Going to college is an exciting time but it can also be very stressful for both students and parents alike. The increase in the third level registration fees combined with the very significant day to day costs of going to college are forcing many to borrow in order to meet these costs, according to Castlebar Credit Union.
Anne King, manager of Castlebar Credit Union said: “The significant cost of third level education puts phenomenal pressure on both parents and students starting or returning to third level education this year. The increase in the student registration fee combined with monthly rent and bills, books and materials and day to day expenses are a significant financial burden to many families.”
Research carried out by the Irish League of Credit Unions has highlighted that a typical student living away from home will spend over €10,000 to finance a year in third level education. This includes the student contribution charge (or registration fee ), which is €2,500 this year, rent, book allowances, food, household bills, transport and other day to day living expenses. The research also found that 72 per cent of college students rely on parents for financial support with 55 per cent of relying heavily on their existing savings to fund third level education. Paid employment is the third most important source of funding for third level education in Ireland (55 and 17 per cent of students choose a loan to fund education.
The manager added: “Castlebar Credit Union is available to support both parents and students as they prepare for the academic year. Castlebar Credit Union offers a very competitive student loan rate of 6.5 per cent (6.7 per cent APR ). We encourage anyone who is looking to finance their education or who simply wants some advice on planning ahead or budgeting to call into their local credit union and speak to a member of staff. Planning ahead where possible is the best way to prepare for these expenses.”
A loan with Castlebar Credit Union is different and here is why:
There are no hidden fees or transaction charges. Interest is not front loaded and repayments are calculated on your reducing balance, so you pay less interest with each repayment. All loan rates are fixed - the repayment remains the same for the term of the loan. Once you are eligible for a credit union loan, repayment terms can be designed around your needs. Maximum term is five years. Your credit union loan is insured—subject to terms and conditions—at no direct cost to you. Other lenders charge for this. You can pay off your loan early, make additional lump sum repayments or increase your regular repayments, without a penalty. Other lenders may charge you extra for paying them back faster.
For further information on credit union student loans, phone Castlebar Credit Union on 094 902 2969 (extension 2 ) or log on to www.castlebarcu.ie