Friday, February 19, 2010

graduate student loans

Graduate student loans financial aid
Compare graduate student loans for graduate and professional degree students. Learn about the graduate student loans as your financial aid option.

A higher education is very important. The completion of your bachelor's degree will give you a chance to reach a better opportunity for your future. A higher education can improve your employ-ability. Graduate student loans industry has seen this indication based on the global economic circumstances.

Graduate student loans are unsecured loans which mostly have the lower interest rates and easy to apply. Graduate student loans are not required any collateral or a proof of your income. A graduate student loan, even cheaper than a personal loan, is more expensive than an undergraduate student loan.

Graduate student loans are provided by the federal government and private lenders such as banks and other financial institutions. Graduate student loans will cover all your educational costs to complete your education.

Before you go to graduate school, it is better for you to clear your previous student loan and improve your credit history. You must prepare yourself and make your calculation before attending college, including the total costs of your education, your budget in order to making loan monthly payments, and your possibility to pay off the loan after graduation when you get your salary or income from your career based on your major degree.

There are several types of graduate student loans offered by various lenders that provide different options. The following are some of the options available on graduate student loans.
  1. Federal Graduate Student Loans.
    The federal graduate student loans are directly funded by the federal government under the U.S. Department of Education through the William D. Ford Federal Direct Loan (Direct Loan) Program. You can get the federal graduate student loans through your school or go directly to the website of the Federal Student Aid.

    Federal graduate student loans are designed for graduate students who really need graduate student loans. Federal graduate student loans do not require students to pay back the loans while they are in school. Federal graduate student loans have the lower rates which benefits students who do not have too much funding resources.

    The advantage of federal graduate student loans instead of private graduate student loans is the ability to repay the loan based on your income which will benefits you to making the monthly payment less than a quarter of your monthly income. There is loan forgiveness that possibly for you if you work for about 10 years in the field of the public services, or if you have a low income 25 years continuously.

    Generally, to be eligible to get federal graduate student loans, you should fill out the Free Application for Federal Student Aid (FAFSA) which requires you to inform the government agency by giving your personal information, including your salary, your savings, and the loan amount you needed to cover your educational costs.

    1. Direct Stafford Loans.
      The Federal Direct Stafford Loans for Graduate Professional Degree Students are low-priced and commonly available to the graduate students who want to continue their education impatiently. Direct Stafford Loans consist of Direct Subsidized Loans and Direct Unsubsidized Loans. Beside fill out the FAFSA, you should also complete the Master Promissory Note. Your eligibility will be determined by your school. The Federal Direct Stafford Loans can be combined with another federal student loan to the Direct Consolidation Loan to save money.

    2. Direct PLUS Loans for Graduate and Professional Degree Students.
      The Federal Direct PLUS Loans for Graduate and Professional Degree Students may be more expensive than Stafford loans as your last choice when you hard to obtain a loan from elsewhere. Direct PLUS Loans for Graduate and Professional Degree Students will cover all your educational costs including your tuition and living expenses.

  2. Private graduate student loans.
    Private graduate student loans or alternative graduate loans are provided by private lenders which have no relation with the federal government. But, previously the private lenders offered the federal student loans through the Federal Family Education Loan (FFEL) Program. The private lenders who provided private graduate student loans are consist of companies such as banks, credit unions, and other financial institutions. Graduate students who needed for some extra cash to cover all expenses can apply online for private graduate student loans after they get the loan amount from the federal graduate student loans. But, mostly private lenders will require you to pay some fees when you apply for private graduate student loans which also have a higher price than federal graduate student loans.
You can get some graduate student loans now that may available for you from the list above to continue a higher education. Try to contact the financial officers at your school to understanding about the graduate student loans and ask for their advice to get the best deals that suits your needs.

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