funding specifically for adult learners, transfer students, or students returning to school for another degree.  Check with your employer. Some companies offer tuition reimbursement, education assistance programs, or professional development benefits that can help offset costs.  Understand your total cost of attendance. Consider more than just tuition. Books, fees, housing, transportation, and childcare expenses can all affect your budget.  Create a realistic spending plan. Having a clear budget can help you understand how much funding you'll need and avoid financial surprises during the semester.  Explore all available resources. A combination of financial aid, scholarships, employer benefits, savings, and other funding options may help make returning to school more affordable. If you still need additional money after exploring those options, a private student loan may help cover remaining education costs.  The more prepared you are financially, the more confident you'll feel as you take the next step toward earning your degree.  Build a Schedule That Works for You  Returning to college might look different than it did the first time around. You may be balancing classes with work, family responsibilities, or other commitments, so it's important to create a schedule that feels sustainable.  A few simple tips can help you build a schedule that works for you:  Consider your current responsibilities. Think about your work schedule, family commitments, and other obligations before deciding how many classes to take.  Choose a course load that works for you. Full-time enrollment can help you finish your degree faster, while part-time enrollment may provide more flexibility.  Stay organized. Use a calendar, planner, or app to keep track of class schedules, assignments, and important deadlines.  Start with realistic expectations. Your first semester back may take some adjustment, and that's okay. Focus on building momentum rather than taking on too much at once.  Remember, the goal isn't to have a perfect schedule. It's to create a routine that allows you to make steady progress toward your degree or next educational goal while maintaining balance in the rest of your life.  Prepare for the Transition Back to Student Life  Returning to college after time away can feel exciting, but it may also take some time to get back into the rhythm of being a student. The good news is that many of the skills you've developed while working, raising a family, or managing other responsibilities can help you succeed in the classroom.   Before classes begin, it can help to:  Refresh your study habits and note-taking skills  Familiarize yourself with any online learning platforms your school uses  Create a plan for managing assignments, exams, and deadlines  Identify academic resources, such as tutoring, writing centers, or advising services  Most importantly, be patient with yourself. It's normal for the first few weeks to feel like an adjustment period. You may need time to find a study routine, rebuild your academic confidence, and get comfortable balancing school with your other responsibilities.  Remember, you don't need to have everything figured out on day one. Focus on making progress, asking for help when you need it, and giving yourself the time and space to settle back into student life.  Find Your Support System  Having the right support system can make a big difference, especially when you’re returning to school. Start by connecting with your academic advisor. They can help you understand degree requirements, choose classes, and answer questions as you work toward graduation.  You can also look for opportunities to connect with other students. Whether it's a campus organization, study group, or online community, building relationships with people who share similar goals can help you stay motivated and feel more connected to your school.  Don't forget about the people already in your corner. Family members, friends, mentors, and coworkers can provide encouragement, help you stay accountable, and celebrate your progress along the way.  Your college likely also offers a variety of resources to help students succeed, including:  Tutoring services   Writing centers   Professor or instructor office hours   Academic advising   Study groups or peer mentoring  Taking advantage of these resources can help you navigate challenges, build confidence, and get the most value from your education. Since many of these services are available at little to no additional cost, they can be an easy way to access extra support when you need it.  Build Momentum, One Semester at a Time  Returning to college can feel overwhelming when you're focused on the end goal of earning your degree. Instead, try to take it one step at a time and focus on the progress you're making along the way.  Completing your first semester back, passing a challenging class, improving your GPA, or simply staying consistent with your coursework are all accomplishments worth recognizing. Celebrating these milestones can help you stay motivated and build confidence as you move forward.  It's also helpful to keep your long-term goal in mind. Whether you're returning to advance your career, switch industries, pursue a master's or another degree, or finish a degree you started years ago, remembering your "why" can help you stay focused during busy or challenging times.  Every step forward counts. Progress may not always happen as quickly as you'd like, but each class completed brings you closer to your goal.   You've Got This  Returning to college after time away can feel like a big decision, but you don’t have to have everything figured out before you begin. Whether you’re exploring your options, returning to a previous program, or starting somewhere new, you can take the process one step at a time.  Start by focusing on what you can do today. That might mean researching schools, talking with an advisor, completing the FAFSA, or registering for your first class. Each step can help you better understand your options and move closer to your goals.   Going back to school doesn’t have to look the same for everyone. Your timeline, goals, and path may be different from someone else’s, and that’s okay. With a clear plan and the right support, you can move forward at a pace that works for you and continue working toward your degree, next degree, or future goals. 

Woman learning how student loan disbursement works, including when student loan funds are sent and when she can expect to receive the money.

