Sallie Mae is offering an interest-free loan to students displaced by Hurricane Katrina. The loan is a one-time relief loan of up to $1,000.00. Students may apply for the loan through December 31, 2005. The loan is interest-free through May 31, 2006.
qualifying info here
Tuesday, October 04, 2005
Saturday, September 17, 2005
New Federal Consolidation Loan interest rates have increased
From http://www.federalconsolidation.org/
Notice: New Federal Consolidation Loan interest rates have increased. Today's rate: 4.750%.
"What if I didn't apply before July 1, 2005"?
Answer: If you apply on or after July 1, 2005 the weighted average interest rate on your consolidation loan will be calculated using the higher interest rate (currently 4.750%*). Federal regulations set when this higher rate goes into effect. You may still choose to consolidate at this higher rate, however you should weight the pros and cons carefully before deciding whether to consolidate.
* This is the consolidation interest rate on Federal Stafford Loans originally borrowed after 1998 and consolidated while in school or grace.
Notice: New Federal Consolidation Loan interest rates have increased. Today's rate: 4.750%.
"What if I didn't apply before July 1, 2005"?
Answer: If you apply on or after July 1, 2005 the weighted average interest rate on your consolidation loan will be calculated using the higher interest rate (currently 4.750%*). Federal regulations set when this higher rate goes into effect. You may still choose to consolidate at this higher rate, however you should weight the pros and cons carefully before deciding whether to consolidate.
* This is the consolidation interest rate on Federal Stafford Loans originally borrowed after 1998 and consolidated while in school or grace.
Thursday, September 15, 2005
FAFSA correction deadline
Deadlines: The 2004-2005 FAFSA correction deadline was today (September 15, 2005). However, if you have been affected by Hurricane Katrina, the correction deadline has been extended until December 1, 2005. Corrections must be submitted by midnight Central time on the deadline date. midnight Central Daylight time, September 15, 2005. -->Submit 2005-2006 FAFSA on the Web Applications by midnight Central Daylight time, June 30, 2006.
Friday, September 09, 2005
Student Loan Resources Page
Cingular Motorola Rokr with Itunes
The lowest prices for cell phones from all major carriers. Premium phones like the Motorola Razr and Rokr are free with a new service agreement. All phones include Free Shipping. We even have free phone upgrades for existing Cingular customers.
Quit Smoking Programs
Top 4 Quit Smoking Courses Reviewed. Detailed Reviews and Comparisons.
Free Articles, Resources, And Information About Credit Repair
If You Would Like To Learn How To Repair Your Credit And Consolidate Your Debt, You've Come To The Right Place. Welcome To CreditRepairSite4U.com. Our Free Articles, Strategies, And Resources Will Help You Make Informed Decisions About Credit Repair
Sedu Hairstyle Tips
Become the envy of the rest by sporting super attractive sedu hairstyles that don't take half a day to get done.
mannys 2 cents
Affiliate Program
Become a super affiliate with 100% free training from the most successful affiliate marketers in the world only at TheSecondTier.com
The lowest prices for cell phones from all major carriers. Premium phones like the Motorola Razr and Rokr are free with a new service agreement. All phones include Free Shipping. We even have free phone upgrades for existing Cingular customers.
Quit Smoking Programs
Top 4 Quit Smoking Courses Reviewed. Detailed Reviews and Comparisons.
Free Articles, Resources, And Information About Credit Repair
If You Would Like To Learn How To Repair Your Credit And Consolidate Your Debt, You've Come To The Right Place. Welcome To CreditRepairSite4U.com. Our Free Articles, Strategies, And Resources Will Help You Make Informed Decisions About Credit Repair
Sedu Hairstyle Tips
Become the envy of the rest by sporting super attractive sedu hairstyles that don't take half a day to get done.
mannys 2 cents
Affiliate Program
Become a super affiliate with 100% free training from the most successful affiliate marketers in the world only at TheSecondTier.com
Thursday, September 08, 2005
Student Debt "Increasingly Unmanageable"
CNN Money Online
Article Highlights:
In 1999-2000, 64 percent of students graduated with student loan debt; average student debt has nearly doubled during the last eight years to $16,928.
Read all about it here
Article Highlights:
In 1999-2000, 64 percent of students graduated with student loan debt; average student debt has nearly doubled during the last eight years to $16,928.
