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Getting A Personal Student Loan To Use For Your Schooling & Bad Credit Eligibility

May 5, 2012

Personal Student Loan

Personal Student Loan

 

A personal student loan is another phrase for a private student loan in which you obtain it from a financial institute that is not federally funded. Now personal loans for students can come with benefits as well as drawbacks, just like anything else in life.

PROS

The main benefit of personal loans for school is the fact that they can cover your entire cost of education minus any part of your education being funded by grants or other sources like financial aid coming from your family, so they are essentially your solution to your tuition problem allowing you to be able to still afford school when grant money doesn’t offer you enough to pay for college. Personal student loans are also distributed a lot faster, versus having to fill out a FAFSA and wait for what can be over a month before you find out what you are going to be getting from the Stafford Loan, Perkins Loan or the PLUS Loan programs, which the money is usually distributed to you in a few days. Which while we are on the money aspect, you have so much more freedom to accessing the money as private studentl loan funds are deposited into your account or you receive a check in the mail, versus federal loans where your school usually holds onto the funds and dictates when you can spend it which you will need to talk to your school each time you need to use your federal student loans.

CONS

Now personal student loans get a bad name due to the fact that they are known to come with higher interest rates, as well as rates that are variable which simply means the interest rate can vary or go up and down at any given time, which unlike federal loans which are fixed meaning the interest rate never changes once you obtain the loan. So basically the lower your credit rating is then the higher your interest rate is going to be, meaning once you pay it back then you will be paying more in interest dues. But their is a flip side to this negative as credit score doesn’t dictate your eligiblity for personal student loans as you can almost always get funds regardless of what your credit score is.

What To Do If You Have A Low Credit Score

If you happen to have a bad credit score then the best thing to do first is look for a cosigner who has a good credit score as they can help you get a personal student loan that both have a lower interest rate, along with better overall terms. Now if you cannot find a cosigner that is willing to cosign for your student loan, which most people can’t then you can visit a credit union which offer personal student loans that have better interest rates than most all other private financial providers when it comes to applying with a bad or no credit score.

If you cannot get personal student loans from either one of these sources or need money fast, then the last option which you should use as a last resort is taking out a Payday Loan which you can get money in as little as 24 hours which funds can be up to $1500 or much more. With these personal student loans are unsecured loans which require no collateral and they don’t even ask you what your credit score, which the only thing that dictates your elibibility is whether or not you have a steady job and can afford to pay them back, but the interest rates are super high and needs to be paid back within usually a month or two.

When shopping around for personal student loans, the main thing that you what to remember is to look at all the terms as they may come with low interest rates but might make up for it by charging you with large late fees and other large fees that can cost you more in the long run.

Fixed Rate Student Loan – How You Get Them & Interest Rates

March 19, 2012

Fixed Rate Student Loan

Fixed Rate Student Loan

A fixed rate student loan will allow you to know what you are going to pay in interest each month when your repayment period starts all the way to the last payment needed to pay back the loan, unlike a variable rate which goes up and down as the market does. The only way you can get a fixed rate loan is by attaining a federal loan, which the federal fixed rate student loans are the Federal Perkins Loan as well as the Federal Stafford Loan. Now how do you obtain a federal fixed rate student loan? The way you do so by filling out a Free Application for Federal Student Aid (FAFSA) which can be done as soon as January 1st of each year that you are need federal financial aid for your schooling.

Fixed Rate Student Loan Rates

Now when it comes to what type of fixed rate you will get on your federal student loan, current rates consist of:

  • 5% for Perkins Loans
  • 6.8% for the Stafford Loans
  • PLUS Loans – Which are fixed rate student loans that are taken out by the parent or gaurdian of the student, come with a fixed rate of 7.0 percent.

Not only are these rates significantly lower than private student loans, federal student loans come with much better and more flexible repayment terms. Filling out a FAFSA will not only show you how much you will qualify for in the form of a fixed rate student loan, it will also allow you to find out if you are eligible for getting federal grant money as well as there are various grant programs that are affiliated with the FAFSA. The Perkins Loans as well as the Stafford Loans are not credit based meaning that your credit score doesn’t have anything to do with becoming eligible for a loan.

