College Student Loans??

[Cha Cha]

My dd is a jr in college and is going to have to apply for her first student loan to meet her needs. Since we've been fortunate to get her this far without student loans, it's all new to us. This is aside from any grovernment loans. Is Salle Mae the only place?

[Ellie May]

When she fills out her FAFSA, that info goes to the school. If need is not met through any pell grant given to her, then loans are offered. The best would be direct subsidized ecause the government pays the interest. Then direct unsubsidized where she would pay the interest. After there there are Parent Plus loans and then private loans. Private loans generally have higher interest rates and require a cosigner.

So all that to say, she should look at the financial aid packet sent to her after filling out the FAFSA and get loans that way.

Is that what you were asking?

One of my loans is through Sally Mae. I did not choose it. i just chose what loans I needed and that was done automatically...

[Cha Cha]

Originally Posted by Ellie May

When she fills out her FAFSA, that info goes to the school. If need is not met through any pell grant given to her, then loans are offered. The best would be direct subsidized ecause the government pays the interest. Then direct unsubsidized where she would pay the interest. After there there are Parent Plus loans and then private loans. Private loans generally have higher interest rates and require a cosigner.

So all that to say, she should look at the financial aid packet sent to her after filling out the FAFSA and get loans that way.

Is that what you were asking?

One of my loans is through Sally Mae. I did not choose it. i just chose what loans I needed and that was done automatically...

Thanks Crystal. We did the FAFSA and according to them she has no need based on our income, and we are nearing the end of what we plan to contribut to her education so she is now forced to look at a couple of minimal private student loans. I'm just not sure where to start or what steps to take.

[Ellie May]

Originally Posted by Cha Cha

Thanks Crystal. We did the FAFSA and according to them she has no need based on our income, and we are nearing the end of what we plan to contribut to her education so she is now forced to look at a couple of minimal private student loans. I'm just not sure where to start or what steps to take.

Ugh. i lobe how they make assumptions about how much parents should pay.

When I had to look into private loans, the (very helpful ) advisor told me to look at the list on our school site and be random about it. Ended up not needing one thankfully. I'd just be going with lowest interest rate and whoever lets you defer payment til after graduation. i will PM you my s sc list of private loan companies. Not sure if all of them are available outside of MI, but it might be worth a look.

[BabyGirl Rosie]

I did a student loan to get my masters. When I first enrolled there where many places to choose from. However, something passed with the Obama administration in the middle of my school. All the remainder of my loans did not go through the bank I selected. Instead the department of education handled it all. I would ask an advisor but I think there has been changes.

[Cha Cha]

Originally Posted by BabyGirl Rosie

I did a student loan to get my masters. When I first enrolled there where many places to choose from. However, something passed with the Obama administration in the middle of my school. All the remainder of my loans did not go through the bank I selected. Instead the department of education handled it all. I would ask an advisor but I think there has been changes.

I think I know what you are referring to, and yes, for the most part the Dept of ED does handle everything for need based students. Even still, since my daughter does not qualify for "need" they make it VERY easy for the entire costs to be put back on the parents through a Parent Plus loan (if a loan is needed) which is also handled through the Dept. of Ed. It's more difficult when you want the loans to be in your child's name, and that's the info I am searching for. Which istitutions are best for Student's to get a loan? We don't have a problem co signing, but we feel this last portion of her education expenses should be on her so we don't want to do the Parent Plus loan because it cannot be transferred over later to her.

[BabyGirl Rosie]

Originally Posted by Cha Cha

I think I know what you are referring to, and yes, for the most part the Dept of ED does handle everything for need based students. Even still, since my daughter does not qualify for "need" they make it VERY easy for the entire costs to be put back on the parents through a Parent Plus loan (if a loan is needed) which is also handled through the Dept. of Ed. It's more difficult when you want the loans to be in your child's name, and that's the info I am searching for. Which istitutions are best for Student's to get a loan? We don't have a problem co signing, but we feel this last portion of her education expenses should be on her so we don't want to do the Parent Plus loan because it cannot be transferred over later to her.

Shelly I found this from Chase. Chase Student Loans: Private Student Loans - College Student Loan. I know nothing about it but makes me think that some banks could be doing them.