Paying for college can feel stressful, especially when your family’s finances don’t fit neatly into a form. Maybe there has been a job loss, or your income looks different now than it did on your tax return, or your family owns a small business and the numbers need a little more context.  When that happens, it's normal to have big questions: Will we qualify for financial aid? What happens if our circumstances changed? Can we ask the school to take another look?  The reassuring answer is “Yes! You can ask questions!” The FAFSA is still the place to start, but if job loss, small business ownership, changing circumstances, or another financial challenge affects your ability to pay, your school’s financial aid office may be able to explain whether a special circumstances review or financial aid appeal is available.  This guide can help your family feel more prepared, know what to ask, and understand how to work with schools if your financial situation needs more explanation.  Start With the FAFSA, Even if Your Family’s Situation Feels Complicated  The FAFSA gives schools the information they need to review federal financial aid eligibility. Even if your family expects to explain more later, submitting the FAFSA accurately is usually the first step.  Families often have follow-up questions when their situation includes:  Job loss or reduced income  Changing circumstances that affect what your family can pay  Small business ownership, business income, or business assets  If any of these apply, you don’t have to figure it all out at once. Complete the FAFSA as accurately as you can, then ask each school what review or appeal options may be available.  Don’t Rule Yourself Out Before You Know Your Options  Families sometimes assume they won’t qualify for help, especially if their income looks too high, they own a business, or their situation doesn’t fit neatly into the FAFSA. But it’s worth taking the first step before ruling yourself out.  Skipping the FAFSA can limit what your student may be considered for, including grants, work-study, federal student loans, state aid, school-based aid, and some scholarships. Submitting it gives your family real numbers to review instead of guessing what may be available.  After you submit, compare the results with what your family can realistically afford. If something important needs more explanation, ask the school whether a special circumstances review or financial aid appeal is available.  Some schools may call this a financial aid appeal, special circumstances review, or professional judgment review. The name may vary, but the goal is similar: helping the school understand information the FAFSA alone may not show.  If Your Family Needs More Context, Consider a Financial Aid Appeal  A financial aid appeal is a way to ask the school to review information that may not be fully explained by the FAFSA alone. It can give families a path to share important context, such as job loss, reduced income, changing circumstances, or a financial situation that needs more explanation.  An appeal isn’t a guarantee that your aid will change. It’s a way to ask the school to review new, unusual, or changed circumstances that weren’t fully reflected on your FAFSA.  Families may consider asking about an appeal if they experienced:  Job loss  Significant income reduction  Small business ownership, business income, or business assets that need more explanation  The school may ask for documentation, such as a termination letter, recent pay stubs, tax documents, a written explanation, medical bills, or other records. Requirements vary by school, so ask what they need before sending anything.  Had a Job Loss or Income Change? Ask How to Explain It  If your family’s income changed after the tax year used on the FAFSA, ask the financial aid office for help on how to best explain what changed. The school may be able to review your current situation through a special circumstances process.  After the FAFSA is submitted, you can keep the message simple:  “We submitted the FAFSA using the required financial information, but our family’s income has changed because of a recent job loss. Is there a process to have our financial aid reviewed based on our current situation?”  From there, the school can tell you what documentation is needed and what timeline to expect, so you aren’t left guessing about the next step.  Own a Business? Ask How the School Reviews It  If your family owns a small business, don’t assume the FAFSA tells the full story on its own. It’s worth asking the school how business income, assets, and documentation are reviewed.  Changes to the financial aid process have also affected how some business assets may be considered. Under the Student Aid Index, or SAI, some exclusions that existed under the old Expected Family Contribution, or EFC, calculation have changed.  Not every small business owner will be affected the same way, but it’s worth completing the FAFSA carefully, reviewing any school-specific requirements, and asking how business income, assets, or documentation will be reviewed.  A helpful question to ask:  “We own a small business, and I want to make sure we understand how that information is being reviewed. Are there any additional forms, documentation, or institutional requirements we should know about?”  This is especially important because some colleges may use FAFSA information alongside their own institutional process when awarding certain types of aid.  If the Numbers Still Do Not Make Sense, Ask What Can Be Reviewed  Your Student Aid Index, or SAI, can affect financial aid eligibility, but it isn’t the amount your family is expected to pay. If your family has questions about how job loss, small business ownership, or changing circumstances were considered, ask the school what review options exist.  The school may not be able to change your aid offer, and not every appeal results in more aid. But asking can help your family understand what was reviewed, what documentation may be needed, and what options are still worth comparing.  Before You Ask for a Review, Gather the Details That Help Explain the Situation  You don’t need to have every answer before you contact the school. But gathering a few clear details can make the conversation easier and help the financial aid office understand what you’re asking them to review.  