Financing Your Kids’ Education

Establishing a family is everybody’s aspiration. This is cemented when you have your kids and you are in a position of offering them the best in life. In order to achieve this one has to ensure that his or her children receives quality education. Well, this is an expensive venture that requires one to go to an extra mile to finance it. Since in most instances school fees is paid in lump sum one may consider seeking a financer to aid him in clearing the fees.

Lending platform for schools:

Financial institutions; these can be main stream banks or micro-banks. They offer the following aid in financing your kids’ education;

Loans: You may consider applying for a loan from your bank to finance your kids’ education. In order to qualify for a loan you have to be a member of the bank and be a frequent depositor with it. In addition you should also provide guarantors or collateral. This serves as security in case one fails to repay the loan.

Salary Advance: In case of regular salary you can consider applying for a salary advance from the bank and use it to pay for your kids’ education. The bank will deduct this amount from your salary together with the interest. The bank may also request you to request your employer to be your guarantor. This provides security to the bank as the employer will ensure that he deposits your salary in the same bank.

Online financing agencies. You may also consider searching for financers from online platforms. These may be from banks, investors in education sector or entrepreneurs. Under this kind of financing you should consider the repayment schedule and also the interest charged. Most of the lenders here are entrepreneurs aiming to make a kill from your woes and therefore charge high interest. All is not lost since we have some that are just focused on empowering people and hence they don’t change any interest.

Individuals and Family.  You can also seek for funds from friends and family members. This may help in case you need a little aid and you are certain of repayment. You may consider seeking assistance from individual financiers who offers loans. In such a case you have to face high interest since this is their business. They act as shylocks and will take assets to serve as security.

After paying your fees the learning institution should establish a favorable revenue cycle management for schools to ensure that they manage the resources. These should include establishing a secure school fees banking account and hiring experienced accountant. The accountant should be responsible of ensuring that each student fees is collected and the student notified of his balance. He should also be charged with the responsibility of budgeting of the available resources. This should include budgeting and allocating the resources to various projects in the school. The school should also put into consideration the number of staffs that they have employed and the amount of revenue that is set aside to cater for their salary.