[Cha Cha]

Originally Posted by BabyGirl Rosie

Shelly I found this from Chase. Chase Student Loans: Private Student Loans - College Student Loan. I know nothing about it but makes me think that some banks could be doing them.

Thanks Rhonda, this is what I need. I will check it out.

[Cirlonde]

Cha Cha, your daughter should still be able to get at least some aid through the Unsubsidized Direct Loans. The unsub loans can be used to cover the EFC (expected family contribution) so they aren't based on need in the same way that Pell and sub loans are. They are also usually at a much better interest rate than a private loan, as well as being in the student's name rather than the parent's. There is a limit to how much you can borrow via unsub loans though, depending on whether a student is a dependent/independent and what their grade level is.

Another recommendation that I'd make (coming from working in a financial aid department at a large university) is to push for at least some scholarship money. It is a myth that there is all this free money out there waiting for you to ask for it, but oftentimes, the squeaky wheel gets the grease. No one really likes the parents that whine and take it to the top, but it gets things done! As long as you're nice but persistent, they may be able to find you $1500-$3000 in scholarship money. I can't tell you how many times we have parents insist on speaking to our director who end up with scholarship money awarded to them just to get them to leave the director alone! So squeak away and see if it gets you anywhere!
-C

[Cha Cha]

Originally Posted by Cirlonde

Cha Cha, your daughter should still be able to get at least some aid through the Unsubsidized Direct Loans. The unsub loans can be used to cover the EFC (expected family contribution) so they aren't based on need in the same way that Pell and sub loans are. They are also usually at a much better interest rate than a private loan, as well as being in the student's name rather than the parent's. There is a limit to how much you can borrow via unsub loans though, depending on whether a student is a dependent/independent and what their grade level is.

Another recommendation that I'd make (coming from working in a financial aid department at a large university) is to push for at least some scholarship money. It is a myth that there is all this free money out there waiting for you to ask for it, but oftentimes, the squeaky wheel gets the grease. No one really likes the parents that whine and take it to the top, but it gets things done! As long as you're nice but persistent, they may be able to find you $1500-$3000 in scholarship money. I can't tell you how many times we have parents insist on speaking to our director who end up with scholarship money awarded to them just to get them to leave the director alone! So squeak away and see if it gets you anywhere!
-C

Yes you are correct. She does qualify for a small sub/unsub loan. But it doesn't come close to covering her need (or cost of attendance). So my question is, after you take into consideration her sub/unsub loan and her parent contribution, savings, etc., where are the best reputable institutions for looking into private student loans to finish covering her expenses. We get quite a bit of junk mail, but with all the scams out there I just want to know who others have used that are reputable.

[linz06]

I know things are probably different here in Canada than in the USA, but when I was unable to get a government student loan based on my parents' income (of course they don't care that my parents had a mortgage, a new truck etc. to pay for... there's no way they could afford to send me to college!) I went to the bank and got a student line of credit. At the time, it was a maximum of $40,000 over a maximum of 4 years - I had to figure out how much I'd need for the year and go in every year to have that amount approved. While in school, I did have to pay just interest on the amount I used (I think it was a relatively low interest rate). A year after graduation, the amount I owed was consolidated into a loan for repayment. It was nowhere near the kind of deal I'd get from a government student loan, but it was lower interest than a straight-out every day loan from the bank.

[Lil Sis]

My girls had a hard time because of our income- we had to submit our income tax returns and over about $50,000 income the student does not qualifiy for much. They did get private loans.. I think it may have been Chase.

Now they are going back to school and qualifiy for a lot more help because their income is lower and they are over 23 and do not have to report ours.

I think you will have to do a combination of loans/grants etc. every penny helps and you will find it will add up and she will make it!!

good luck

[life4life]

have you consider scholarships?? also how old is your daughter? I wonder if she qualifies for independent status.

[concretegurl]

I dont like chase they sell loans and loabee information.

I would exhaust every possible scholarship oppertinity avalible.

Her financial advisor should hive her a complete list yhere are over 30to student loan lenders
From tuition to specific to text books for such classes to general living expenses.