Category: Student Loans


On Paying Off Student Loan Debt

Filed Under: Student Loans, Uncategorized by Don Weststein — Comments Off
October 11, 2011

It cannot be denied that the most desired jobs today require at least a bachelor’s degree. This is the reason why parents invest so much in ensuring that their children only get the tertiary education that only the best schools can offer. Never mind that it may lead them to acquiring the recorded average student loan debt, recorded at $23,200 in 2008 by Forbes. What is important is that their children graduate and go on to good jobs and they can eventually repay more or less the average student loan debt.

As the average debt increases 6% annually as per Institute for College Access and Success, programs are being created for student loan debt relief. This has been an alarming issue and the introduction of the programs is good news for both parents and students. Student loan debt consolidation is one option offered wherein all loans are bulked into one payable. A fixed-rate interest is given on top of newer, lower rates. Parents or students will only have to worry about one monthly payment. This helps better manage student loan debt.

Student loan debt forgiveness is another option. If you have chosen any of these industries: military, academics, healthcare or law, they can be offered partial or full amnesty from student loan debt.
The best options, however, are the ones where you do not accumulate any debt at all. Apply for grants and scholarships that will fully shoulder your college expenses. If the grant or scholarship you pass for can only shoulder part of the amount, take on part-time jobs to pay for the remaining expenses. You will find fulfillment as well in being able to fund for your own education.

It takes a good plan, hardwork and money to get a decent education. With the current issue on racking up such expensive average student loan debt, it should serve as a lesson for those who have yet to step into college. To understand student loans better, make sure to visit About-Student-Loans.com.

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Tips on Applying for Personal Loans

Filed Under: Student Loans, Uncategorized by Don Weststein — 1 Comment
September 12, 2011

When it comes to finances, one can never be too careful. There will always be risks that can be avoided with proper planning and preparation. This means that applying for a loan should not just stop at knowing what the interest rate is. It should also involve other aspects in your life that will be affected by this financial decision.

One of the main things that you have to do before applying for a loan is to list down your assets along with your liabilities. Consider how much money you have left available once you pay off your monthly debts and expenses. Does it leave you enough for your savings? If yes, then you are one step forward.

Once you have decided that you are financially capable of paying off a loan, you have to look for a lender who you can trust. You can shop for these lenders online. While you are at it, do a little research about the financial institution. Consider their merits and their customer support.

To find the right lender, you have to compare their terms and think about which one will benefit you the most. In comparing, consider not only the interest rates but also the repayment terms as well. Opt for a fixed monthly payment instead of a variable one. Fixed payments will give you more control over your budgeting since you know how much to allot for each month.

As far as interest rates are concerned, secured loans have much lower rates compared to unsecured ones. Secured loans require collateral from you. If you have a property, offer it as collateral and you will get a lower interest rate.

When you have settled for a decision regarding which lender to transact with, it’s time for you to get together all the application materials you need. Gather all the supporting documentation including your income, liabilities, and your assets.

Always remember to check the loan documents once they are ready. The terms that you have agreed with the lender should be represented clearly and honestly in the documents. Sign off on the loan only when you are convinced that the terms are clear and well understood.

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Student Loan Requirements

Filed Under: Student Loans by Don Weststein — Comments Off
December 6, 2010

Students who take out loans for make up just under half of the academic population. Each college or university has an enrollment program that every one who applies is responsible for filling out in a proper manner. The basics start with the actual application to the institution the student is applying to. Then there is the FASFA application that signs students up for any grants they might be eligible for. Every full time student is awarded the Federal Stafford Loan upon application, which is distributed FFELP, or the Federal Family Education Loan Program. Online, the application is called MPN, or Master Promissory Note to which the applying student agrees to pay back six months after their graduation date.

Tip: If you’re looking into student loans, you should definitely check out the Pell grant requirements.

In order for the student to qualify for the Federal Stafford they must be in the class for no less than the given amount of part time hours assigned. Yes, this means that Stafford has their own student loan requirements. They also must be a full US Citizen or have a permanent citizenship if they are foreign. Another loan available through some schools is called the Perkins Loan, which is taken directly from the school’s own funds. The Perkins Loan is for those students who are considered to be in poor income situations and meet the min grade of requirements within that particular loan’s program. Other student loan requirement will be categorized under the private or personal student loan.

These are the loans that are obtained through personal lenders such as private facilitators and banks. The requirements for loans from these facilitators will depend on certain criteria that have been set up by that particular institution. Private lenders will view the student’s credit rating where applicable. If a credit rating has not been established, however then they are likely to require a co-signer to complete the application process. Also, certain financial institutions might require a certain amount of capital be paid up front for the loan to be accepted. Other requirements will depend solely on the expectations of the lender or bank being borrowed from.

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Can I Go Bankrupt On My Student Loans?

Filed Under: bankruptcy, Student Loans by Don Weststein — Comments Off
April 1, 2010

You should be given a pat on the back and congratulated for taking such a huge step in life and going to college and earning your degree, but rather you were faced with what seemed like endless amount of student loan debt that you’ve been struggling since day one to pay back.

College was expensive and its not seeming like it was as worth it as you had previously imagined, for now at least. Your not paying your bills on time and your credit is suffering, you need to examine your options and discover the steps you can take to help rid yourself from debt. You only have a few things to closely consider. I’m sure you’ve asked yourself and possibly others this question; Can I file bankruptcy on my student loans? The answer is, it depends!

You have the option to take out another loan to pay back this loan but perhaps leave yourself in more trouble in the future unless you can find a better paying job.

You can declare bankruptcy and face a huge loss in your credit score and be faced with problems when shopping, taking out a loan, or using your credit in even the simplest ways possible.

Finally, you can get a student loan consolidation loan. Based on your options you might be seeing bankruptcy as a plausible solution to your current situation but it’s strongly suggested that you look into student loan consolidation first because it could save you a tremendous amount of trouble. Bankruptcy should always be your last option and should never be considered as your way out.

Your not a business, your an individual. When a business goes under and declares bankruptcy, often times the individual or owner of the business will have no long lasting damages or affect, but declaring bankruptcy as an individual is going to affect you for the next ten to fifteen years of your life and could become one of your biggest regrets in life.

But since the bankruptcy laws have gotten tougher, it’s likely you couldn’t go bankrupt on a private student loan. And everyone knows you can’t go bankrupt on a federally backed student loan, don’t they?

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