Graduate school loans

Graduate school loans are a lot easier to arrange for these days. The cheapest are available from the federal government, but you have to meet some eligibility criteria to have access to them.

- You should be an American citizen or permanent resident.
- You should not have defaulted on previous student loans.
- You should be enrolled with a school accredited by a federally approved agency.

Thanks to these simple conditions, numerous students now have access to cheaper graduate school loans. The first thing to do is fill out the Free Application for Federal Student Aid (FAFSA) available with the U.S. Department of Education. Students no longer have to go through credit unions, lenders and banks to have access to federal loans. These can be obtained from the Department of Education through all college financial aid officers.

Here are the major types of federal graduate student loans.

PERKINS LOANS are available for students with the lowest income. Qualifying graduate students can get up to $8,000 per year with a 5% interest rate. While the student is in school, the government does not charge any interest rate. These graduate school loans are available even for people with bad credit, as long as they haven't defaulted on previous federal educational loans.

SUBSIDIZED STAFFORD LOANS are not as cheap as Perkins loans, yet, still very convenient. These graduate school loans are awarded only to those applicants who need help paying for tuition according to the student's FAFSA. The interest rate for Stafford loans is of 6.8%, with no more than 1% in fees. No interest rate is charged throughout the education period.

UNSUBSIDIZED STAFFORD LOANS are available to almost any applicant, regardless of income. The only difference from the subsidized graduate school loans lies in the interest continuing to accrue during the student's education period. If the students are enrolled at least half time, they don't have to make any payment throughout college. The problem with these loans is that the amount owed by graduation is pretty high.

The GRAD PLUS program is another option for graduate school loans when the student has maxed out Perkins and Stafford loans. The credit check is a necessary part of the PLUS application. You won't qualify for a PLUS loan if you have defaulted on student loans, if you have bad credit or in case you have filed for bankruptcy recently. Otherwise, the college you are enrolled with does not matter for loan approval.

Graduate school loan

The most convenient types of graduate school loan are those provided by the federal government; they have low interest rate, deferment or forbearance benefits, no payments during school and sometimes no interest charged while in school (for subsidized loans). The major graduate school loan programs include Perkins, Stafford and PLUS loans.

Before July 2010, a graduate school loan from the federal government could be contracted through an intermediary lender, that the government agency would work through. Now it is possible to get a federal graduate school loan directly from the government. You have to meet some eligibility requirements, but still, there is much more flexibility in such loans than in those from the private sector.

-You should be a U.S. citizen or permanent resident.
-You should not have defaulted on a previous student loan.
-You should be enrolled with a college that is accredited by a federally approved agency.
-The credit history matters only for the PLUS federal loans.

In case you also need to contract a private graduate school loan, you should shop around and really know the lender. When you borrow tens of thousands of dollars and have to pay them back over several years, you should know the lender really well. The lender comes into play when the repayment time draws near. You might not worry while you are still  in school, but once graduation arrives, repayment is upon you.

At such times many people worry about unemployment or underemployment, mainly because there are so many problems landing a job these days, particularly when there are thousands of graduates like you. It is important to pave your way to your future career from your very first academic year. This is possible through internship, job placement or applying for jobs while you are still in school. Lots of companies and corporations recruit future professionals while they are still in school.

In case you manage to study and work, you'll accumulate much needed work experience and also save money for the time you have to pay back the graduate school loan. Statistics indicate that with students who start their career while still in school, chances are that they'll grow a promising career and will handle loan payment a lot more easily. Thus, instead of consolidating a loan for a 30 year period, you'll be able to pay it back in less than 10 years, as originally intended. Then, you won't feel the burden of your graduate school loan so intensely.

College loans for students

The large availability of college loans for students allows pretty much everybody to find the optimal financing program for their situation and needs. However, you should not apply for private loans before you have exhausted all the free money sources. Based on your grades or sports performance in high school, you can get a scholarship or have access to grants offered by colleges and various non-profit organizations. Some students even find financial aid at their parents' work place or in trade unions. Therefore, college loans for students should not be your first resort.

