Core Insights - A significant majority of parents, 95%, expect to contribute over half of their children's college education costs, with 36% planning to cover the entire cost [1] - Understanding the child's field of study and long-term goals is crucial for parents when providing financial support [1] Financial Considerations - The average federal student loan debt is $39,075, while private loan borrowers average $42,673, indicating a substantial financial burden on graduates [4] - As of Q2 2025, 11.3% of federal student loan borrowers were delinquent, highlighting the challenges many face in managing their debt [4] - Federal student loans typically offer lower interest rates, ranging from 6.39% to 8.94% for loans issued between July 1, 2025, and July 1, 2026 [4] - Private loan rates can start at 3.19% and go as high as 17.95%, lacking the protections offered by federal loans [5] Parental Guidance - Parents are advised to refrain from providing additional financial support until they have clarity on their child's academic performance and future plans [3] - It is essential for parents to know what their financial contributions are funding to help minimize student debt effectively [6]