Private loans can be nice if federal student loans do not provide you with enough money for school, and they can even be advertised with a lower interest rate then federal loans, but again you have to remember that all private student loans are variable and can go much higher than fixed rate student loans, and usually do. Getting a fixed rate student loan will also allow you to set up a budget on what you need to spend on your loan payment each month when you start paying it back, which will allow you to know exactly what you need to spend instead of not knowing each month with variable rate student loans.

But it should be known that if you have to take out private student loans, then make sure that you either have a good credit score by getting it through a provider like Equifax, and if you don’t then make sure to get a co-signer who has a good credit score as this will provide you with a lower interest rate. Later on usually after a year or two of on-time repayment, you can then have the loan transferred to your name and start building your own credit score.

Income Based Repayment For A Fixed Rate Student Loan

Federal student loans with fixed rates also do not come with repayment penalties if you choose to pay more than the minimum, which will allow you to pay off your student loans much faster without being financially penalized for it. These federal fixed rate student loans also come with a repayment option called the Income Based Repayment (IBR) which you monthly student loan payment amount is based of a small percentage of what you earn each month, which is usually around 15 to 20 percent, which the payment can be as little as $5 a month if one is unemployed.

 

How To Consolidate Student Loans

March 11, 2012

How To Consolidate Student Loans

Consolidate Student Loans

For those asking the question of how to consolidate student loans that have either a vague or zero understanding of how the consolidation process works, well to make it simple consolidation is when you basically group together all of your loans, student loans in this case, and only pay one payment on the total sum of all your student loan debt. The simple act of consolidation will not only provide you with the benefit of only having to pay one monthly payment to one lender, it can also lower your interest rate as your interest reate will be around the average of all the loans interest rates that you are consolidating, as well as lower the monthly payment.

Lower payments are always great but they come with a price, which the lower payment will mean an extended repayment period which will both keep you in debt longer as well as you will pay more over the life of the repayment compared to paying to off with a shorter repayment term. But the good thing about having a longer repayment term is that it will give you time to get a job while you have a low monthly payment, then start paying larger payments when you afford it, where consolidation companies usually allow you to do so without penalty. Before we get into answering the question how to consolidate student loans in it’s extent, it should be known that you can actually consolidate just one loan and still enjoy the benefits of consolidation.

Another aspect of answering your question of how to consolidate student loans is the part that for the most part, federal student loans and private student loans need to be consolidated seprately. These consolidation loans are granted in the form of both secured and unsecured loans, and once they are given your credit score can actually go up as all of your student loans will be paid off by the consolidation company, which will show up as mutliple loans paid off, bumping up your score.

All in all the act of student loan consolidation can provide you with immense value, especially for those nearing student loan default as it can keep you from having to default on your student loans because you cannot afford the monntly payment. If you are in this situation then a lower monthly payment that is offered through consolidation companies can help you avoid many negative things.

Private Student Loan Consolidation

Now when it comes to how do you consolidate student loans, well there are two distinct ways, those being either through a private consolidator for those with private loans like through Sallie Mae or Next Student who are both some of the largest private student loan consolidation providers. To get started with the process of private student loan consolidation, the best thing to do is contact providers directly who can get you going on the process of consolidating your student loans.

Federal Student Loan Consolidation

Or for federal student loan debt, one would use the Federal Student Loan Consolidation Program which is provided by the Higher Education Act (HEA) where they provide student loan consolidation services for federal loans. If you are ready to utilize federal student loan consolidation then you should visist the Direct Consolidation Loans site which can provide you with value information, answering any more of your how to consolidate student loans questions and lend a helping hand to consolidating your student loans.

Drawbacks of Student Loan Consolidation

Now that you known the major aspects of what student loan consolidation entails, there are a few speed bumps that you may encounter, the keyword being “may” because there is a good chance that the process will go smooth. But for examples purposes, below are some of the negative aspects:

  • Consolidating your student loans can actually make you ineligible for certain student loan forgiveness and relief programs.
  • Certain loans are often not excepted when it comes to federal loans as well as loans that were obtained before a certain date.