Read all about it here
Canadian College Student Statistics
A statistical report from Canada about students and the factors that contribute to their ability to pay their student loan debt-
Read all about it here
Read all about it here
One British College Graduates Experience
I Found this interesting article about a British graduate named Joanna Kelly. Like a lot of college grads who had the misfortune of not being born with a silver spoon in her mouth, she finds herself deep in debt with seemingly no light at the end of the perverbial tunnel.
I just love the way the 2 "financial advisors" pelt her with GENERAL INFO (are you sensing my sarcasm here?)
Read all about it here
I just love the way the 2 "financial advisors" pelt her with GENERAL INFO (are you sensing my sarcasm here?)
Read all about it here
Wednesday, September 07, 2005
Consolidate Student Loans OR Upromise: Help Paying Off Your American Education Services (AES) Loan
Launched in April 2001, Upromise was created to help families save for college. By joining forces with some of America's leading companies, Upromise allows families to get back a percentage of their everyday spending into their Upromise accounts.
Upromise has built a simple way to help families learn more about their savings options, open investment accounts, and jumpstart their savings. The mission of Upromise is to make college more affordable for American families.
Simply join Upromise for free and leading companies will contribute a portion of what you spend with them into your Upromise account. You can then use these funds to help pay off your AES education loan. You can even invite family and friends to join Upromise and help pay off your school loans. There's never been a better way to manage your educational expenses.
Eligibility and requirements here.
Upromise has built a simple way to help families learn more about their savings options, open investment accounts, and jumpstart their savings. The mission of Upromise is to make college more affordable for American families.
Simply join Upromise for free and leading companies will contribute a portion of what you spend with them into your Upromise account. You can then use these funds to help pay off your AES education loan. You can even invite family and friends to join Upromise and help pay off your school loans. There's never been a better way to manage your educational expenses.
Eligibility and requirements here.
TO GO OR NOT TO GO- to college
I personally feel that people today put more emphasis on college and higher education than on quality time with their family and living a simple lifestyle. If your parents happen to be well-to-do, going to college may not really be a big deal. But if you are from a family of lesser means, college will certainly take it's toll on you and your household. Consider this:
I think people are being pulled-in by all of the "go to college for a better life" propaganda out there (by the way, this propaganda is instigated by slave-drivers in order to determine which slaves would work harder and longer). I'm not saying that college in itself is completely wrong and if you go you are a dummy. But I think that "keeping your eye simple" and putting family first is in order.
Instead of being taught how to live with less, "go for the gusto" is the phrase of the day. For instance, read this article I found and notice how there is no mention of "family time" and the parents don't say anything like "there is nothing wrong with driving a Chevrolet instead of a BMW". There arguement for the kid to go to college is based solely on MAKE MORE MONEY. This is the kind of stuff that makes people today feel almost obligated to "Make something of themselves" (which actually means, you make your Maserati driving employer richer and your BMW driving self gets to look down on all of those Chevrolet driving simpletons out there).
Of course, if you have the means to go to college or plan to be single until your loans are paid off, more power to you. But always remember that college is not the "end word".
Written by Manny,
a self-employed publisher who did not go to college and is not rich
(but is very happy and spends most of his time with his family)
- If you marry while still paying on your student loans, odds are that your marriage will be full of tension due to financial difficulties- especially if both husband and wife come into the marriage owing on college loans.
- Now add the pitter-patter of little feet to the scenario....
I think people are being pulled-in by all of the "go to college for a better life" propaganda out there (by the way, this propaganda is instigated by slave-drivers in order to determine which slaves would work harder and longer). I'm not saying that college in itself is completely wrong and if you go you are a dummy. But I think that "keeping your eye simple" and putting family first is in order.
Instead of being taught how to live with less, "go for the gusto" is the phrase of the day. For instance, read this article I found and notice how there is no mention of "family time" and the parents don't say anything like "there is nothing wrong with driving a Chevrolet instead of a BMW". There arguement for the kid to go to college is based solely on MAKE MORE MONEY. This is the kind of stuff that makes people today feel almost obligated to "Make something of themselves" (which actually means, you make your Maserati driving employer richer and your BMW driving self gets to look down on all of those Chevrolet driving simpletons out there).
