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[quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous]Here's what I would do in your position.  Explain to kid that you only saved enough for in state.  So give him two options:  1) transfer and go in state for free or 2) you pay for next year out of your 529 and kid takes out loans for the following two years.  It's a great deal.[/quote]

Correct. That’s basically what we are discussing.

I was just hoping someone might have navigated the loan options and would weigh in.

[b]I recognize I will need to finance it if that’s what my kid chooses. But I won’t do that unless they realize it’s a debt they’ll be on the hook for. [/b][/quote]
35 years ago I was in a similar situation.
I got accepted to a private school that I really wanted to go to.  If I went In-State, it would have been free as we qualified for Pell Grants.
My parents took out a HELOC that I needed to make the payments on that covered the difference between the aid that they school offered and tuition.  
I hustled all summer - every break - during the school year etc. to make sure I never missed a payment[/quote]
Are we living 35 years ago?
[b]Not sure what your point is[/b],[/quote]

Seriously. My son’s entire summer job earnings wouldn’t pay for one month of his tuition. [/quote] 
The point was that I made a choice and I lived with it.  My parents took out a HELOC for $28,000 at 9.8% and I made a payment of $366 a month every month starting my 1st month of school for 10 years.  The minimum wage at the time was $3.35 / hour.  I had 3 jobs over the summers as I needed to make at least $3000 (I would work throughout the year as well)
When I graduated, my loans were due as well.  Between the payment to my parents and the student loan payments I did not have a lot of financial flexibility each month.  
The OP can do a similar option for her child - but they need to spell it our so everyone understands who is on the hook for what.[/quote]

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