By Tim Kowols
Parents could be on the hook for their children’s private student loans if they are not paying close enough attention. To keep their kids from drowning in debt, parents often agree to become a cosigner for the private student loan. Without some of the safety net features federal loans have, Gay Pustaver from Money Management Counselors says many parents do not know they are just as responsible as their children are to making sure the debt is paid off.
According to StudentLoanHero.com, nearly 1.4 million undergraduates borrowed private loans in 2011-2012, creating $5.5 billion in student loan debt. You can listen to the entire Money Management Monday interview with Gay Pustaver online with this story.