 

Low Interest Student Loans – Both Federal & Private

March 9, 2012

Low Interest Student Loans

Low Interest Student Loans

Low interest student loans can be obtained, both federal as well as private, which we shall delve into the topic of how to get low interest federal loans first. The most sure fired way of getting low interest student loans for government lending is filling out a Free Application for Federal Student Aid (FAFSA), which by doing so you will be apply for a host of different student loan programs at the same time, two of which include:

  • The Perkins Loan which offers a fixed interest rate of 5%.
  • As well as the Stafford Loan which offers one a chance to get an interest rate as low as 3.4 % and also comes in the form of a fixed rate.

Now filling out a FAFSA will benefit you in more ways than just getting low interest student loans, which the first one is that your credit score doesn’t dictate your eligibility for both the Stafford and Perkins Loans, what determines it is your financial need, as these are needs based loans, which the more you need money the more you will be lended. The other main benefit that comes with filling out a FAFSA is the fact that you will also be applying for federal grant programs, like the Pell Grant among others, which can offer eligible applicants the opportunity to get free money to use towards their tuition and never have to pay it back.

These drawback of these loans programs is that they come with lending limits, which differ for dependant and independent students, which the minimum can range anywhere from $5,500 for undergraduate students to around $20,000 a year for graduate students. Which this may seem like a lot, but remember lending is based off of your financial need, which the amount you altimately qualify for can be a lot lower.

As far as filling out a FAFSA goes, you can start applying for these low interest rate student loans as soon as Janurary 1st of the year that you are looking to get financial aid for. You also need to keep in mind that the FAFSA needs to be filled out every year that you are in school and are looking to get federal financial aid. Even if you feel that you won’t be eligible for federal loans because you think you can prove great financial need, do so anyways as it is shown the a large percentage of those who didn’t fill out the FAFSA because they thought they wouldn’t get any money, would have been eligible if they have submitted a FAFSA.

Not only will federal lending provide you with private student loans, but they come with a lot more flexible repayment terms, compared to the likes of private loans. They have introduced the repayment program called Income Based Repayment (IBR) which offers an option for those stuggling with money to be able to pay around 15% of what they are making as a loan payment, which the payment can be as low as $5. The last great benefit of obtaining federal student loans is that the interest is fixed on the Perkins and Stafford, meaning the interest rate will never change once you obtain the loan, unlike private loans where they APR rates always fluctuate.

Private Low Interest Student Loans

Now the words low interest and private student loans are rarely used together, but this should deter your from considering the option of using private lending when your federal lending has not provided enough to cover your tution and other related expenses. Which before we go into how to get low interest student loans, we want to advise you to only apply for private student loans as a last resort, meaning always utilize federal financial aid first and other sources, as private student loans are known to come with substantially higher interest rates as well as shorter repayment terms. Now how can you get low ineterest student loans from private lenders? Well the most sure fired way of doing so is to borrow from:

  • Credit Unions – Credit unions are known to offer student loans with comparable interest rates and repayment terms of the likes of federal student loans. They are also more lenient in providing better chances of eligibility to those who have bad credit scores as well.

To start applying for low interest student loans through credit unions, you need to visit your local credit union and become a member.

As far as other private student loans go, those which can be attained through large and small banks and other private lending companies, the positive aspect of borrowing this way is that these corporations will be able to provide you with a much larger sum than what federal loans can offer. The amount that is offered by private lenders will be the amount you need to cover your tution minus whatever federal student aid and other financial aid sources have provided you.

Low Interest Student Loans Through Charities

There are a host of different charities out there that offer either low interest student loans, or absolutely no interest student loans, which these programs are non-profit and offer those a chance to attain education and not be burdened by high interest rates when the payoff period begins.

How To Get A Student Loan – Both Federal & Private

February 26, 2012

How To Get A Student Loan

Get A Student Loan

When it comes to answering the your how to get a student loan question, the best answer we can give you is to fill out a Federal Application for Federal Student Aid (FAFSA) which needs to be done for the year you are looking to obtain financial aid through student loans. The FAFSA is purely federal student aid which if provides federal loans like the Perkins and Stafford which are both needs based loans, meaning eligibility is based off of your need for financial aid and not based off of credit score at all.

