A relative wants to put life insurance benefits from a deceased family member in my kids' names. I'm worried that whatever amount it might be, it will interfere with their ability to receive financial aid for college later, which they certainly will need. Should I ask him to put it in my husbands' and my names?
2006-12-11 02:16:00 · 3 answers · asked by jeremy r 1 in Education & Reference ➔ Financial Aid
Both ways unfortunately effect college financial aid when it comes to need based financial assistance from the government and the college itself. At the moment, they look at both financial and income when determining the amount of financial aid to give an individual student. The best recommendation is to talk to a financial planner knowledgeable about college planning before making the final decision.
2006-12-11 05:02:44 · answer #1 · answered by dawncs 7 · 0⤊ 0⤋
Yes, it will definitely affect your child's financial aid. A larger percentage of money in your childs name is expected to be applied to college costs than if it was in the parents or guardians name. I do not remember the exact percentages but they are significant. You can find the information for sure on the FAFSA website.
2006-12-11 14:04:40 · answer #2 · answered by c_sf 2 · 0⤊ 0⤋
From what I understand, the less that your child has, the better off they are when applying for financial aid.
2006-12-11 10:24:05 · answer #3 · answered by metalmom71 3 · 0⤊ 0⤋