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Complete, Concise Federal Loan Programs Info

May 15, 2009

As soon as a student begins their college search process, they meet
their biggest adversary: money. Unfortunately, money only complicates
things for students searching for the perfect school. Throw in words
like “unsubsidized Stafford loan” and they’re ready to quit college before it
even starts. However, Kantrowitz has a great way of simplifying federal
loan programs for students.

The Stafford Loan is a loan for the student, which does not necessarily
require good credit history. PLUS Loans are loans for parents to take out
for their children. And the difference between subsidized and unsubsidized?
After filling out the FAFSA, a student will be determined “needy” or “not needy.”
Students that demonstrate need qualify for the subsidized loans while
students who do not qualify for need (even those that are super wealthy)
can still take out an unsubsidized loan.

As your guiding your students through the financial aid process, encourage
them to use the federal loan programs available to them. Here’s why:

  • Federal loans are cheaper
  • More available
  • Have better repayment plans


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