Of course, if you have the means to go to college or plan to be single until your loans are paid off, more power to you. But always remember that college is not the "end word".
Written by Manny,
a self-employed publisher who did not go to college and is not rich
(but is very happy and spends most of his time with his family)
Wednesday, August 31, 2005
The federal Perkins Loan
The Perkins Loan is awarded to undergraduate and graduate students with exceptional financial need. This is a campus-based loan program, with the school acting as the lender using a limited pool of funds provided by the federal government. (The Perkins Loan is the best student loan available. It is a subsidized loan, with the interest being paid by the federal government during the in-school and 9-month grace periods. There are no origination or guarantee fees, and the interest rate is 5%. There is a 10-year repayment period.
The amount of Perkins Loan you receive is determined by your school's financial aid office. The program limits are $4,000 per year for undergraduate students and $6,000 per year for graduate students, with cumulative limits of $20,000 for undergraduate loans and $40,000 for undergraduate and graduate loans combined.
Institutions participating in the Expanded Lending Option (ELO) may offer higher loan limits for the Perkins Loan. To participate in the ELO, a school must have a default rate no higher than 15%. The annual loan limits are increased by $1,000 each and the cumulative limits increased by $5,000 and $10,000, respectively.
The Perkins Loan also offers better cancellation provisions than the Stafford or PLUS loans. See the section on loan forgiveness for more details.
To apply for a Stafford Loan, you must submit the Free Application for Federal Student Aid (FAFSA). Even though the unsubsidized Stafford Loan is available to all students regardless of financial need, you must still submit the FASFA to be eligible. You can receive a subsidized loan and an unsubsidized loan for the same period.
You may use the Lender Codes Database to obtain the lender codes of participating student loan providers. FinAid also maintains a list of education lenders who offer federal and private student loans. If you are a student attending a school that participates in the Federal Direct Student Loan Program you will obtain your federal student loan funds directly from the U.S. government, not from private lenders.
The amount of Perkins Loan you receive is determined by your school's financial aid office. The program limits are $4,000 per year for undergraduate students and $6,000 per year for graduate students, with cumulative limits of $20,000 for undergraduate loans and $40,000 for undergraduate and graduate loans combined.
Institutions participating in the Expanded Lending Option (ELO) may offer higher loan limits for the Perkins Loan. To participate in the ELO, a school must have a default rate no higher than 15%. The annual loan limits are increased by $1,000 each and the cumulative limits increased by $5,000 and $10,000, respectively.
The Perkins Loan also offers better cancellation provisions than the Stafford or PLUS loans. See the section on loan forgiveness for more details.
To apply for a Stafford Loan, you must submit the Free Application for Federal Student Aid (FAFSA). Even though the unsubsidized Stafford Loan is available to all students regardless of financial need, you must still submit the FASFA to be eligible. You can receive a subsidized loan and an unsubsidized loan for the same period.
You may use the Lender Codes Database to obtain the lender codes of participating student loan providers. FinAid also maintains a list of education lenders who offer federal and private student loans. If you are a student attending a school that participates in the Federal Direct Student Loan Program you will obtain your federal student loan funds directly from the U.S. government, not from private lenders.
The federal Stafford Loan
The federal loan for students is called the Stafford Loan and has two variations:
Federal Family Education Loan Program (FFELP) loans are provided by private lenders, such as banks, credit unions and savings & loan associations. These loans are guaranteed against default by the federal government.
Federal Direct Student Loan Program (FDSLP) loans, administered by "Direct Lending Schools", are provided by the US government directly to students and their parents.
All Stafford Loans are either subsidized (the government pays the interest while you're in school) or unsubsidized (you pay all the interest, although you can have the payments deferred until after graduation). To receive a subsidized Stafford Loan, you must be able to demonstrate financial need.
With the unsubsidized Stafford loan, you can defer the payments until after graduation by capitalizing the interest. This adds the interest payments to the loan balance, increasing the size and cost of the loan. All students, regardless of need, are eligible for the unsubsidized Stafford Loan.
