In 2017, the cost of the return to school was on average 2,400 euros according to the Federation of General Student Associations. In addition to tuition fees, there are also food, accommodation, transportation and others. In order to finance all these expenses and offer your children the best conditions for their studies, prepare this project now. Savings, credit, investment of all kinds, several solutions exist.
Life insurance is the most popular savings solution for the French. And for good reason, it offers a very attractive return compared to other savings products. Its advantage is that it can be used as a medium or long-term savings solution. After subscription, payments will be made on a regular basis or not, without the amount being capped. This flexibility explains the great success of life insurance. In addition, it is possible to close the contract at the desired time. However, this exposes you to penalties.
It is better to wait the 8 years required by this type of contract before making withdrawals. Regarding the different formulas, two solutions are available to subscribers. The fund in euros is the choice of absolute security. There is no risk to your capital and you receive interest every year. The problem is that the yield is too low. If you want to quickly grow your money, this is not the most interesting alternative. It is better to turn to unit-linked supports offering a more attractive remuneration perspective. In return for higher gains, there is no capital guarantee. On this subject, other financial advice is available on Financierement.fr or on Lemagdelafamille.com.
Another strategy to adopt to finance your children's studies is to apply for scholarships normally accessible to those under 28 and available according to social criteria. The size of the family, the income of the parents, the distance between the family home and the university are some examples of parameters taken into account. Other public aid can also be requested, such as allowances for diversity in the public service, merit aid or the National Emergency Aid Fund (FNAU). For accommodation, students have the option of turning to CAF. They will receive assistance provided that the accommodation does not belong to someone in the family and that the lease is in the name of the student in question.
Did you unfortunately not have time to save enough or did your child go to a school where the fees are very high? In this kind of context, it is sometimes necessary to resort to a loan. Two scenarios can arise. First possibility:it is your child who subscribes to the credit and you can help him with his repayment and with the payment of his other expenses. Second option:you do not want him to be already dependent on a loan, so you assume the repayment of the latter. A solution to consider only if your debt capacity is acceptable.
