Why You May Have to Repay Part of a Grant

Unlike loans, grants do not usually have to be repaid. However, there are two reasons why you may have to repay part of a Federal grant:
1) The amount given to you was more than you were eligible to receive (this is called an over-award). This can happen if the school makes an error when calculating [...]

Posted on January 22, 2010 at 4:46 pm by admin · Permalink · Leave a comment
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Bankruptcy and a Federal Student Loan

By Richard Shelmerdine

If you are looking for information on bankruptcy and a federal student loan then you have come to the right place. You may feel that your federal student loan is making your financial life hell at the moment but it does not have to be like that. Bankruptcy is and should always be [...]

Posted on June 18, 2009 at 4:30 pm by admin · Permalink · Leave a comment
In: Student Loan Default, Student Loans · Tagged with: ,

The Direct Consolidation Loan Program offers four repayment plans

The Direct Consolidation Loan Program offers four repayment plans with various term selections:

Standard Repayment Plan – Under this plan, you will pay a fixed amount of at least $50 each month for up to 10 to 30 years, based on your total education indebtedness. This plan may result in lower total interest paid when compared [...]

Posted on May 13, 2009 at 3:57 pm by admin · Permalink · Leave a comment
In: Student Loan Consolidation, Student Loan Repayment · Tagged with: 

What you need to know about repaying student loans

After you graduate, leave school, or drop below half-time enrollment, you have a period of time before you have to begin repayment. This “grace period” will be
* six months for a Federal (FFEL) or Direct Stafford Loan.
* nine months for Federal Perkins Loans
The repayment period for all [...]

Posted on May 12, 2009 at 3:35 pm by admin · Permalink · Leave a comment
In: Student Loan Repayment · Tagged with: 

Repaying Defaulted Student Loans Held By a Guaranty Agency

Under the Federal Family Education Loan (FFEL) Program, after your student loan is placed in default by the holder of the loan, an insurance claim for the amount of the loan is paid by the guaranty agency (the organization that administers the FFEL Program for your state) to the holder of the loan. To find [...]

Posted on April 30, 2009 at 2:33 pm by admin · Permalink · Leave a comment
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Your student loan may be discharged (forgiven) if you become totally and permanently disabled

*  Your student loan may be discharged (forgiven) if you become totally and permanently disabled. If a physician (doctor of medicine or osteopathy) certified that you are totally and permanently disabled and you meet other requirements during a 3 year conditional discharge period your loan(s) may be discharged. It is important to note that: You [...]

Posted on April 28, 2009 at 12:33 pm by admin · Permalink · Leave a comment
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Can I consolidate my loans if I am enrolled in school?

Yes and No. Effective for Direct Consolidation Loan applications received on or after July 1, 2006, borrowers who are enrolled in school cannot consolidate loans that are in an in-school status. These are loans that have not yet entered or used up the 6-month grace period entitlement.
Borrowers still can consolidate loans that are in grace, [...]

Posted on April 22, 2009 at 2:53 pm by admin · Permalink · Leave a comment
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Consolidate Perkins Loans into a Direct Consolidation Loan

It is possible to consolidate Perkins Loans into a Direct Consolidation Loan if borrowers include at least one Direct Loan or Federal Family Education Loan (FFEL) in their request. Perkins Loans cannot be included in a Direct Consolidation Loan by themselves. Furthermore, all Perkins Loans consolidated into the Direct Loan Program will be included in [...]

Posted on April 22, 2009 at 2:49 pm by admin · Permalink · Leave a comment
In: Student Loan Consolidation · Tagged with: 

Borrowers Currently Enrolled in school can no longer Consolidate Their Loans

The Higher Education Reconciliation Act of 2005 eliminated the provision that allowed a FFEL or Direct Loan borrower who is enrolled in school on at least a half-time basis to request to enter repayment early on his or her Stafford Loans if the lender approves. Repayment is now defined as not beginning until 6 months [...]

Posted on April 22, 2009 at 2:43 pm by admin · Permalink · Leave a comment
In: Student Loan Repayment · Tagged with: 

Student Loan Repayment period

Repayment of Consolidation Loans begins within 60 days of the disbursement of the loan. The payback term ranges from 10 to 30 years, depending on the amount of education debt being repaid and the repayment option you select. Education loans not included in the Consolidation Loan are considered in determining the maximum payback period. You [...]

Posted on April 22, 2009 at 2:24 pm by admin · Permalink · Leave a comment
In: Student Loan Repayment · Tagged with: ,