There is also a loan program called the PLUS loans which are loans that are made available for parents whom are looking to take out a loan in their name to provide funding for their children’s college education, which these are credit based. This how to get a student loan resource is so valuable becuase of the fact that federal student loans offers it’s eligible applicants the best interest rates as well as the best repayment options, and filling out the FAFSA just happens to pose the opportunity of qualifying for federal grant money, which is money you never have to worry about paying back.

Note that the FAFSA can be filled out as soon as January 1st for the year you are looking to obtain financial aid.

How To Get A Student Loan That Is Private

When it comes to how to get student loans that are from private lenders, there are a couple of options which include:

  • Banks – Which you can go through the bank that you currently hold an account with, or you can go with a different bank, which some great private student loan lenders are; Citi Bank, Bank of America, Wachovia, Chase among others.
  • Specific Providers – These include organizations like Sallie Mae and Access Student Loans among others.
  • Credit Unions – When it comes to how to get a student loan through credit unions, you must become a member of a credited union which is done by applying either online or on location. Keep this resource in mind if you need to apply for federal student loans because credit union loans offer private loans but with interest rates that are comparable to the likes of federal student loans, offering you a great alternative.

Private student loans can provide great benefit, but should be used after your grant and federal loan money has not sufficed your entire financial need when it comes to the amount you need to pay for your education and other related costs. Getting student loans that are private comes with negative aspects like higher interest rates and less lenient repayment options, as well as are always credited based so the best thing to do if you need to apply for a private loan is to obtain a worth co-signer as this will both increase your odds of becoming eligible for a private loan as well as provide you with a lower interest rate.

When it comes to how to get a student loan these are the methods that you can use to get loans to pay for your tuition, but always remember to apply for grant programs, both federal and private and as many as you can because you can pay for a big part of your education with grants which unlike loans, you will not be in debt for whatever amount you are granted.

Bad Credit Student Loans Without Cosigner – How To Get Them

February 18, 2012

Bad Credit Student Loans Without Cosigner

bad credit student loans without a co-signer

If you are looking for bad credit student loans without cosigner needed, chances are that your credit either isn’t established as many young college students experience, or you don’t have good credit which again you are not alone. Good thing is that there are alternatives that you can utilize that will allow you to get student loans with bad credit and no cosigner, which we delve into right below, allowing you to attain the money you need to be able to afford your college education and start working!

Bad Credit Student Loans Without Cosigner Alternatives

1)  The first alternative that is provided for those searching for bad credit student loans with cosigner is to fill out a Free Application for Federal Student Aid (FAFSA), which this is the holy grail when it comes to obtaining federal aid, which offer loans like the Stafford and Perkins loans which base eligibility off of financial need and not your credit score. These federal loans are offered by the US Department of Education which each offer thousands of dollars in lending funds each year you are in school, which it is a must that you fill out the FAFSA each year you are in school and are looking for federal student aid. Not only will filling out a FAFSA qualify you for bad credit student loans with a cosigner, you will also be applying for federal grant programs like the Pell Grant which offers eligible applicants the opportunity to get thousands in grant money which is money that is given and never needed to be paid back.

Applicants can utilize federal student loans throughout their entire college career, all the way through graduate school. This is the most important step in attaining bad credit student loans because federal aid offers much better repayment terms and interest rates compared to the likes of private loans, which federal interest rates are offered in the form of fixed rates meaning they will never go up once you have obtained the loan unlike variable rates with private student loans. Not to mention the fact that they are also eligible for repayment programs like public service loan forgiveness as well as forgiveness through volunteer organizations like the Peace Corps among others. These loans can also be used for other aspects of your college life like books, materials, a computer and more.

2)  Speaking of grants, grant programs are most always based off of financial need, whether they be federal or private so grants in general are another great alternative to use when looking for bad credit student loans without cosigner.

3)  The other alternative is apply for a ba credit student loan without cosigner through a private lender which in turn will result in much higher interest rates and stricter repayment options, but can still serve as a viable option when you have ran out of federal student aid and still need money to cover the rest of your tuition costs. Being that interest rates are much higher with private student loans, a great alternative to this is applying for private student loans with cosigner through a local credit union whom provide the same type of student loans that come from large private student loan lenders but offer better interest rates and better repayment options.

