June 3, 2024
Question:
My grandson is graduating from college. I’d like to give him a gift that will start him off on a solid financial path. I think he has student loans. Any advice?
Answer:
What a great offer to make and what an opportunity for your grandson!
Does he have a job lined up? If he has a job, ask him if his company has a student loan benefit. In other words, does his company pay any of his monthly student loan bill? One thought is you could cover the difference between what his company pays and his total monthly bill.
Another thought if his company does not have a student loan benefit or he is still looking for a job, is to cover his student loan payment for a period of time, say six months to a year. Don’t forget that he doesn’t have to start making payments for six months after he graduates.
He can also apply for the SAVE program which is an income-based repayment plan.
In return, you could ask him to “match” your student loan payment, but he has to start an emergency fund.
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