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Many students and their parents have found Federal Stafford
(student loan) and Federal PLUS (parent loan) to be attractive alternatives to
depleting their savings, using current income or borrowing against their home
equity when grants and scholarships do not cover all costs.
The Federal Undergraduate Stafford Loan is a simple interest,
government guaranteed, no collateral loan. The interest rate effective now
through June 2001 is 7.59% while in school and 8.19% after school. The
interest rate is capped at 8.25%. Students may borrow while in school and
begin repayment six months after leaving school or graduating.
| Dependent students may borrow up to
the following amounts: |
| Freshman |
$2,625.00 |
| Sophomore |
$3,500.00 |
| Junior |
$5,500.00 |
| Senior |
$5,500.00 |
| Independent students may borrow up
to the following amounts: |
| Freshman |
$6,625.00 |
| Sophomore |
$7,500.00 |
| Junior |
$10,500.00 |
| Senior |
$10,500.00 |
Get
pre-qualified today and receive an
information kit on CollegePay's Undergraduate Stafford loan. |
The Federal Graduate Stafford Loan is the same as the
undergraduate loan, except that graduate students may borrow up to:
| Graduate |
$18,500.00 |
| Medical* |
$38,500.00 |
Get
pre-qualified today and receive an information kit on
College Loan Corporation's Federal Graduate Stafford loan. |
The Federal PLUS (Parent Loan for Undergraduate Students)
is a simple interest, government guaranteed, no collateral loan. The interest
rate effective now through June 2001 is 8.99%. The interest rate is capped at
9%. Parents may be eligible to borrow up to the total cost of college less all
financial aid received. parents are eligible for the PLUS if they meet the
minimum government credit requirements. Parents begin repayment 30 days after
the final disbursement for the academic year. The PLUS is based on a ten-year
repayment plan with no prepayment penalties. The following are examples of
monthly payments based on the total amount borrowed.
| $5,000.00 |
$63.31** |
| $10,000.00 |
$126.62** |
| $20,000.00 |
$253.24** |
Get
pre-qualified today and receive an information kit on College Loan
Corporation's Federal PLUS loan.
|
Click
Here
*Some medical students are eligible to receive up to an
additional $20,000.00 in eligibility under the Graduate Stafford Program. In
order to qualify, the medical school must have originally participated in the
HEAL Program.
** The minimum monthly payments are based on the interest rate of 8.99%, which
is effective now through June 2001.
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