4.) Although this last option doesn’t provide student loans, participating in the Federal Work Study Program at your college can help you earn money when jobs are scarce as your college will provide you with work, which the work usually encompasses employment in th profession that you are studying to go into. This last band credit student loans without cosigner alternative allows you to earn money which all goes towards paying off your student loans and inturn you get vaulable hands on experience in the profession you are looking to go into which can be demanded by your future employer when you are applying for an entry level job out of college.

An Overview Of Student Loan Garnishment & Alternatives

February 6, 2012

Student Loan Garnishment

Student Loan Garnishment

Student loan garnishment, also known as administrative wage garnishment, is essentially the result of not paying at least your minimum monthly payment to your student loan lender, which is where your student loan is in default. What happens is if you stop making your payments for a certain amount that is usually around 270 days, the government or a third party collector pretty much now has a say over what you earn in the form of taking your enough money out of your employment check every month to cover the expenses that you owe. Student loan garnishment occurs on top of being charged with late fees as well as affects your credit significantly. Garnishment which is like collection, can also be done on all your past due student loan payments, which a certain amount is taken out each month. Depending on what source you obtained your loan from, the goverment will either garnish your wages for federal student loan debt, or a private lender or collector will seek to garnish your student loan debt for private loans coming from sources like banks and credit unions among other sources.

The way this all works is that the collector contacts your employer and asks them to withold a certain amount of earnings to satisfy the debt that you owe. Now this process is all started after multiple contact attempts between the collector and the individual in debt, which the person in debt neglects to provide feedback on their situation and continues to miss their monthly student loan repayment. When the employer is contacted, they cannot refuse the garnishment proposal from which point they will deduct a certain amount per month to go towards paying back the collector until the garnished dues are fully paid off. These amounts are usually based off of percenatages that include; 25 percent for private student loan garnishment as well as 15 percent for federal student loan garnishment.

Although this act can appear negative, it will not affect someones job status as it is illegal to fire someone due to student loan garnishment where reprocussions of the act can include both prison time and a fine as high as $1000.

Student Loan Garnishment Alternatives

Being that wage garnishment can be taken from not only paychecks but also income tax returns and even social security income, below are methods that you can use before it gets to late, which will enable you to get a better grip on your student loan wage garnishment situation.

Financial Hardship

If a collector is traing to garnish your student loans, you have one way to get out of it and stop the process for a short amount of time, which can be to prove that you are experiencing financial hardship on either you or you and your family which the cause of this financial hardship is coming from having to pay your student loan payments. The entire act of proving financial hardship can be tough as you must provide proof in the form of all your bills in which certain overlooks expenses are often considered as luxuries and do not count towards your overall monthly expenses.

Income Based Repayment

If you happen to have federal student loans, another student loan garnishment alternative to consider is switching to the Income Based Repayment (IBR) option, which your monthly payments are based off of a certain percentage of what you earn, around 15 to 20 percent in which the the payment can be as low as $5 a month. You can switch back to a different repayment program if and when you start earning more money, which in the case that you don’t the loan term runs out after 25 years of repayment, and if there is any student loan debt left, it is considered taxable income that you have to pay on.

Self Negotiation

The last alternative you can use when dealing with student loan garnishment is directly speaking to one of you lenders representatives and explaining your situation, which can result in a short term or long term forbearance, which is a time period in which you are exempt from having to pay monthly student loan payments, until you get back on your feet and are able to.

Student Loan Garnishment Conclusion

When it comes down to it, commuication is key which it can maintain a good realtionship with your colletor which is a very valuable recource if student loan garnishment ever occurs. If you are already experiencing it or have been getting notifications of student loan garnisment threats, contact your lender right away as they will be much more willing to work with you, instead of not doing anything which lenders hate.

