Private
Loans
Private loans
can bridge the gap between your financial aid awards and the amount
of money needed to pay for school. It is best to exhaust federal grants
and loans before turning to private loans as federal funds often times
have lower interest rates.
Community
College Loan
The Community College Loan is a private loan. Eligibility depends on
your credit and whether you are enrolled in Associate degree or Title
IV certificate programs. The loan can be used to cover college related
expenses that other federal financial aid does not.
If you do
not have a credit history, you may still qualify by having a creditworthy
cosigner. The rate of interest will depend on the credit score of you
or your cosigner. Borrowers with excellent credit can get a fee as low
as 2%.
You will
be able to borrow from $1,000 to the cost of attendance minus any other
financial aid. Repayment begins 30 days after disbursement and ends
when the loan is paid in full.
*Remember
education related expenses can include books, fees, labs equipment,
and living expenses.
Continuing
Education Loan
A Continuing Education Loan is a private loan based on your creditworthiness.
This loan is for college students not seeking a degree and for part
time degree students. Low interest rates are dependant on good credit.
If you do not have credit or have bad credit, a credit worthy cosigner
can still make you eligible. Although there is no loan limit, you may
take up to 15 years to repay the loan.
Signature
Student Loan
A Signature Student Loan is a private loan for undergraduates attending
a 4 year university. Although you must meet a specific credit standard,
an eligible cosigner can help you qualify and reduce your interest rate
and save you money. As an undergraduate, you can borrow up to $100,000.
Repayment begins on a monthly basis until the loan is paid in full.
Federal
Parent PLUS Loan
Federal Parent PLUS Loans are private loans for parents to help pay
the cost of the students’ education. It is a low interest loan
for parents of dependant students. The award amount can be the entire
cost of the students education minus other financial aid awards.
This loan
is dependant on a basic credit check. It is not based on income or assets
and does not require collateral. If you are not eligible, having a credit
worthy cosigner may be another option. The interest paid on the loan
may be tax deductible and you can postpone repayment for up to 60 months.
Consolidation
Loans
College loan consolidation allows you to reduce your monthly payments
by combining one or more existing loans into one massive loan and extend
the period of repayment typically from 10 years to 30 years. Although
this means you will pay more in overall interest, it reduces your monthly
payment so you can have a higher standard of living. You must consolidate
federal student loans and private student loans separately.
Reasons
to Consolidate your student loans.
|
