Going to college will soon be even more expensive.
At a time when rising tuition costs already weigh heavily on future graduates and their families, Congress recently passed a law raising interest rates on student loans and cut $ 13000000000 loan program Federal student. At these prices, promises a significant impact on the cost of paying the student loan debt in the coming years is.
The bill impacts Stafford Loan popular because they require no credit check or test the requirements for PLUS loans for parents of dependent students, regardless of financial need.
Under the new legislation, the interest rate on new Stafford loans to 6.8% from the current rate of 5.3% jump, while the rate is for new PLUS loans to 8.5% from the current rate of 6 , 1% jump. Both rates are fixed.
At a time when rising tuition costs already weigh heavily on future graduates and their families, Congress recently passed a law raising interest rates on student loans and cut $ 13000000000 loan program Federal student. At these prices, promises a significant impact on the cost of paying the student loan debt in the coming years is.
The bill impacts Stafford Loan popular because they require no credit check or test the requirements for PLUS loans for parents of dependent students, regardless of financial need.
Under the new legislation, the interest rate on new Stafford loans to 6.8% from the current rate of 5.3% jump, while the rate is for new PLUS loans to 8.5% from the current rate of 6 , 1% jump. Both rates are fixed.
The average cost of tuition, room and board amount to more than double the inflation rate over the past eight years. These increases have meant firing the student loan debt, more than 70% of $ 11,400 in 1997 rose to over $ 20,000 in 2005.
The good news for recent graduates or students who graduated this spring is still setting a low fixed price. But there is not much time. It is expected that interest rates rise from 1 will be held this July, 30 June 2006 will be consolidated loans.
"Time is absolutely critical, especially for graduates of this year," said Frank Ballmann, student loan expert and executive vice president of the consolidation direct education leader. "We must act quickly after the end of the receive before July 1, prices rise to about 1.5% based on July 1, on current interest rates."
Ballmann offers the following tips for students and their parents:
• Students pay $ 20,000 in student loan debt would be an additional $ 300 in interest next year, based on the recent rise in interest rates if you can not do in the lock on the current loan rate consolidation.
• The interest rate on loans may be a fixed rate, while it takes you to pay your loan closed.
• Consolidation saves money and time to lower monthly payments with a single fixed interest rate and simplify the process of repayment of loans with a monthly payment.
• No fees or credit checks to consolidate student loans, and is free and a right of borrowers of federal loan programs of the program, is allowed in the Higher Education Act.
Related Articles: Private Student Loan Consolidation Calculator
0 komentar:
Post a Comment
Thanks for Comment