Stafford Loans allow dependent undergraduates to borrow up to $2,625 their freshman year, $3,500 their sophomore year and $5,500 for each remaining year (independent students and students whose parents have been turned down for a PLUS loan can borrow an additional unsubsidized $4,000 the first two years and $5,000 the remaining years). Graduate students can borrow $18,500 per year, although only $8,500 of that is subsidized. There are also cumulative limits of $23,000 for an undergraduate education and a $65,500 combined limit for undergraduate and graduate. (For independent students and for students whose parents were denied a PLUS loan the cumulative limits are $46,000 and $138,500, respectively.) Many students combine subsidized loans with unsubsidized loans to borrow the maximum amount permitted each year.
Stafford Loans have variable interest rates (based on 91-day T-bill rate + 1.7% during school with an additional .6% increase upon graduation) capped at 8.25% or less, depending on yearly adjustments. All lenders offer the same rate for the Stafford Loan, although some give discounts for on-time and electronic payment.
If your borrowing needs are not met by the federal programs, lenders offer a variety of supplemental borrowing programs known as Private or Alternative Loans.
Federal Family Education Loan Program (FFELP) loans are provided by private lenders, such as banks, credit unions and savings & loan associations. These loans are guaranteed against default by the federal government.
Federal Direct Student Loan Program (FDSLP) loans, administered by "Direct Lending Schools", are provided by the US government directly to students and their parents.
All Stafford Loans are either subsidized (the government pays the interest while you're in school) or unsubsidized (you pay all the interest, although you can have the payments deferred until after graduation). To receive a subsidized Stafford Loan, you must be able to demonstrate financial need.
With the unsubsidized Stafford loan, you can defer the payments until after graduation by capitalizing the interest. This adds the interest payments to the loan balance, increasing the size and cost of the loan. All students, regardless of need, are eligible for the unsubsidized Stafford Loan.
Stafford Loans allow dependent undergraduates to borrow up to $2,625 their freshman year, $3,500 their sophomore year and $5,500 for each remaining year (independent students and students whose parents have been turned down for a PLUS loan can borrow an additional unsubsidized $4,000 the first two years and $5,000 the remaining years). Graduate students can borrow $18,500 per year, although only $8,500 of that is subsidized. There are also cumulative limits of $23,000 for an undergraduate education and a $65,500 combined limit for undergraduate and graduate. (For independent students and for students whose parents were denied a PLUS loan the cumulative limits are $46,000 and $138,500, respectively.) Many students combine subsidized loans with unsubsidized loans to borrow the maximum amount permitted each year.
Stafford Loans have variable interest rates (based on 91-day T-bill rate + 1.7% during school with an additional .6% increase upon graduation) capped at 8.25% or less, depending on yearly adjustments. All lenders offer the same rate for the Stafford Loan, although some give discounts for on-time and electronic payment.
If your borrowing needs are not met by the federal programs, lenders offer a variety of supplemental borrowing programs known as Private or Alternative Loans.
Private Vs Federal Default
One missed payment does not equal default (however, a missed payment appears on your credit history and may affect your ability to obtain credit in the future).
A student loan can go into default after 120 days of nonpayment for private loans and 270 days of nonpayment for federal loans.
A student loan can go into default after 120 days of nonpayment for private loans and 270 days of nonpayment for federal loans.
Thursday, August 25, 2005
An interesting report on the rising rates of student loan debt
Interesting statistical report on student loan debt. The State PIRGs are non-profit, non-partisan public interest advocacy groups. The Higher Education Project was established in 1994 to secure more aid for students, with a focus on additional grants, lowering the cost of borrowing, and better service to students in the federal financial aid system.
www.pirg.org
Consolidate Student Loans
www.pirg.org
Consolidate Student Loans
Thursday, August 04, 2005
Student Loan Consolidation – How does it Work?
Student loans are a great source of financial aid for students who need help paying for their education. Unfortunately, students often leave college with burdensome debt. In addition, they often have multiple loans from different lenders, meaning they are writing more than one loan repayment check each month. The solution to this problem is loan consolidation.
What is student loan consolidation?
Loan consolidation means bundling all your student loans into a single loan with one lender and one repayment plan. You can think of loan consolidation as akin to refinancing a home mortgage. When you consolidate your student loans, the balances of your existing student loans are paid off, with the total balance rolling over into one consolidated loan. The end result is that you have only one student loan to pay on.
Both students and their parents can consolidate loans.
Should I consolidate my loans?
