Student Loans Support Department

What are student loans?

A loan is a debt incurred by a borrower for financing education-related expenses. Student loans are commonly used by students who want to attend school. As with any type of loan, interest accrues while the loan is outstanding. Students may borrow money to pay tuition costs, books, room and board, travel, fees, and other related expenses.

How do they differ from grants?

Grants are financial aid provided directly by government agencies (such as the U.S. Department of Education) to help cover educational costs. Grants generally cannot be repaid. You must use the funds wisely to repay your loans.

When should I apply for a student loan?

Students should make their application for federal student loans prior to enrolling at a college. Loan programs vary based on the year the student attends school (freshman, sophomore, junior, senior), and some schools offer different loan programs for each year. Students planning on attending college should contact their high school counselor to find out about applying for scholarships and grants. The sooner students begin thinking about their finances, the easier it is to plan ahead and avoid incurring unnecessary debt. If students wait until after freshman year to apply, they may not qualify for many scholarships and grants.

Can my parents co-sign a loan if I am enrolled at a community college?

Yes. Parents often co-sign on behalf of their children, even if the child is younger than 18 years old. There are several reasons why parents may choose to sign on behalf of their child using the Parent PLUS Loan Program. First, the parent’s credit score may be lower than the student’s. Second, signing on behalf of their child means that the parent will have to report the full amount of the loan to the IRS upon graduation. Third, the parent may need flexibility in repaying the loan. In addition, the parent can also earn points toward future student loans. Lastly, the parent may wish to protect their credit rating by using their own name and address for the loan.

Who qualifies for Federal Family Educational Loans?

The following individuals are eligible for FAFSA financial assistance.

Current undergraduate students at least half time

Non-graduate students at least half time who are unemployed

Veterans and veterans’ widows/widowers

Dependent children under age 23

Student Loans Support Department

Student Loans

There are a number of loan programs offered by federal government agencies. One program that is often overlooked is the Federal Perkins Loan Program. This is a low-interest student loan administered by the U.S. Department of Education (ED). The loan is designed to provide financial assistance to students attending vocational schools and technical colleges. These types of schools prepare individuals for entry level jobs in fields such as skilled trades (e.g., carpentry, plumbing), building maintenance (e.g., electrician), medical assisting, food service, office occupations (e.g., accounting, secretarial), etc. You may be able to use this loan to cover tuition costs at community colleges, junior colleges, or four-year institutions.

Payday Lender

A payday lender is a company that lends money to people who do not qualify for traditional loans, including those with bad credit records. To get a payday loan, borrowers need only have a bank account and proof of income, though they cannot obtain a cash advance unless they meet certain requirements. In return for the cash received, the borrower agrees to pay back the amount borrowed plus interest over time. The term “payday” refers to the date on which borrowers receive their next paycheck. Borrowers should understand that these loans are short-term and must be paid back quickly. If borrowers miss payments, they could lose access to additional funds, and if balances remain unpaid after 60 days, lenders could report them to collection agencies.

Consolidation/Refinancing

When you consolidate your debt, you generally combine several different debts into one. When refinancing, you may lower the interest rate on your existing loan or borrow a larger sum of money than what you owe. Refinancing can be a good option if you don’t want to make monthly payments to multiple creditors, or if you’re having trouble managing your bills.

Credit Card

Credit card offers vary widely depending on the type of card you choose. Not all cards offer rewards points or signup bonuses; others charge annual fees or high interest rates. Before applying for a credit card, consider how much you’ll spend in total each month. Avoid using your credit cards for anything else besides your purchases — it’s not uncommon for people to use their credit cards just for convenience purposes.

Debt Collection Agency

Debt collectors can take many forms, but they typically work on behalf of a creditor who is trying to collect a payment. There are two major categories of debt collectors: third party collectors working under contract for the original creditor; and independent contractors who represent themselves. Creditors can sue people directly to recover debts owed to them, and some states allow consumers to sue debt collectors, so contact your state attorney general for more information on your rights.

Bankruptcy

Bankruptcy laws in the United States were enacted to help financially troubled people deal with overwhelming levels of personal debt. Those who become insolvent due to poor business decisions or unforeseen circumstances (such as medical bills) can file bankruptcy to discharge some or all of their unsecured debt. Other kinds of debts, however, such as those incurred willfully (for example, failing to repay student loans) aren’t subject to discharge.

Credit Report

Your credit history consists of both public record data and items kept private by consumer reporting companies. Public records include information about your name, address, social security number, driver’s license number, telephone numbers, employer, and any bankruptcies. Consumer reports contain detailed information about your financial affairs, including your income, spending habits, and outstanding debts, and may reveal whether you’ve been sued or filed for bankruptcy.

Student Loans Support Department

Student Loans

The federal government provided over $25 billion in student loans to students in 2018 alone. These loans are now issued by private banks and given out to borrowers who wish to attend college. A higher education is a great way to improve your career, and these loans make it easier to pay back what you owe. However, if you don’t manage your loan payments well, you may end up with a lot of debt. You might even lose access to your loans altogether.

