Federal Student Loans versus Private Student Loans which is best for me

•Parent Loans or Student Loans what is going to be best for my child
?   by Vanessa McHooley?At least 20% of college students need some type of loan to help pay for their college education. Such a statistic can lead to students graduating with an unmanageable debt load. An alternative is for parents to help out by taking out loans themselves. But which is the better option – student loans or parent loans? Each has distinct advantages and uses.Federal student loansFederal student loans have the lowest interest rates and best repayment options. If you need to...

•Private Student Loans dispelling the myths
   by Vanessa McHooleyIf savings, grants, scholarships, and federal loans don’t cover the cost of your education, it’s time to turn to private loans. But young college students can’t qualify for a private loan, can they? Wrong! This article addresses this and other myths about student loans that you may run into.I don’t have any collateral, so I can’t get a private loan.Private loans are usually unsecured, which means no collateral is required. On the downside, this may also mean a higher...

•Why student loans are better than credit cards
   by Vanessa McHooleyYou need some more money for college expenses this semester. Do you whip out a credit card to pay for your books, or do you apply for a federal or private loan? Well, consider the options –-With a federal loan, your interest rate will be low (around 5%) and your payments will be deferred until 6-9 months after graduation.-With a private loan, the interest rate will be slightly higher than with a federal loan but will still be lower than average. In addition, you will only...

•Student Loan Consolidation How does it Work
?   by Vanessa McHooley?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 loan consolidation?Loan consolidation means bundling all your student loans into a single loan with one...

•Money for College where is it and how do I get it
Money for College – where is it and how do I get it?    by Vanessa McHooleyMoney for College – where is it and how do I get it? College is expensive – but money is available to help you pay the way! By doing a little research and filling out a few forms, you can find money through scholarships, grants, loans, and tuition assistance such as work study. Scholarships There are more than one million scholarships available each year to reward students who have distinguished themselves...

•PLUS Loans it s never too late to subsidize your child s education cost
by Vanessa McHooleyPLUS Loans – it's never too late to subsidize your child’s education costRising. Soaring. Skyrocketing. These are the words that seem to begin every article about college tuition costs – and they are words guaranteed to make every parent cringe. According to the College Board, costs for the 2004-2005 school year at four-year private colleges are up 6%, while costs at four-year public colleges are up 10.5%. Scary? Yes. Impossible to handle? No! The good news is that there is...

•Financial Aid when should I apply for
?    by Vanessa McHooley? Many different types of financial aid are available to you in the form of scholarships, grants, and loans. With billions of dollars at stake, it is important to begin the search process early and to apply on time. Follow these guidelines for applying for financial aid: Three to four years before you plan to begin college…-Review your high school coursework and activities. Colleges will look for challenging coursework, a good grade point average, and extracurricular...

•College Debt how to avoid it and how to get out of it
by Vanessa McHooleyCollege Debt – how to avoid it, and how to get out of itBecause most college students are using loans to finance their college education, the debt level of recent graduates is rising rapidly. On average, students graduate owing $12,000-$16,000 in student loans and another $2,000 in credit card debt. Is this the price you have to pay for higher education, or can you avoid college debt in the first place?The secret to avoiding college debt is to plan wisely and take advantage...

•College Savings Plans are they the best choice for my child
?   by Vanessa McHooley?College Savings Plans, also called Section 529 plans, are one of the best ways to save for college because they offer:-Tax advantages-A variety of investment options-Flexible contribution options-Parental control-Little impact on eligibility for need-based financial aidTax advantagesInvestments in 529 plans are usually exempt from federal taxes. Earnings are tax-deferred and are not subject to capital gains taxes. Redemptions are also exempt from federal income tax if...

•Scholarship Search How to find free money for college
   by Vanessa McHooleyCollege students receive billions of dollars in scholarship money every year. How can you get some of this money to fund your college education?Start looking earlyStart looking for scholarships at least by your sophomore or junior year in high school. Some scholarships are even awarded as early as junior high. Where to look? Your first stop should be your high school counseling office, followed by your college financial aid office. Other places to look include-Civic and...