Loan consolidation offers many benefits:
-Locks in a fixed, usually lower, interest rate for the term of your loan, potentially saving you thousands of dollars (depending on the interest rates of your original loans)
-Lowers your monthly payment
-Combines your student loan payments into one monthly bill
In addition, consolidated loans have flexible repayment options and no fees, charges, or prepayment penalties. There are also no credit checks or co-signers required.
You should consider consolidating your loans if the consolidation loan would have a lower interest rate than your current loans, particularly if you are having trouble making you monthly payments. However, if you are close to paying off your existing loans, consolidation may not be worth it.
How will the interest rate for the consolidated loan be?
The interest rate for your consolidated loan is calculated by averaging the interest rate of all the loans being consolidated and then rounding up to the next one-eighth of one percent. The maximum interest rate is 8.25 percent.
To figure your interest rate, visit loanconsolidation.ed.gov for an online calculator that will do the math for you.
How much can I save?
How much you save by consolidating loans depends on what interest rate you get and whether you choose to extend your repayment plan. According to Sallie Mae, the leading provider of student loans in the United States, consolidating student loans can reduce monthly payments by up to 54 percent. However, the only way to reduce your payment this much is to extend your repayment plan. You typically have 10 years to repay student loans, but, depending on the amount you're consolidating, you can extend your repayment plan all the way up to 30 years. Remember that if you choose to extend your repayment term, it will take longer to pay off your overall debt and you'll pay more in interest. There are no preypayment penalties, so you can always choose to pay off the loan early.
Am I eligible to consolidate my loans?
In order to consolidate your loans, you must meet the following criteria:
- You are in your six-month grace period following graduation or you have started repaying your loans
-You have eligible loans totaling over $7,500
-You have more than one lender
-You have not already consolidated your student loans, or since consolidation you have gone back to school and acquired new student loans
The following types of loans can be consolidated:
-Direct Subsidized and Unsubsidized Loans
-Federal Subsidized and Unsubsidized Federal Stafford Loans
-Direct PLUS Loans and Federal PLUS Loans
-Direct Consolidation Loans and Federal Consolidation Loans
-Guaranteed Student Loans
-Federal Insured Student Loans
-Federal Supplemental Loans for Students
-Auxiliary Loans to Assist Students
-Federal Perkins Loans
-National Direct Student Loans
-National Defense Student Loans
-Health Education Assistance Loans
-Health Professions Student Loans
-Loans for Disadvantaged Students
-Nursing Student Loans
Where can I get a consolidation loan?
You can consolidate your loans through any bank or credit union that participates in the Federal Family Education Loan Program, or directly from the U.S. Department of Education. The loan terms and conditions are generally the same, regardless of where you consolidate. You may want to check first with the lenders that hold your current loans.
If all your loans are with one lender, you must consolidate with that lender.
If you decide to consolidate your student loans, remember that you can only do so once unless you go back to school and take out more loans. Therefore, you will want to make sure you get the best deal the first time. The interest rate will be the same from all lenders, but some lenders may offer future rate discounts for prompt payment and a discount for having monthly payments directly debited from your account.
Can my spouse and I consolidate our loans together?
You can consolidate your loans together, but it is not a good idea for a couple reasons:
-Both of you will always be responsible to repay the loan, even if you later separate or divorce
-If you need to defer payment on the loan, both of you will have to meet the deferment criteria
When should I consolidate my loans?
You can consolidate your loans any time during your six-month grace period or after you have started repaying your loans. If you consolidate during your grace period, you may be able to get a lower interest rate. However, since you will lose the rest of the grace period, it is a good idea to wait until the fifth month of the grace period before consolidating. The consolidation process usually takes 30-45 days.
What is student loan consolidation?
Loan consolidation means bundling all your student loans into a single loan with one lender and one repayment plan. You can think of loan consolidation as akin to refinancing a home mortgage. When you consolidate your student loans, the balances of your existing student loans are paid off, with the total balance rolling over into one consolidated loan. The end result is that you have only one student loan to pay on.
Both students and their parents can consolidate loans.
Should I consolidate my loans?
Loan consolidation offers many benefits:
-Locks in a fixed, usually lower, interest rate for the term of your loan, potentially saving you thousands of dollars (depending on the interest rates of your original loans)
-Lowers your monthly payment
-Combines your student loan payments into one monthly bill
In addition, consolidated loans have flexible repayment options and no fees, charges, or prepayment penalties. There are also no credit checks or co-signers required.
