Suppose you've made the required payments on all your loans and want to use some extra money to pay off your debt quicker. How do you choose which loan to pay off first? There are two main strategies for accelerating the repayment of debt. One involves paying down the loan with the highest after-tax interest rate first. The other, popularized by ...

There are a variety of national, state and local programs that encourage families to save for college by providing families with free money. There are two main types of such programs: 1. Birthday Present. Such programs provide contributions of $100 to $1,000 as seed money in the college savings plan when the parents open a new 529 college savings plan before ...

The Hope Scholarship provides a federal income tax credit of up to $2,500 (40% refundable) per student based on the first $4,000 in postsecondary tuition, fees and course materials paid by the taxpayer during the tax year. The Hope Scholarship tax credit is 100% of the first $2,000 and 25% of the second $2,000. The tax credit is limited to the ...

Newspaper headlines suggest that many students graduate from college with hundreds of thousands of dollars in student loan debt. But is this really the case? A new report, Who Graduates College with Six-Figure Student Loan Debt?, finds that only 0.2% of undergraduate students and 6.4% of graduate students graduated with $100,000 or more in student loans in 2007-08. Far from being ...

There are many options for repayment relief for borrowers who are having trouble repaying their education loans. These include deferments and forbearances that suspend the monthly payment obligation, alternate repayment plans that reduce the monthly payments by increasing the loan term, and forgiveness and discharge programs that cancel the loans entirely. Which options are appropriate for you depends in part on ...

Wondering how to maximize your financial aid package? Got a specific student aid question you can't find the answer to? No matter what is its, if you've got a financial aid question, "Kantro" has the answer. Mark Kantrowitz is one of the top financial aid experts in the country and he's answering YOUR questions, here on FastWeb! Nationally recognized and often ...

Your federal student loans are in default and collection agencies are calling you dozens of times a day. They are threatening to garnish your wages, offset your income tax refunds and ruin your credit. They may even have crossed the line into harassment, calling you a worthless person and threatening you with physical harm. Are there any ways of getting out ...

As of June 2010, total student loan debt passed total credit card debt for the first time. According to the Federal Reserve's statistical release, G.19 Consumer Credit, the seasonally adjusted revolving credit totaled $826.5 billion as of June 2010. As much as 98% of revolving credit is credit card debt. Student loan debt outstanding totaled at least $830 billion as of ...

Is your financial aid advice featured in The New York Times? Didn’t think so. Mark Kantrowitz, is nationally recognized as an often quoted leading financial aid expert. With degrees from M.I.T., Carnegie-Mellon and more quotes than Webster’s, he is the financial aid guy’s financial aid guy. Here’s his advice for these tough times. Kantrowitz strongly encourages families to save 1/3 of ...

Rep. Hansen Clarke (D-MI-13) introduced the Student Loan Forgiveness Act of 2012 (H.R. 4170) on March 8, 2012. If enacted, this legislation will provide student loan forgiveness for federal education loans, allow private student loans to be refinanced into federal direct consolidation loans and cap all federal student loan interest rates at 3.4%. This legislation would address some of the calls ...

The US House of Representatives is considering legislation to overhaul the federal education loan and grant programs. The Student Aid and Fiscal Responsibility Act of 2009, nicknamed SAFRA, will increase funding for federal student aid programs and simplify the Free Application for Federal Student Aid. These changes will implement several of President Obama's campaign promises. Switch to 100% Direct Lending Starting ...

I have twin daughters going to college in the fall. The annual tab (for both girls) after scholarships will be $58,000 in loans per year for four years. We have saved $47,000 for the first year and anticipate being able to save about $12,000 per year to apply towards payments over the three remaining years. This leaves us looking for loans ...

My husband earns about $125,000 in salary and I am a stay at home mom. My husband just changed jobs and got his deferred salary and his retirement from 25 years of employment, so last year's income looks huge when it really wasn't. We also have a 19-year-old child with autism who lives in a group situation with social and living ...

If my son applies for public assistance and does his own financial aid, will he be able to apply as independent next year? In addition, (assuming he's able to) would I be able to claim him on my income tax returns this year? He is 19 years old. My goal is to get him as much financial aid as possible. I ...

I applied for a Parent PLUS loan for my son's education starting this fall. I was turned down due to filing chapter 7 four years ago this October. They said I would not be able to get funds until October of 2010. My lawyer, who helped me file chapter 7 said that he believed this was discrimination and not allowed. Is ...

Financial aid is a complicated topic with an alphabet soup of acronyms like FAFSA and EFC, rolling deadlines and (seemingly) endless forms, rules and regulations. But with the state of the economy, you're most likely going to have to get some sort of outside help in your pursuit of higher education. Don't panic! This video will provide you with an ...

A recent research report analyzes the characteristics of the 1.7 million undergraduate students who were able to graduate in 2007-08 without any student loan debt. About two fifths of undergraduate students graduate with no debt and three fifths graduate with less than $10,000 in student loan debt. This analysis yields seven practical tips on what you should do if you want ...

FAQs about Financial Aid Here are some of the most commonly asked questions about financial aid. Topics: 1. General Questions about Eligibility and Applying 2. FAFSA Questions 3. Home Schooling and Financial Aid 4. Divorce and Financial Aid 5. What is the relationship between bankruptcy and financial aid? 6. Miscellaneous and Unusual Questions General Questions about Eligibility and Applying 1. I ...

Last year my family had low income ($40,000) but high assets. The assets include $1 million in properties, other investments, the primary home, car, 401(k), IRA and pension plan. How are the assets counted for determining need-based financial aid? — S.S. Certain types of assets are not reported on the Free Application for Federal Student Aid (FAFSA). For example, the net ...

When I turned in my FAFSA my parents were making a lot more money than they are now. Both my parents were working full time, but now my mom is the only one working for minimum wage, with my dad jobless. Is there anything I can do at this time to change my FAFSA? — Sam W. Call or write the ...