By
Bongski on Saturday, September 13th, 2008 |
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Guaranteed student loans is a phrase that is very common in the financial world. Before, if you mention this term, it simply means the currently known Federal Stafford Loan. It also applies to any state or federal student loan guaranteed against any default by the lending company. Guaranteed loans for half a decade have been utilized effectively for college student subsidies.
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What actually are guaranteed student loans? A guaranteed student loan is provided by lending companies under the insurance or financial guarantees of Federal government. Guaranteed loans are associated closely with Federal Family Education Loan Program. Such program includes the PLUS Loans for graduate students and parents and the Stafford Loans.
Federal Guaranteed Student Loans
The government is recognized as the main financial guarantor of federal student loans, especially the FFELP program participated in by many lending companies. However, the federal government acts as lender for Direct Federal Loan, which is its own program. As more and more FFEL lending companies participate, this made the federal student loans much more accessible to the student borrowers.
State Guarantee Agency
State-based loan groups and agencies likewise guarantee government loans. One example of which is the Oklahoma Guaranteed Student Loan, which offers financial incentives and insurance for those lenders that provide FFELP to Oklahoma students. In such cases, Ok students are afforded the privilege of availing FFEL programs through their state.
By
Bongski on Thursday, July 3rd, 2008 |
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What is Federal student loan consolidation? This is a consolidation program designed to assist students and parents in simplifying their many types of federal and other guaranteed student loans having all types of repayment schemes by merging them into a single loan.
When you consolidate federal student loans, in effect you get a new scheme of repayment as you now deal with a new loan. Student loan repayment will be just a single one every month. What’s more, the interest rate of the new debts will most probably lower than any of the interest rates of your previous government college loans. Even if you are in default, you can still be eligible for federal college loan consolidation provided specific requirements are satisfied.
The interest rates for student debt consolidation loans are fixed during the entire repayment period. By the way, how do they arrive at the interest rate of the new loan? This fixed interest rate is actually based on the average of the rates on the previous loans – rounded to the nearest 1/8 of a percent.
Who can consolidate government student loans? If you have government funded debts, you can apply for federal student consolidation loans once you started the repayment or during loan deferment or even forbearance.
You can enter all types of government debts under federal consolidation. It is best that you inquire from the loan advisor regarding the list of eligible federal loans. You can either have a subsidized or unsubsidized loan consolidation; this depends on the types of government debts that you wish to consolidate.
By
Bongski on Tuesday, July 1st, 2008 |
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Federal direct student loans for nursing students are funds that come directly from the Department of Education or US government itself. If you feel you need financial aid, you can finance your nursing college degree by getting federal and guaranteed student loans from the state university or college of your choice. Any nursing college or school that is on the list of participants of Federal direct student loans programs can also be a source of funding.
Government student loans intended for your nursing school can either by a subsidized loan or otherwise. There is a major marked difference between the two; the former can be obtained based on the financial needs of the student. In this case, the interest is on deferment whether or not the student is on full enrollment. In the case of unsubsidized loans, the interest piles up from loan disbursement until repayment is full.
On the other hand, if you are parent with children in college who are taking up nursing course, then you can apply for student loans for nursing school tuition such as PLUS loans and Federal Direct Parent Loan. However, such loans need the credit history of the parents, and such history must show good or decent credit report.
By
Bongski on Saturday, June 21st, 2008 |
4 Comments
Not all loans are the same, for as we all know, we have two major kinds of student loans. It’s unfortunate that few prospective college student borrowers are able to realize such fact. More often than not, many ends up unwittingly into some expensive private financial institutions that offer unrealistic loans instead of going to government agencies that may help you obtain inexpensive federal student loans.
The US government willingly backs college loans, of course, with attached responsibilities from the borrowers. Such responsibilities concern obeying rules from the lenders such as the standard fees and interests that they can charge you for the government and guaranteed student loans.
If in case you are able to get private student loans, you might be burdened with interest rates that will certainly hurt your financial status as you begin repayment after your graduation from college. It is certainly a difficult stage especially if you are someone fresh out of school and trying to obtain properties and start your own family.
The aid section of your prospective university or college can help you in obtaining the right federal government student loans. Such people are professional loan advisers who work on the issue regularly. They even can help you fill up your form as you apply for your federal guaranteed student loans. Application forms can be very confusing and so they can be of great help with you need to successfully accomplish them.
One advantage of federal student loans is that you are given a grace period of a few months after graduation before you are required to start with your repayment. There are rules and regulation on these types of federal government student loans, perhaps, you might be in a situation that might allow you to defer repayment for the meantime such as returning to school, losing employment or lack of cash. While deferment is indeed possible, it is best to avoid committing it as interest piles up when you don’t make any payments.