Once you have managed to raise funds from various sources to pay for your college education, you should find out whether what you have covers the education expenses, and if not, how much you still need. If there is still a sum to be covered, you should look into federal college loans for students. First of all, file the Free Application for Federal Student Aid  (FAFSA) to find out whether you qualify. Here are the major types of college loans for students provided by the federal government, either directly or outsourced.

-Perkins loans – they have the lowest interest rate (5%) of all and the payment only begins when the student graduates, without interest being charged during the school years. The Perkins loans are available only for students with very low income; they may not cover the full expenses of college education, but they are a good start. There are also forbearance and deferment advantages with federal loans.

-Subsidized Stafford loans have a slightly higher interest rate (6.8%). The student's income is not a criterion for eligibility. From this point of view, anybody may apply. The 'subsidized' feature of these college loans for students means that the interest does not accrue during school years. Subsidized loans only partly cover the costs of education.

-Unsubsidized Stafford loans resembled the subsidized version with the difference that the interest accrues during school years and is due for payment upon graduation, adding up to the existent debt.

-PLUS college loans for students could also be a good choice for some people and their families. They have a very advantageous interest rate, and they may cover a lot more of college expenses. PLUS programs have been mainly designed to allow for parents to help their children pay for education. The parent is the co-signer in such situations, with the mention that good credit history is a must under the circumstances.

College loans

There are private and federal college loans, and in order to know which to choose, you have to do a bit of research and find out about the qualification criteria, the terms and conditions, as well as the repayment plan for the various loan categories. The federal government offers Stafford loans for students and PLUS loans for parents, but these are often insufficient to cover all the expenses of academic education. Students and their families then need to search for alternative options.

Private college loans on the other hand are not affiliated with the federal government and they are not backed by the federal government. They require less paperwork, however, the conditions on the private money sector are less advantageous. The advantage with private college loans lies in the fact that there are higher borrowing limits, which enables the student to cover the full cost of the education. Lots of students turn to private loans after they borrow from the federal government, yet, the funds are insufficient.

College loans become an option for students who don't have the means to pay for college with free money, through scholarships and grants. The explanation lies in the fact that not everybody qualifies for scholarships and other free programs. When parents don't have additional cash or savings to help you cover the costs of the academic education, you need to turn to loans in order to solve the problem. Experts warn against the use of credit cards as an alternative to private college loans. Home equity loans and personal loans are also a less favorable option, because of their conditions and loan features.

Parents and students should choose college loans only after carefully considering all the options, analyzing the variables, determining the necessary amount to borrow and the financial possibility to complete the repayment plan. The repayment begins six months after you graduate. Make sure you know all the details so that you don't find yourself in the impossibility to repay.

Seek the advice of a financial consultant that can help you with an objective comparison of various college loans, according to the very specifics of your situation. Then you will make an informed decision and you won't have to worry about what you could have done differently for a better repayment plan. Look into the fees of various college loans, and don't follow the interest rate only when it comes to determining the right option for needs.

College loan corporation

The College Loan Corporation (CLC) is one of the nation's best student loan provider. With headquarters in Las Vegas, Nevada, CLC offers multiple loan products, excellent customer service and guidance for the right loan choice, for students and their families. The College Loan Corporation boasts with multiple awards including the American Business Award for excellence in Customer Service and the BBC Torch Award for Marketplace Ethics.

The fact that the College Loan Corporation has specialized in education financing with preponderance, speaks of great quality merits and excellent options for the borrower. CLC works directly with the school and the other parties (guarantors, entities and services) so that the college does not have to go through a long and hassling paperwork process. Thanks to the excellent commitment of the College Loan Corporation staff, things go very smoothly even when problems arise along the various money borrowing steps.

The College Loan Corporation is featured on numerous websites. CLC also provides two distinct web pages, one with the profile of the company, and another one serving as a user-oriented platform for the student who needs information on college payment options. The CLC website thus provides guidance for more than just the company's private loan packages. You can also find out about all the  federal loan types, ways to get scholarships and grants as well as tips to having access to free money to pay for academic education.

It is not difficult to apply for a loan with the College Loan Corporation. However, before you fill in and send the application, make sure you read all the terms and conditions, not to mention that you should do your best to exhaust all the alternative financing options. The application needs to be completed by both applicant and co-signer. The College Loan Corporation also provides an interactive help section to make the application process easier for you.

