According to a survey published last week by the two main student associations, young people who follow higher education will have to pay an average of 2,481.73 USD to pay for their return, which could well encourage some parents to consider buying back credits to cover all or part of these costs.
Tuition costs that keep increasing
Thus, in 2013-2014, it will take between 10,500 and 15,500 USD to finance a year of study outside the parental home, almost 2% more than last year, and almost 2,500 USD only to pay the school fees.
Certainly, part of the students benefit from scholarships, but for the 75% who are not entitled to them, they will have to meet school expenses (university registration, catering tickets, social security contribution, etc.) and peri-school (rent, electricity, insurance, transport…). Some will work during their studies, but many will still have to rely on their parents to pay all or part of these costs. Young people who follow higher education will have to pay an average cos to pay for their return, which could well encourage some parents to consider buying back credits to cover all or part of these costs
Buying back credits to finance higher education
Thus, a child who engages in higher education very often constitutes the triggering event for a request to buy back credits for parents who had not necessarily anticipated the extent of the expenses to be covered. Thanks to the repurchase of credits, it is in fact possible to considerably reduce the monthly repayment of the various credits in progress while providing additional cash to cover unforeseen expenses (individual vehicle, study trip, specific equipment for a internship, etc.).
But the repurchase of credits also makes it possible to improve the debt ratio of the parents, then giving them the possibility of subscribing a new credit intended specifically to finance the higher education of their children.