Credit Union Student Loans Overview & How To Obtain One

January 30, 2012

Credit Union Student Loans

Credit union student loans are essentially private student loans that are borrowed from a credit union lender in which one must be a member of the credit union in order to apply for student loans. They are becoming popular in the student loan community as when students have used up their federal student aid and need to turn to private loans, interest is always a concern as private loans always offer higher interest, which credit union loans, loans that are private are being offered at rates comparible to federal loan programs. Credit unions are able to offer loans for college tuition because they partner up with private student loan providers, like for example Salle Mae  Although it is advised that one exaust federal financial aid options first as there are many more benefits as well as better interest rates and more flexiblity in repyament along with fixed interest rates unlike private loans, student credit union loans come with their own set of benefits like:

  • Being able to borrow up to the cost of your education minus what federal student aid and other sources of financial assistance hasn’t provided.
  • Many credit unions offer interest rate deductions as a reward for good grades.
  • Most often that not, these loans are able to be taken out with no activation fee.
  • Loan payments can be deferred while in school or paid off while attending.
  • Multi student structered credit union student loan programs are also a possibility for parents paying for more than one child to go to college, which brings about an entirely new set of benefits.
  • Credit union student loans have also boast statistics that show that their median interest rate is right around 6%.

Which like it was said above, in order to get a credit union loan for school, you will need to become a member which you will need to meet certain credentials/requirements, which tend to consist being a of 16 years old as well as filling out an application which needs to be done at the credit union of your choice, which then you will fill out the application at the facility and give it to them to wait for that status of it’s approval or lack thereof. The best way to find local credit unions is to search the yellow pages or online.

Credit Union Student Loans With Bad Credit

If bad credit is an issue, the possibility of obtaining a credit union student loans is still very much there, which one will most likely get a high interest rate which is dictated what is usually a 5 tier credit score chart. This chart basically consists of the best credit scores getting the best interest rates, in which the next best rate is obtained by those who have a credit score that is 1 to 2 percent higher than the best score and so on and so forth. So the best thing to do would be to check with your credit union and find out what the best credit score tier is and then go from there. If you do not fit this bracket or one close to it, then the best thing to do would be to find a co-signer with an interest rate as high as possible.

Credit Union Student Loans Alternative

If you cannot obtain student loans through a credit union, there is a great private student loan program called iHelp which is known to provide loans to students that have an interest rate that is a minimum of 3% less than the bigger named private student loan providers out there like Citi Bank, Sun Trust, Wells Fargo and more.  This nationwide program was created by the Independent Community Bankers of American and offered by the Student Loan Finance Corporation, in which one can be eligible for up to $10,000 every year they are in school, which iHelp is being offered at a myriad of different community banks all accross that nation, currently over 6,000. This credit union student loans alternative can provide one with the opportunity to have up to 20 years to repay their loan, deferrment while in shchool, use a co-signer on their loan for better terms, three different repayment options as well as no penalties for early repayment.

Student Loans For Living Expenses – Overview & Lenders

January 22, 2012

Student Loans For Living Expenses

Student Loans For Living Expenses

Attaining student loans for living expenses can really come in handy when your other loans have provided enough money to pay for you tution, but nothing for the cost of living. What it should be known is the most all grant and loan programs allow the eligible applicant to use the scholarly funds for things other than the tution costs, which include living expenses as well as things like computers and traveling fees like on the bus, grocery bills, etc. Being that student loans cover living expenses, one should be very methodical in the way they go about using their student loan money to cover their living costs, because as you image, the debt can start adding up pretty fast when your using loans to pay for both living as well as tuition. So without saying, filling out your Free Application for Federal Student Aid (FAFSA) each year is a must as this can provide you with federal grant money, which never has to be repaid which then you can use to drop on what you need to live and use the loans that you have to pay back, whether they be federal or private, on the cost of tuition. This way you will minimize the debt total as much as possible so you will end up having to pay back less when your schooling has come to a conclusion.