You should consider consolidating your loans if the consolidation loan would have a lower interest rate than your current loans, particularly if you are having trouble making you monthly payments. However, if you are close to paying off your existing loans, consolidation may not be worth it.
How will the interest rate for the consolidated loan be?
The interest rate for your consolidated loan is calculated by averaging the interest rate of all the loans being consolidated and then rounding up to the next one-eighth of one percent. The maximum interest rate is 8.25 percent.
To figure your interest rate, visit loanconsolidation.ed.gov for an online calculator that will do the math for you.
How much can I save?
How much you save by consolidating loans depends on what interest rate you get and whether you choose to extend your repayment plan. According to Sallie Mae, the leading provider of student loans in the United States, consolidating student loans can reduce monthly payments by up to 54 percent. However, the only way to reduce your payment this much is to extend your repayment plan. You typically have 10 years to repay student loans, but, depending on the amount you're consolidating, you can extend your repayment plan all the way up to 30 years. Remember that if you choose to extend your repayment term, it will take longer to pay off your overall debt and you'll pay more in interest. There are no preypayment penalties, so you can always choose to pay off the loan early.
Am I eligible to consolidate my loans?
In order to consolidate your loans, you must meet the following criteria:
- You are in your six-month grace period following graduation or you have started repaying your loans
-You have eligible loans totaling over $7,500
-You have more than one lender
-You have not already consolidated your student loans, or since consolidation you have gone back to school and acquired new student loans
The following types of loans can be consolidated:
-Direct Subsidized and Unsubsidized Loans
-Federal Subsidized and Unsubsidized Federal Stafford Loans
-Direct PLUS Loans and Federal PLUS Loans
-Direct Consolidation Loans and Federal Consolidation Loans
-Guaranteed Student Loans
-Federal Insured Student Loans
-Federal Supplemental Loans for Students
-Auxiliary Loans to Assist Students
-Federal Perkins Loans
-National Direct Student Loans
-National Defense Student Loans
-Health Education Assistance Loans
-Health Professions Student Loans
-Loans for Disadvantaged Students
-Nursing Student Loans
Where can I get a consolidation loan?
You can consolidate your loans through any bank or credit union that participates in the Federal Family Education Loan Program, or directly from the U.S. Department of Education. The loan terms and conditions are generally the same, regardless of where you consolidate. You may want to check first with the lenders that hold your current loans.
If all your loans are with one lender, you must consolidate with that lender.
If you decide to consolidate your student loans, remember that you can only do so once unless you go back to school and take out more loans. Therefore, you will want to make sure you get the best deal the first time. The interest rate will be the same from all lenders, but some lenders may offer future rate discounts for prompt payment and a discount for having monthly payments directly debited from your account.
Can my spouse and I consolidate our loans together?
You can consolidate your loans together, but it is not a good idea for a couple reasons:
-Both of you will always be responsible to repay the loan, even if you later separate or divorce
-If you need to defer payment on the loan, both of you will have to meet the deferment criteria
When should I consolidate my loans?
You can consolidate your loans any time during your six-month grace period or after you have started repaying your loans. If you consolidate during your grace period, you may be able to get a lower interest rate. However, since you will lose the rest of the grace period, it is a good idea to wait until the fifth month of the grace period before consolidating. The consolidation process usually takes 30-45 days.
Monday, April 25, 2005
Attention Students Affected By Hurricane Wilma:
FEMA has declared 10 Florida counties affected by hurricane Wilma eligible for FEMA Individual Assistance
Broward
Collier
Glades
Hendr
Lee
Martin
Miami-Dade
Monroe
Palm Beach
St. Lucie
Read the eannouncement here.
Note that the provisions for students affected by Wilma ARE NOT the same as those affected by Katrina and Rita. The FSA is pointing students affected by Wilma to the General guidance for helping Title IV participants affected by a disaster letter written to supplement the 2003-2004 Federal Student Aid Handbook and Disaster Letter 99-28
Summary of disaster letter 99-28: Effective immediately, loan holders will decide what constitutes a natural disaster for purposes of an administrative forbearance, and may grant an administrative forbearance to borrowers who contact them asking for temporary relief from their loan obligations because they have been adversely affected by a natural disaster. The holder may grant a forbearance for up to 3 months based on the borrower's oral or written request for assistance, and must document the reasons why it granted the forbearance in the borrower's loan file, but does not need to obtain supporting documentation or a signed written agreement from the borrower to justify a forbearance for the initial 3-month period. However, a continuation of the forbearance past the initial 3-month period will require supporting documentation and a written agreement from the borrower.
