In your financial aid information, your school may suggest you apply for certain Federal loans. Federal student loans are low-interest loans with deferred payment options and are not awarded based on credit history, but rather on need. Each college selects a federal loan program - either the Federal Family Education Loan Program (FFELP) or the Federal Direct Loan Program (FDLP). With FFELP, private lenders provide the loan funds. With FDLP, the government provides the loan funds.
Obviously, you want to obtain the loans with the lowest interest rates and the most options for deferring (delaying) payment until after graduation. The pick of the crop of these types of loans are subsidized and unsubsidized Stafford loans and Perkins loans.
Stafford Loans
Stafford loans are low interest federal loans and are one of the most commonly used student loans. Stafford loans are either Subsidized (the government pays the interest while the student is in school and during grace and approved deferment periods) or Unsubsidized (the student pays all the interest, payments can be deferred until after graduation). Completing a federal student loan application will help get you started!
Your rights and responsibilities
As a borrower, you have certain rights and responsibilities. Take a moment to review the Borrowers Rights and Responsibilities:
Once you have taken out a loan, BE SURE TO ALWAYS OPEN YOUR STUDENT LOAN RELATED MAIL. It could contain important information critical to managing your loan.
Six months after you graduate or cease to be enrolled, you will begin repayment. You will receive a Repayment Schedule from your loan servicer indicating the due date and amount of your payments.
To lower your monthly payments and make one easy payment you should consider consolidating your loans.
Perkins Loans
These campus-based loans are given to students who demonstrate significant financial need. Perkins loans feature low interest rates and are dual-funded by your school and the federal government. If you qualify, you may borrow up to $4,000 annually for undergraduate study-up to a loan maximum of $20,000 over the course of your college career. Perkins loan payments may be deferred until after graduation.
For more information on Perkins loans or to learn more about completing the federal student loan application for this loan, visit the U.S. Department of Education Web site Perkins page.
Your rights and responsibilities
As a borrower, you have certain rights and responsibilities. Take a moment to review the Borrowers Rights and Responsibilities:
Once you have taken out a loan, BE SURE TO ALWAYS OPEN YOUR STUDENT LOAN RELATED MAIL. It could contain important information critical to managing your loan.
Six months after you graduate or cease to be enrolled, you will begin repayment. You will receive a Repayment Schedule from your loan servicer indicating the due date and amount of your payments.
To lower your monthly payments and make one easy payment you should consider consolidating your loans.
PLUS Loans
The Parent Loan for Undergraduate Students (PLUS) is a part of the Federal Family Education Loan Program (FFELP). Provided at interest rates currently as low as 4.10% with borrower benefit programs, a PLUS loan allows parents to fund 100% of the cost of their student's education less any financial aid already awarded. It's a cost-effective alternative to using savings, income, retirement accounts or home equity loans for education costs, and completing the federal loan application for a PLUS loan is quick and easy.
Your rights and responsibilities
As a borrower, you have certain rights and responsibilities. Take a moment to review the Borrowers Rights and Responsibilities:
Once you have taken out a loan, BE SURE TO ALWAYS OPEN YOUR STUDENT LOAN RELATED MAIL. It could contain important information critical to managing your loan.
Six months after you graduate or cease to be enrolled, you will begin repayment. You will receive a Repayment Schedule from your loan servicer indicating the due date and amount of your payments.
To lower your monthly payments and make one easy payment you should consider consolidating your loans.
Consolidation Loans
Federal Consolidation Loan
A Federal Consolidation Loan is part of the family of loans available under the Federal Family Education Loan Program (FFELP) as authorized by the federal government. With a Federal Consolidation Loan, you can consolidate all or some of your outstanding federal loan loans into a single new loan, even if your loans are currently held by more than one lender and are of different loan types.
Private Consolidation Loan
If you have credit card or private loan debt from college, a private consolidation loan can help. Through our partner Educap Inc. ® , we introduce the Loan To Learn TM Private Consolidation Loan-allowing you to consolidate up to $250,000 in private education debt.
Your rights and responsibilities
As a borrower, you have certain rights and responsibilities. Take a moment to review the Borrowers Rights and Responsibilities:
Once you have taken out a loan, BE SURE TO ALWAYS OPEN YOUR STUDENT LOAN RELATED MAIL. It could contain important information critical to managing your loan.
Six months after you graduate or cease to be enrolled, you will begin repayment. You will receive a Repayment Schedule from your loan servicer indicating the due date and amount of your payments.
To lower your monthly payments and make one easy payment you should consider consolidating your loans.
Private Loans
Private Loans help cover the difference between your education costs and the amount of money you receive from scholarships, grants, work-programs and federal student loans.
Once you complete and submit your loan application, your school's Financial Aid Office will certify your loan application and forward it to the Disbursing Agent for final approval, guarantee and disbursement. Typically, you'll receive your loan funds at the beginning of each school term.
Your rights and responsibilities
As a borrower, you have certain rights and responsibilities. Take a moment to review the Borrowers Rights and Responsibilities:
Once you have taken out a loan, BE SURE TO ALWAYS OPEN YOUR STUDENT LOAN RELATED MAIL. It could contain important information critical to managing your loan.
Six months after you graduate or cease to be enrolled, you will begin repayment. You will receive a Repayment Schedule from your loan servicer indicating the due date and amount of your payments.
To lower your monthly payments and make one easy payment you should consider consolidating your loans.