The College Loan Corporation also allows you to make use of alternative student loans that are school certified. This means that the lender works with the school to verify your enrollment as well as to guarantee a mitigation of the student loan fraud risk. Current income and a good credit history makes it easier for an applicant to have access to alternative student loans. The criteria for borrowing money have become harsher in recent years due to the changes in the economic environment. The College Loan Corporation can provide assistance, yet it cannot help you qualify for a loan, at an individual level.

College loan consolidation

College loan consolidation is sometimes an option to reduce payments, lower the interest rate and simplify multiple loans management. There are however some things that you need to look into before you apply for loan consolidation. First of all, know the dos and don'ts, or the advantages and disadvantages that define your current individual condition. No matter how nice it sounds when you read a consolidation ad, lenders have little interest in exposing you the downsides. Do your homework, and only then consolidate your student loans!

1. Don't consolidate federal and private loans together, because chances are that you won't reduce the costs as you expect, quite the contrary. Always choose federal college loan consolidation as separate from private loan consolidation.

2. Carefully consider the life extent of the loan. Every consolidation enables you to cut down on your monthly expenses, however, it prolongs the life of the loan from 10 to 30 years. Half of your lifetime, you'll be paying for your education. Do you make savings on the long run? That's the kind of information you need to check.

3. There are numerous free services that provide consultancy on college loan consolidation. In addition to these, you should contact the lender right away in case you have troubles covering the monthly payment. Some lenders offer forbearance and deferment benefits, and these benefits could very well work as alternatives to consolidation.

4. Lenders compete fiercely on the consolidation market. And you can use this competition to your advantage. First of all, you need to find out whether lenders offer discounts for good behavior. By good behavior we here refer to a certain number of consecutive on time payments and the agreement to allow the lender to deduct the rates automatically from your bank account. Many lenders will cut on your interest rate by a quarter point and reduce the rate by 1% for such cases.

5. Watch all of your expenses carefully. Looking into college loan consolidation is not enough if you  are a loose spender. Debt accumulates from many parts not only from college loans rates. Credit card debt could be one other problem that you need to keep under control or avoid altogether. Therefore, firm management of your finances brings serious rewards and enables you to pay on time as well as make savings to cover the loan in a shorter period of time.

Consider your situation carefully before turning to college loan consolidation as the best solution!

College loan calculator

A college loan calculator is a very practical tool that you can take advantage of to get an estimate of the monthly amount that you are going to pay after you graduate. Although such tools don't have perfect accuracy, they still allow students and parents to understand the implications of a loan. Every calculator will include the total amount of the loan, the annual interest rate, the term of the loan and the minimum monthly payment. Once you introduce all these elements, the calculator provides the approximate amount that you are due to pay.

A college loan calculator is nevertheless limited when it comes to taking into consideration factors such as fees, variable interest rate and the monthly savings that you can make to pay the loan sooner. Moreover, the individual financial situation cannot be fully anticipated several years ahead, simply because of the unexpected and the unknown that could kick in. Debt consolidation for instance does not appear within a college loan calculator. The possibility to get discounts for on time consecutive payments or for having the monthly rate automatically deducted from your bank account represent other aspects that don't appear in the estimate of the college loan calculator.

In order to have data as close to reality as possible, ask for an official document with the cost of education from the college you intend to enroll with. Once you know how much you have to pay, you can start gathering money. It is based on that document that you should determine the amount you still need to borrow. Only at such a point is the use of the college loan calculator justified and useful. Prior to that point, the calculation won't be too relevant for your needs. The college loan calculator only gives you a starting point, you have to do the rest of the work.

There are lots of websites that provide a college loan calculator, so it has never been easier to have access to those tools that favor the simplification of the money borrowing process. Some lenders provide complex college loan calculators with comparison features too. However, in order to get relevant data you need to compare loans with similar features, otherwise, you won't know for fact which loan is better suited for your case, because the data does not correspond to reality.

All in all, for optimal debt management, you can make use of software tools at any point during loan repayment, not just to assist you in the borrowing process.