Broward
Collier
Glades
Hendr
Lee
Martin
Miami-Dade
Monroe
Palm Beach
St. Lucie
Read the eannouncement here.
Note that the provisions for students affected by Wilma ARE NOT the same as those affected by Katrina and Rita. The FSA is pointing students affected by Wilma to the General guidance for helping Title IV participants affected by a disaster letter written to supplement the 2003-2004 Federal Student Aid Handbook and Disaster Letter 99-28
Summary of disaster letter 99-28: Effective immediately, loan holders will decide what constitutes a natural disaster for purposes of an administrative forbearance, and may grant an administrative forbearance to borrowers who contact them asking for temporary relief from their loan obligations because they have been adversely affected by a natural disaster. The holder may grant a forbearance for up to 3 months based on the borrower's oral or written request for assistance, and must document the reasons why it granted the forbearance in the borrower's loan file, but does not need to obtain supporting documentation or a signed written agreement from the borrower to justify a forbearance for the initial 3-month period. However, a continuation of the forbearance past the initial 3-month period will require supporting documentation and a written agreement from the borrower.
Tuesday, April 05, 2005
FSA Hurricane Announcements
Sorry folks, I'm a little behind on the hurricane thing (as regards student help). As a matter of fact, however my hometown of Port Arthur in Texas was one area where Rita came ashore. From what I understand there are still widespread outages as of today, and everyone has to be out of the area by 7 PM. I can't seem to find any information on the internet about how bad off PA is right now- If anybody out there knows of a reliable resource I could check out please email me.
Anyway, the FSA has made several announcements regarding information and help for students, parents of students and teachers who were affected by Katrina and Rita. If you live (or lived) in the affected areas you might want to check it out.
Anyway, the FSA has made several announcements regarding information and help for students, parents of students and teachers who were affected by Katrina and Rita. If you live (or lived) in the affected areas you might want to check it out.
Wednesday, March 23, 2005
contact form
Because of the amount of spam I was getting at my old email address, I decided to go with a contact form in order to thwart the email extracting programs. Please feel free to send me your questions, comments or experiences!
Friday, March 04, 2005
Student Loan Consolidation
You have used up thousands of dollars in student loans to pay your way through college, obtain housing throughout college, and pay for other odds-and-ends while attending college. A student loan consolidation then takes all these different loans, pays for each of them, at which time you then pay the student loan consolidation company for the total amount of loans taken out during college.
Example of Student Loan Consolidation
If you were to have outstanding loans of $5000 to one company, $6000 to another, and $9000 to a third, the student loan consolidation allows you to owe $20000 to one company, rather than to three. This can save you money in the long run, as these companies also may be able to offer you a competitive interest rate, which means you will be paying less overall for your student loans in a shorter amount of time and to only one company.
Potential Student Loan Consolidation Problems
Problems can occur with student loan consolidations if you catch a deal that does not work out favorably to your situation. For instance, if you choose a no-cost student loan consolidation that does not offer you a low interest rate, you could actually end up paying them more than you originally would have! It is important that you choose a company not for their “no-cost” approach, but for their willingness to get your student loans paid off with a consolidation that promotes a quick pay-off with minimal interest rates.
Example of Student Loan Consolidation
If you were to have outstanding loans of $5000 to one company, $6000 to another, and $9000 to a third, the student loan consolidation allows you to owe $20000 to one company, rather than to three. This can save you money in the long run, as these companies also may be able to offer you a competitive interest rate, which means you will be paying less overall for your student loans in a shorter amount of time and to only one company.
Potential Student Loan Consolidation Problems
Problems can occur with student loan consolidations if you catch a deal that does not work out favorably to your situation. For instance, if you choose a no-cost student loan consolidation that does not offer you a low interest rate, you could actually end up paying them more than you originally would have! It is important that you choose a company not for their “no-cost” approach, but for their willingness to get your student loans paid off with a consolidation that promotes a quick pay-off with minimal interest rates.
Subscribe to:
Posts (Atom)