Private Elementary School Loans
Find Out What Financial Tools Exist for K-12 Education
Private elementary schools overall remain popular choices for parents seeking a high-quality and consistent education for their children. About 10 percent of all K-12 students attend private schools, with that figure rising or falling across specific regions of the country.
Private schools, from kindergarten through high school graduation, cost anywhere from about $10,000 to $30,000 a year, give or take. For example, Hamden Hall Country Day School in New Haven, Connecticut costs between $15,000 and $20,000 for grades K-6. Grades 7-12 cost more.
Common misconceptions about private schools and affordability:
- Only wealthy kids go to private school.
- There aren’t any student loans for a private elementary school.
Number 1: the demographic reality among private schools is that the majority of kids that attend belong to the middle or upper middle class layer, not the wealthiest.
How are parents paying for their kids’ private school and saving for college?
According to many private school observers, parents spend their savings, take out second mortgages, apply directly to independent schools and apply for private loans from lenders who’ve gotten savvy to the demands for private school financial tools.
Financial Aid from Private Schools
If you’re a parent hoping to discover affordable loans with which to fund your kids’ private education, here’s some good news: There are many more financial resources available for private school than you might think.
**Tip: Plenty of private elementary schools offer their own brand of financial aid, meted out to families based on merit and need. Many families receive outright educational grants. By doing so, private schools are able to diversify their student populations and make quality education more accessible and affordable.
Tuition payment plans are common financial management tools for parents and payees. School financial aid offices typically partner with a financial institution that manages payment plans for payees.
What you’ll need in order to apply to a school for financial aid:
- Contact the school’s financial aid office—ask for all the required forms and applications appropriate to the institution’s financial aid programs.
- Attach a copy of your federal income tax form to your application.
**Tip: Many schools are affiliated with the National Association of Independent Schools (NAIS), a clearinghouse for private school information and financial aid tools. The Parent’s Financial Statement (PFS) is a common financial aid form your school may require you to complete.
Private Student Loans for K-12 Education
Here are some of the leading lenders and special loan products that may provide a solution that’s right for your family.
- Your Tuition Solution offers a low fixed rate K-12 loan designed to help parents and legal guardians pay for private school tuition. Borrow the full cost of tuition up to $40,000 with flexible repayment terms from 24 to 84 months with no penalties for prepayment. Unlike most other K-12 loan programs, there are no origination fees.
- K-12 Family Education Loan from Sallie Mae allows borrowers the full cost of tuition annually, and $6,000 for any additional educational expenses.
What You Need to Know About Private Loans and Your Credit History
Private loans are directly related to your credit history. If you have bad credit you will not be approved for money on your own merit. But bad credit does not exclude you from borrowing money for your child’s education.
**A proven strategy for borrowing with bad credit: apply for your loan with a credit-worthy co-borrower.
Private elementary school is not out of reach. Use this information as a guide to the best resources for financing a private elementary school education.