If additional funds for college are needed, you should consider having your child obtain a student signature loan from a private lender, such as Sallie Mae. A private signature student loan is in your child’s name and therefore, can be deducted as a student loan interest expense. Because the student is able to deduct the interest expense, these loans may be preferable to a Federal PLUS loan in the parents’ name. Just be aware though that many private  loans have teaser rates at the beginning of the loan, then the rates jump as the loan ages.