Summer is getting into full swing, but parents who are sending a kid to college are being advised to start thinking ahead now about how they are going to pay for it in the fall. Iowa Student Loan C-E-O Steve McCullough says it’s especially important for parents who might use the Federal PLUS Loan program, as the rates increased on July 1st. He says those rates went from six-point-three-one percent to seven percent.

McCullough says there are other options available. “For this particular loan, there are several private student loans that parents can consider using instead. One of those is the Partnership Advanced Education loan provided by Iowa Student Loan. And a new version called the College Family Loan,” McCullough says.

He says the loans administered by his organization do have a lower interest rates. “The highest fixed rate that we’re charging for this fall is six-point-eight-five percent,” according toe McCullough. “Now we know that there are other private loan programs that are available to parents to fill this gap — but we don’t believe that any of them that have this same situation where the highest fixed-rate they are charging is six-point-eight-five percent.”

These are loans that are taken out by the parents with the idea that the college students will eventually pay them off. McCullough says it is important for parents to fully understand that they are on the hook for the loans if the students don’t pay. “Now many parents make the mistake of assuming that there son or daughter will pay it anyway — but that doesn’t happen in all cases — and that leads to some real consternation among the families,” McCullough says.

He says parents and students should do as much research as they can right now to find out all the options available so they don’t have to scramble in the fall.  “Most families tend to look into loan options at the point they get their first bill from the college and they figure out they don’t have the money in their bank account to pay for it,” McCullough explains. “They receive their award letter from the college that said they may need to borrow in the spring, but they’ve still been trying to arrange how they are going to pay for it.”

Iowa Student Loan is the non-profit entity in the state that administers students loans. McCullough says they have a variety of information on their website about student loans and borrowing.

(Radio Iowa)

A traffic stop for speeding in Audubon County Wednesday night resulted in the arrest of a man on drug charges. The Audubon County Sheriff’s Office reports 41-year old Jay Joseph Ratigan, of Exira, was arrested at around 8:30-p.m. on charges that include Possession of Marijuana and Possession of Drug Paraphernalia. He was also cited for speeding.

Ratigan was pulled over in the 1700 block of Littlefield Drive and taken into custody after Sheriff’s K9 “Axel” alerted to the presence of narcotics in the vehicle and a search was conducted.  Ratigan was brought to the Audubon County Jail and later posted a $2,000 cash bond before being released.

A man who told authorities had given blood plasma earlier in the day, crashed his motorcycle at around 3:10-p.m. Wednesday. Red Oak Police say 46-year old Mark Edward Peterson, of Red Oak, was traveling south on N. Broadway Street, when the 1978 Honda CB750K he was operating left the road and collided with a concrete flower bed, causing him to fall off the cycle. The accident happened near the intersection with Coolbaugh Street.

Peterson suffered minor injuries and was transported by Red Oak Fire/Rescue to the Montgomery County Memorial Hospital. He told police that in addition to having donated plasma and not remembering the accident, he has suffered from memory loss in the past. The cycle sustained about $500 damage in the crash. No citations were issued.