You may be asked to include:  A short explanation of what changed  The date the change happened  How the change affected your family’s income or ability to pay  Supporting documentation  Any forms required by the school  Your student ID or application information  Keep your explanation honest and straightforward. You don’t need to write a dramatic letter. The goal is to help the school understand the situation, when it happened, and how it affects your family’s ability to pay for college.  Not Sure What to Ask the Financial Aid Office? Start Here  You don’t have to know the right financial aid language before asking for help. After you submit the FAFSA, these questions can help you start the conversation:  Do you offer a special circumstances or financial aid appeal process?  What situations qualify for review?  What documentation should we provide?  Is there a deadline to submit an appeal?  How long does the review usually take?  Could this review affect grants, scholarships, work-study, or loans?  If the appeal doesn’t change our aid, what other options should we consider?  Are there payment plans, emergency aid, or school-based scholarships available?  These conversations can feel intimidating, but financial aid offices expect families to have questions. Asking early can help you feel more informed, more prepared, and less alone in the process.  If Your Aid Still Leaves a Gap, You Can Plan From There  Sometimes a review doesn’t lead to more aid. If that happens, your family can still use what you learned to compare next steps and decide how to cover the remaining balance.  To plan for the remaining balance, you can:  Review scholarships and grants you may still be able to apply for, including Ascent’s scholarship opportunities  Ask about school-based or departmental scholarships  Explore payment plans offered by the school  Compare housing, meal plan, transportation, and textbook costs  Review federal student loan options  Look at the remaining gap after free aid and available resources  Ascent also offers no-essay scholarship opportunities that are quick to enter. See current scholarships here.  If there is still a balance left, private student loans may be one option to compare after scholarships, grants, savings, payment plans, and federal aid have been reviewed. Before borrowing, compare eligibility requirements, repayment expectations, interest rates, fees, and total loan cost so your family can make an informed decision.  You can also use Ascent’s student loan calculator to estimate potential monthly payments and better understand how different loan amounts, terms, and interest rates may affect your total cost.  Bottom Line: Start With FAFSA, Then Work With the School  If your family is dealing with job loss, small business ownership, changing circumstances, or questions about whether to appeal, start by submitting the FAFSA. Then contact the financial aid office at each school to ask what review process may be available.  You may not get every answer right away, and an appeal isn’t a guarantee of more aid. But asking early can help your family understand the process, prepare the right documentation, and make a plan with more confidence.  Want a deeper walkthrough of recent federal student aid changes, including borrowing limits, grant eligibility, repayment options, and planning steps for families? Watch Ascent’s Financial Aid Changes for 2026: What Families Should Know webinar, here. 

We’re proud to share that Ascent has been recognized as one of Southern California’s Best Places to Work by Best Companies Group, an independent organization that honors companies creating strong workplace experiences for their teams.  Best Places to Work SoCal is a research-driven program from Best Companies Group that reviews participating companies’ practices, programs, and benefits, then gathers employee feedback about their workplace experience. Companies that meet the program’s criteria are named among the Best Places to Work SoCal. For Ascent, this recognition reflects more than our benefits or programs. It reflects the people who make our work meaningful every day.  At Ascent, we’re focused on building a workplace where people feel supported, trusted, and able to grow. Our mission is to help students access education and move toward academic and economic success, and we know that work starts with our own team. When employees feel valued and connected to the work they do, they’re better equipped to make a meaningful impact.  Our team is curious, collaborative, and open to new ideas. Leaders encourage learning, create space for feedback, and support career growth across the company. We believe great ideas can come from anywhere, and we work to make sure employees feel heard, included, and empowered to contribute.  Supporting employees means supporting the whole person. Ascent offers flexible and hybrid work options, generous PTO and leave policies, paid parental leave, wellness support, continuing education opportunities, and a 401(k) match. These benefits are designed to help team members care for themselves, grow professionally, and build sustainable careers.  Recognition is also part of how we show appreciation. Through programs like Cosmic Kudos, professional development opportunities, and company-wide celebrations, Ascent makes time to acknowledge the work happening across the team. It’s one way we help create a culture where people support each other, celebrate progress, and take pride in the impact they’re making.  “We’re proud to have built a workplace where employees feel trusted, supported, and genuinely connected to the work they do,” said Emily Skoubo, Director of Human Resources at Ascent. “This recognition reflects the collaborative culture our team has created together and our continued focus on providing an environment where people can grow, contribute, and feel valued.”  At its core, Ascent’s culture is people-first and purpose-driven. Team members support one another, celebrate wins together, and stay connected to a shared goal: helping students and families plan for, pay for, and succeed in school. That mix of mission, collaboration, and opportunity is what makes Ascent a great place to work.  We’re grateful to every employee who helps shape that culture every day and proud of what we’ve built together. As Ascent continues to grow, we’ll keep investing in our people, strengthening our culture, and creating opportunities for employees to do meaningful work while building rewarding careers. Because when our people succeed, the students and families we serve benefit too.