Federal Student Aid Office

The US Department of Education’s Federal Student Aid office provides information about student loans and grants for those pursuing their post-secondary education. Their website includes detailed financial aid forms and programs, job searches and tips for finding employment after graduation. You can apply for any educational program at any time, even if you are enrolled in school already.

Department of Education

The Department of Education offers several types of federal student loans including Stafford, Perkins, PLUS, and Direct Subsidized. Most students use the subsidized type, which means they don’t have to repay the full amount until after they graduate. On the other hand, the unsubsidized variety requires repayment right away. If you choose to use the unsubsidized type, you’ll need to fill out a Free Application for Federal Student Aid (FAFSA) before receiving approval for funding.

FAFSA

You can submit your FAFSA application online at www.fafsa.ed.gov. At the top of the page, click on ‘Apply Now’ and follow instructions. This program was created to help low-income students afford college. When submitting your FAFSA, you’ll need your tax return, W-2s and other documents supporting your income and assets. You will receive a confirmation code via email once your application has been processed. If approved, you’ll receive a notification letter with information about how much money you’ve been awarded and when funds will be deposited into your bank account.

Parent Loan Forgiveness Program

If you qualify, this could save you hundreds of dollars each month on your loan balance. In order to qualify, you must be in default on the loan. Once you’re no longer delinquent, you’ll have 10 years to file paperwork in order to get the remainder of your loan discharged. Your parent’s loan cannot be forgiven if you were the only person responsible for repaying the loan. Also, make sure you inform your parents of your plan to complete a college degree. If you fail to do so, it can affect your eligibility for this benefit.

Paying Back Student Loans

Your monthly payment will depend on your current status. If you are currently not in default, your interest rate will be lower than 6 percent. If you are in default, your interest rates will range from 8 to 12 percent. You can check your current status by visiting the Department of Education at www.studentloanhero.com.

How Much Can I Borrow?

Depending on your major, cost of attendance will determine how much you can borrow. Tuition costs vary depending on where you go to school and what field you enter. Many schools offer scholarships based on academic merit and extracurricular activities. Find out more about the average tuition costs for your area at www.collegeboard.org/tution.

Student Loans Support Department

Student Loans

Federal student loans, known formally as Perkins loans, are available at financial aid offices nationwide. These loans provide funding for students who need help paying for college expenses. The loan amount varies according to income level, credit history, number of dependents, and state residency.

Graduation

Graduation is the end of being enrolled full-time at school. Many graduates receive their diplomas after successfully meeting graduation requirements. Once a student completes the requirements for graduation they are end to a diploma and have the option of receiving it in person or having mail sent to them.

Repayment

Repaying federal student loans requires repayment over an extended period of time. Depending on the type of loan, borrowers may have 10 years, 20 years, or 30 years to repay the principal balance and any accrued interest. There are several types of loans including subsidized and unsubsidized loans. Subsidized loans offer lower monthly payments than unsubsidized loans, but they carry higher interest rates. Both subsidized and unsubsidised loans require payment of interest while the principal balance is outstanding. A grace period applies only to subsidized loans. Borrowers who graduate before finishing the repayment term do not pay any additional fees or penalties. However, if they stop repaying their loans prior to completing the original payment plan, they may face increased interest charges and possible default.

Loan Consolidation

Consolidating federally guaranteed Stafford loans into one larger loan lowers monthly payments. If you wish to consolidate your loans, contact your lender. You may want to consider consolidating if you have consolidated your private student loans.

Default

Default occurs when a borrower fails to make scheduled payments. Most loans carry some kind of penalty for nonpayment. Penalties include higher interest rates and loss of eligibility for future loans. If your lender does not respond to an inquiry about missed payments, you can send a certified letter requesting information. Your lender should notify you of its decision regarding default.

Bankruptcy

Banks and lenders will often file for bankruptcy protection when faced with unpaid debt. In this situation the bank or lender seeks relief under the United States Bankruptcy Code. For most people filing for Chapter 13 bankruptcy protection prevents creditors from collecting on a claim until the debt has been repaid.

Consumer Reports

Consumer Reports (CR) is an independent nonprofit organization dedicated to helping consumers make informed buying decisions. CR maintains a website of consumer product reviews with ratings that indicate whether products perform well or poorly based on tests conducted by scientists to evaluate performance. To learn more about CR visit www.consumerreports.org/cro/about-cr/about-us

Student Loans Support Department

1.Department Name: Student Loans Support

2.Department Code: SLSS-Sloans

3.Contact Person: Dr.Marieluis Gomez (ABS-SLOSS)

4.Phone Number: 559-947-2726

5.Email Address: sloss@albany.edu

7.Additional Information: We have a variety of programs to help students with their educational expenses. If you need assistance with these loans, please contact us. We would love to hear from you!

►HEY, we’ve got more valuable information here: ►CLICK HERE LOANS FOR STUDENTS◄

►Cloud of related items ▼

►Loans For Students◄

 

bloque1x