What Is A Student Loan?
A student loan can help you get the education and training you need to get a better job or to enjoy a better quality of life. Most people today understand that in order to secure a good job and in order to live a good life, it is important to develop a good intellectual base, not only through personal improvement, but also through formal education. Universities are getting more expensive each year, though, and many students - both new students and mature students - worry about paying for their school fees, their books, and their living expenses while working towards a degree. A student loan can help you with all three. A student loan can help someone who could otherwise not go to college or university afford the education that can bring them many perks in life. A student loan is a big financial responsibility. A student loan is often the first serious debt for most people and it can be a significant expense. Some people pay off their student loans well into their 40s. To make your student loan as painless as possible, be sure to apply for every type of financial assistance you can - including grants, fellowships, scholarships, work-study programs, assistantship, and other forms of aid. A student loan should you be your last form of financial aid and should be used with other forms of financial aid. This will help keep your debt small and manageable. You should go to your school's financial aid office as soon as you think about applying to universities and colleges. That way, you can start applying for a few types of student loan as well as apply for as many forms of other funding as you can. Most students who get a student loan apply for a Federal Stafford loan. This student loan comes in various types. Some federal Stafford Loans come from the Department of Education while others come from banks. The fee for this form of student loan is about 4%. The Federal Perkins loan is administered through colleges and universities with money given by the government. Some student loans can also be gotten through banks or through other institutions, but these often have less generous terms and higher interest rates. Depending on the student loan you get, you may get interest rates of 5 to 10 percent, and in most cases you will not have to start repaying your student loan until after you have left school. Most forms of student loan even give you a grace period, so that you do not have to start paying your loan until after you are out of school for six months.