High Life : A WEEKLY FORUM FOR HIGH SCHOOL STUDENTS : Ways to Pay for That Education

High school students and their parents must be wondering whether they can still afford a college education.

UC Irvine estimates that for the 1992-93 school year, it will cost $11,970 for undergraduates living on campus and $7,690 for those who live at home.

But have no fear, scholarships--from UCI, civic and fraternal organizations--are available on the basis of academic achievement and merit to all students, regardless of financial status. Information on organizations offering scholarships is available at UCI’s scholarship office, (714) 856-6265, or in the reference sections of libraries.

Students eligible for need-based financial aid can apply to a number of federal, state and university programs; these include scholarships, grants, loans and work-study programs.

The choices for students who don’t qualify for need-based financial aid include the Parent Loans for Undergraduate Students program, in which participating banks make loans to parents of dependent undergraduate students. Interest rates for these loans determined by a formula based on Treasury Bill rates and generally are lower than private loan rates. The rate through June is 9.34%. As much as $4,000 a year may be borrowed, and there is a cap of $20,000. Repayment usually begins 60 days after disbursement.

Many private education loan programs--unsecured loans based on credit worthiness, not financial need--are also available to UC students and their parents.

Fixed loans ranging from $1,500 to the full cost of education generally have repayment periods ranging from 10 to 20 years, with repayment beginning as soon as 45 days after loan disbursement. Lines of credit, in which borrowers are given access to the credit line when they need money, offer payment schedules based on a percentage of the outstanding balance.

Some private loan programs require interest payments only while the student is in school, deferring principal repayments until he or she is out of school.

Of course, there is always student employment. Nearly two-thirds of UC undergraduates have part-time jobs; they earn an average of $2,557 per year. The UCI student employment office, (714) 856-6881, maintains listings for positions on and off campus.

“Never invest in anything that eats or needs repairing.”--Billy Rose (1899-1966)