Finding Student Loans For Living Expenses

The first thing to do to keep in mind when searcing for student loans for living expenses it to make sure you find a lender that doesn’t transfer your student loan funds directy to your school, as this will put your school in control of your funds which usually are only able to be used on semester/quarter tuition. The first step would be to go after federal loans like said above through the FAFSA which you will want to find a program that offers to cover the “Cost of Attendance” but includes living expenses. This should be your first step as federal loans just flat out come with better terms and lower interest rates, meaning you will pay less in interest and more to the lump sum of your debt when you are done with school. If you have exausted the federal resource, ands still need student loans for the cost of living, then you can make a visit to your personal bank and inquire through them about it as most all private loan lenders, or banks offer loans that cover all the tution costs that federal student aid didn’t cover, which includes loan money for the cost of living. If your bank doesn’t provide you with a student loan for living costs, then you can also try other banks or credit unions. Some providers that offer student loans for living expenses include:

  • Chase Bank
  • Sallie Mae
  • Wells Fargo
  • Wachovia

It should be known that most all private student loan lenders demand a good credit score to obtain student loans for living expenses, so you have two options which are either to apply knowing that you have a good credit score, or find a cosigner that does. This will not only allow you to obtain the money for living costs but also provide you with better terms and a lower interest rate. Regardless of whether the lender requires a good credit score or not, providing one will not only bring better terms, but also allow you to borrow a lot more than you would be able to without a good credit score.

Student Loans For Living Expenses – Alternatives

It’s only obvious that students want to minimize their debt total as much as possible, and there is another way to do that without having to take out student loans for living expenses, or minimizing the need. A great alternative you can use is:

  • Federal Work Study Program (FWS) - Over 3,400 schools offer work study programs as well as the program is offered by local, federal as well as state public agencies. The work tends to consist of both work that has similarities to what the student is studying as well as community serivce work among other types, and provide at leat mininum wage, in which the money earned goes directly towards paying for your tuition. In order to utilize this student loans for living expenses alternative, you must file out and submit a FAFSA.

 

National Guard Student Loan Repayment – Overview & Eligibility

January 15, 2012

National Guard Student Loan Repayment

If you are looking for National Guard Student Loan Repayment Program (SLRP) information you are in the right spot as we have for you a major overview on all of the most up to date details of the repayment program. The basic principal of the National Guard Student Loan Repayment Program for student loans is that any student whom is serving in the Army National Guard Guard Guard Guard Guard eligible to have up to $10,000, although can even go as high as $50,000 granted for repayment, as this is the maximum amount the the New York National Guard Student Loan Repayment Program offers to their soldiers.

National Guard Student Loan Repayment

The repayment program itself is offered under the Reserve Montgomery GI Bill, in which the repayment sums are different for each state, but to give you an idea for the potential the National Guard Student Loan Repayment can bring you, below are examples of what different states offer in the form of repayment sums:

  • Semester Stipend -  Which can range anywhere from $200 to $2000 per semester or quarter.
  • Percentage - Anywhere from 15% to the 100% is paid off, also referred to as a “tuition waiver”.
  • Per Year – Which a lump sum is given, and ranges anywhere from $2000 to $3000.
  • Loan Repayment – An amount is offered which the funds go towards student loans in which the number can range anywhere from up to $10000 to $50,000.

National Guard Student Loan Repayment Eligibility

To participate in the National Guard Student Loans Repayment Program, one must have joined the Army after their student loan was taken out from the lender, as well as meet the following requirements:

  • Sign a minimum of a six year Reserves contract. IF one is already in the National Guard  they need to extend their service commitment to meet the 6 year minimum service term. For example if you have 4 years left, 2 years extra will need to be committed to, as a full 6 year extension is not necessary. Reenlistment is an options as well.
  • Loans must not enter a state of default while you are participating in the National Guard repayment plan.
  • Completion of the National Guards basic training.
  • Be participating in monthly and yearly drill status.
  • Have a minimum of one student loan and have never participated in a student loan repayment program.

Depending on the state, eligible applicants may be about to add an additional loan in the midst of their term, which will also be eligible to be paid off.

It should be known that on top of participating in the National Guard Student Loan Forgiveness and being eligible for funds, the Military most often will even pay more of your student loan debt off as a token of appreciation after your term has been served, which are great incentives that can be taken advantage of by those who are either serving right now or are looking to serve in the near future. Some states offer much better repayment than other, so to find out more about the National Guard Student Loan Repayment Program, and what you may be eligible for, you can call toll free at: 1-800-GO-GAURD.