Graduate of the University is the easy part. There is an "adult", which is difficult, especially when a freshly minted graduate noted that it depends on his first step into adulthood full independent with an average of 20,000 U.S. dollars of student debt in his neck .
Student Loan "Grace Period" six months after graduation. Cleaning after graduation ceremonies and the elimination of year-end high-spider shows the spirit that any new federal mandate has completed six months grace period for repayment of the total obligation of student loans ... or to refinance debt consolidation of student loans on time.
Student Loan Consolidation. The student loan consolidation includes some simple but important rules. Only graduates can consolidate. Current students are excluded from the consolidation of student loans.
* Student Loan Consolidation Rule # 1 Identify 100% of your outstanding student loans college. Why 100%? The government allows only a single student loan consolidation. Remember to include one to borrow and you get nailed. The National Student Loan Data System maintains a database, where your loan will be registered version of the story.
* Student Loan Consolidation Rule No. 2 Time Matters. Consolidate student loans, your on demand or before June 30 Received, if you want to avoid driving to potential increases in interest rates.
* Student Loan Consolidation Rule No. 3 New graduates are a period of six months after graduation provided. Identify, for example, your entire portfolio Stafford student loans and then consolidate student loans at a stroke ... a time and you will get 0.6% off interest rates on the scale. This reduction can save serious money over time.
* Making student loan consolidation in mathematics is based on mathematics ... as the weighted average of all loans outstanding, then rounded percent lead in the rates 1:08 consolidated student loan interest. All this occurs before June 30 consolidation of the year you apply.
Where are the lowest cost student loans? Thank you Big Government ... the best student loan rates that you get the federal Stafford, Perkins or PLUS student loans are issued. Government-sponsored plans and related services to these students Stafford loans offer loans offer interest rates lower than private market lenders can work with flexible repayment terms of the loan. Why? Unlike a personal loan, transfers from the federal student loan part of the risk of the borrower for the government ... leading to lower cost of funds.
Personal credit checks are always necessary background? Not all students or their parents, necessarily has the cash or credit history of a good student loan lenders to satisfy. The good news is that "No Child Left Behind" and the U.S. commitment to higher education ... contracted a marriage with lenders profit ... create a secondary market for bad credit loans for students. Risk-adjusted, the cause of bad credit loans for students at the expense of slightly higher interest rates are generally used to pay stiff, and still offer longer repayment terms, which lowers the monthly out of pocket costs . Meanwhile, Federal Perkins or Stafford loans are "credit neutral" and do not require background credit check to qualify for a student and his family.
Federal student loans and sources of private loans - pros and cons. Historically available federal PLUS, Perkins or Stafford student loans are more flexible and government support, the lowest interest rates and repayment rates. Until 2006 could be the obligations of the Federal Republic of Germany "variable" ... where the interest rate next year ends on the market for government bonds in a trading period over the first 90 month of June. The new "variable rate" becomes effective July 1 of each year floating rate loans for all the past. For example, at your expense 2006 Federal Ministry of student loan rate for the variable of interest 6.54%.
* Congress passes new "fixed" student loan rates. Because of the new legislation by Congress, all "new" Federal Stafford Loan from July 1 will be awarded starting in 2006 is now "fixed" at 6.8%.
Fine Print - What is the student loan discount right? College Student Loans "offer" requires a combination of concentration and revision of documents, to decipher the true nature of "discount". In the words of Albert Einstein: "God dwells in the details" and then for a student loan documents.
* Example of practice. For example, "discounts for timely payments" may seem attractive ... But what if the rate of interest deduction "reward" occurs only in retrospect, after 4-5 years? Missed a payment somewhere in the time-current and hop ... the discount disappears. Or reductions apply only to certain parts of the loan ... in other words, you are "full rate" essentially all the loans to pay life, and the discount applies only to a part of the life of the loan. The result? Announced a 1.25% "discount" is actually only worth 0.25% if you discount the analysis. A useful site for families in the "fine print" of the costs of student loans is www.finaid.org concerned.
