The College Pre-Approval™ Process
What Is College Pre-Approval™?
College Pre-Approval™ is a critical first step in any comprehensive college planning strategy—and the smartest way to avoid excessive student loan debt before it begins.
Just like mortgage pre-approval helps homebuyers understand what they can truly afford, College Pre-Approval™ helps families define a realistic, strategic budget for college before applications are even submitted.
With this approach, families avoid emotional overspending and gain clarity on:
- ✅ How much money is realistically available for college
- ✅ What portion, if any, will need to be borrowed
- ✅ The maximum safe amount a student should take on in loans
- ✅ Which colleges align with their long-term financial picture
5 Key Sources Evaluated in College Pre-Approval™
Melissa Cox, CFP® reviews all potential funding sources across five categories to determine your college affordability profile:
- Parent Contributions
- Savings, investments, and monthly cash flow
- Parent Loans
- Available credit or loan programs like Parent PLUS
- Student Savings & Work Income
- What the student can contribute or earn during school
- Student Loans
- Federal student loan availability, limits, and strategy
- Additional Sources
- Grandparent contributions, 529 plans, scholarships, and more
Once these are analyzed, we compare the total available funds to projected college costs—and calculate how much a student can safely borrow based on expected income after graduation.
📌 General Rule: A student’s total loan amount should not exceed their first-year salary in their chosen career path.
Why It Matters: A Smarter Way to Pay for College
Too many families pick colleges first, and figure out how to pay for them later. That’s a recipe for debt overload.
With College Pre-Approval™, you gain:
- 🎓 A defined college budget before your child applies
- 🧮 Clear limits on what’s reasonable to borrow
- 📉 Reduced reliance on risky private loans
- 💸 Confidence in saying “no” to overpriced schools
🔁 Flexibility to redirect funds toward retirement or other financial goals
College Pre-Approval™ Is Your Launchpad for Financial Clarity
At Future-Focused Wealth, we believe in empowered decision-making—and College Pre-Approval™ puts your family in control. This process acts as a foundation for strategic college selection, scholarship hunting, and student loan management.
