I want to be denied a PLUS LOAN so my son'll get an Unsubsidized Stafford Loan- how can I make sure I'm denie
The only way you will probably be denied is if you have a foreclosure, a judgment or a bankruptcy in your credit history. You are even allowed to be up to 180 days late on your mortgage and still get one. Denying information will just mean that your application was incomplete, not denied. Face it, creditors are determined to make parents responsible for their kid's loans. You could cosign a private loan instead, if your credit is good enough. Although you will share the responsibility for the loan, it will have his name on it and he will be supposed to make the payments. Also, most creditors let the cosigner off the hook after 24 or 48 months of on-time payments. Oh and by the way, you are correct about the extra $2,000. While all Staffords were increased by $2,000, students whose parents were denied a plus loan get an extra $2,000 on top of that. Congress passed this bill in May. Here is a link to information about the bill: http://www.nasfaa.org/publications/2008/...
What are the pros and cons of subsidized loans vs. unsubsidized loans.?
A subsidized loan is a loan in which the government pays the interest until you are no-longer enrolled in a college or university as a half-time student and after the particular loan's grace period. An unsubsidized loan is a loan in which you must pay the interest that accrues from the moment you take the loan out. The government does not subsidize the interest with these kinds of loans. College students in the United States usually take out subsidized loans (Perkins and Stafford loans) first if their institution offers it to them, then unsubsidized loans (the PLUS loan, for you parents), and then private loans (through banks, etc). Unsubsidized loans are easier to get and give you some time to finish school and earn a paycheck before you start repayment. These loans are need-based and offered to you by your school. They are generally better for students who don't have a lot of money and would benefit from the grace period and interest subsidy granted by the government.
Do you have to still pay your student loan back if you go to prison?
Do you have to still pay your student loan back if you go to prison?Yes. Incarcerated people are still required to pay back their debts, including student loans.Note, however, that people who are incarcerated are ineligible for federal education loans [34 CFR 668.32(c)(3)]. This means they cannot borrow new federal education loans, whether for themselves or on behalf of a child (e.g., a Federal Parent PLUS loan). Their existing federal education loans are still due.Typically, an incarcerated borrower might qualify for an economic hardship deferment or a forbearance. These are temporary suspensions of the obligation to make payments. Interest may continue to accrue on the loans, depending on whether the loan is subsidized or unsubsidized and whether it is a deferment or forbearance. If the new interest is not paid as it accrues, it is added to the loan balance. These deferments and forbearances are usually limited to a maximum of three years.If an incarcerated borrower runs out of deferments and forbearances, and has not made arrangements for someone else to make the payments on their behalf, the loans will go into default after 360 days of non-payment. The federal government has strong powers to compel repayment, such as administrative wage garnishment, offset of income tax refunds and offset of Social Security benefit payments. They can also get a levy on the borrower’s assets, such as bank accounts, with a court order. However, if the borrower has no income and no assets, these tools will generally be ineffective. But, upon release from prison, they will become effective at collecting the debt, which may have grown considerably.
What are the best student loans to get?
Federal student loans are the best loans, since they are cheaper, more available and have better repayment terms than private student loans.Focus on the federal student loans with the lowest interest rates and fees, such as the Federal Perkins loans and subsidized Federal Stafford loans. Next are the unsubsidized Federal Stafford loans.If you find yourself needing to borrow from a Federal Parent PLUS loan or a private student loan, it may be a sign you’re over-borrowing. If your total student loan debt at graduation is less than your annual income, you can afford to repay your student loans in ten years or less. Otherwise, you’ll struggle to afford the loan payments and will need an alternate repayment plan, like extended repayment or income-driven repayment.If your parents have excellent credit, a private student or parent loan may be less expensive than a Federal PLUS loan. See www.privatestudentloans.guru for a list of lenders. Otherwise, stick with the Federal PLUS loan.
Student loan under 21?
Congrats on building up good credit at 20- that’s so encouraging to hear, because it’s not an easy thing to do. You also did the right thing by filing fed forms first; you’ve clearly got your head in the game. And it’s ok that you don’t have a co-signer, many folks don’t. My suggestion is much like your bank’s: to look around and get offers from different lenders, to see which deferment option and interest rate is the best for you. However, while some lenders may be set for one option or the other, sometimes you have to just go through the application process to see if you can qualify. I’m happy to say that the company I represent, http://www.TuitionBids.com , lets you apply and then get offers from six different lenders. It cuts down search time a lot and should hopefully help you out with your search. Best of luck to you as you go through your college career! -Lauren
Can I apply for student loans in the middle of the semester?
you can apply at any time.... but, that doesn't mean it will get processed in the semester that you fill out the application for example, students are filling out Fin Aid paperwork for Fall 2012... in some cases with deadlines that just passed What you need to do is talk with your Fin Aid office & see what they recommend you do even if you applied for private student loan, your fin aid office still has to process it & that will take just as long as other loans You will not get to choose what type of loan
I need a private student loan?
A large number of college students receive financial assistance from a grant, work-study program, or Federal student loan. However, due to rising college tuition, traditional financial aid doesnt always the expense. When there is a difference between the education costs and financial aid received, students must find a way to pay the excess. Some people choose to use personal savings or a credit cardstudents have little or no credit history. Private student loans are quite the opposite. Because private banks approve the funds, loan requirements include a solid credit history and verifiable income. Plus, the interest rate on a private student loan is generally higher than a Federal student loan, which can equal a higher monthly payment.
Financial Aid : Federal direct subsidizing loan vs perkins loan?!?
I'm heading into college soon and i have to borrow some loans. I would really really like to know what's the different between federal direct subsidized loan and federal perkins loan . What are the advantages/disadvantages to each. And which do you guys recommend? Thanks ahead
How much will I owe after I graduate? Are student loans difficult to pay off?
Kudos on getting ahead of your loans before you graduate! If your loans are federal, you can use the government's Repayment Estimator tool to calculate how much you'll owe after graduation and how much you'll pay per month on different repayment plans. How much you'll actually owe depends on the interest rates on the loans, and whether they're subsidized (no interest accrues while you're in school) or unsubsidized (interest accrues and is added to the loan balance after you graduate). Loans don't have to be hard to pay off. If you have the means, pay them off in 10 years on the standard repayment plan, or earlier if you can pay more than the minimum required payment each month. If you work in public service, you can choose an income-driven repayment plan and then get your loans forgiven after 10 years. Here's more info on your repayment plan options (you'll want one of these when you graduate): how to pick the best repayment plan and a guide to student loan forgiveness. Best of luck!