(MONEY Magazine) – With your budding scholar just one year away from introductory astrophysics, you may now be contemplating a new definition of infinite: the distance between the amount of money you have on hand to meet college costs and what you and your child will actually need.

Fortunately for strapped families, there is hope. Many of you will qualify for some form of financial aid (see the story on page 73), and even if you don't, help abounds. Among your choices will be three time-tested ways to get a good education at below-market cost. Cooperative education programs, in which students split their time between academe and the workplace, can allow students to pay the cost of tuition with their own earnings. The Reserve Officers Training Corps (ROTC) of the Army, Air Force and Navy offer competitive programs that can cover almost all school costs. And don't overlook public schools, including ones outside your own state. Several regional consortiums of state school systems offer ways for students to attend colleges in nearby states at less than out-of-state prices.

For most people, though, the solution will be borrowing. There are countless attractive loans for people who don't qualify for the federally subsidized loans given in financial aid packages. (Unlike financial aid loans, which are made to students, most other loans require parents to take responsibility for repayment, though all or some payments can usually be deferred until the * student has graduated.) Choosing among your options won't be easy, however. Observes Ronny Barnes, financial aid director at Texas Tech University, ''It's like looking at a plate of spaghetti and asking, 'Which strand am I supposed to pull on?' '' Herewith, the best techniques: 401(k) loans. You may want to borrow against the buildup in your 401(k) retirement account, if your plan allows you to do so. The major advantage of these loans of up to 10 years: interest payments go into your own account instead of into a bank's coffers. Note, though, that the law will soon require plans to end the practice of lending at below-market rates. Home-equity loans. If you can't borrow against a 401(k), this is probably your best loan option. Reason: tax benefits. Other education loans will be only 10% deductible next year and not at all after that. But you can write off 100% of the interest on home-equity loans of up to $100,000, which means that at the current average rate of about 12.25%, a home-equity loan actually costs a borrower in the 28% tax bracket only about 8.8%. Government-sponsored loans. Some states have educational loan programs that make money widely available at below-market rates. Massachusetts, for example, offers a 15-year, fixed-rate loan, recently 9.5%, to families of students attending 48 schools within its borders. A 6% origination fee brings the actual annual percentage rate to 10.59%. Parents with one child in college can earn as much as $120,000 a year and still qualify. To find out about such loans, check with a local college financial aid office or one in the state where your child will attend school. The federal government sponsors low-cost loans issued without regard for need through commercial lenders. The Education Department's PLUS loan carries an interest rate set 3.25 points above the average rate of 52-week Treasury bills, with a maximum -- now in effect -- of 12%. Two drawbacks: the PLUS spigot is turned off after $4,000 a year, and depending on the state in which you apply, you may pay an insurance fee of as much as 3%. If $4,000 is not enough, turn to the Family Ed loans (800-831-5626), which are underwritten by the federally chartered Student Loan Marketing Association (Sallie Mae). You can borrow up to $10,000 a year or the annual tuition and take up to 10 years to repay. The variable rate is set at 3.5 points above the 13-week T-bill, or about 11.9% recently. A 2% origination fee raises the annual percentage rate to 12.4%. School-sponsored loans. Colleges also sometimes offer loans to families above the financial aid cutoff at attractive rates. Among the best: Duke's 8% fixed-rate loan of up to $2,500 a year. One of the University of Pennsylvania's offerings is more typical: a variable-rate line of credit, pegged one point above the prime. Penn's current rate is 12%. Always ask if college or state loans offer the option of securing the debt with your home equity, thus allowing a tax write-off. Loans from nonprofit underwriters. If you are seeking large sums, private, nonprofit organizations that make low-interest, flexible loans for education may better meet your needs. Among the leading programs are the Education Resources Institute, or TERI (800-255-8374), and Consern: Loans for Education (202-331-9350). TERI, which also underwrites loans under the names Share and Excel, offers 20-year, variable-rate loans of as much as $20,000 a year at up to two points above the prime rate, after you pay an up-front 4% fee. Recent maximum rate on TERI loans: 13%. Consern, on the other hand, generally limits borrowers to $15,000, charges 4.1 points above its own index of commercial paper rates, nips you for 4% up front and allows you only 12 years to repay. Recent rate: 13.4%. Consern offers a better deal through employee benefits programs. Commercial loans. Many banks and finance companies are peddling high-priced education loans under cutesy names. Some commercial offerings deserve careful consideration, though. One example: Knight Tuition Payment Plans (800-225-6783), a Boston company, offers variable and fixed-rate loans that give even the nonprofit lenders a run for their money. Knight's Extended Repayment loan carries a T-bill-plus-4.5-point rate (recently 12.25%) and a 10-year repayment schedule. Fleet Education Funding Corp. (800-456-1213), which is based in Rhode Island, also offers competitive prices on college loans.

BOX: LAST-MINUTE STRATEGIES TO CONSIDER

-- Look into cooperative education -- Borrow against your 401(k) -- Take out a low-cost PLUS loan