Education Articles from College Matching Service

If you are reading this article, there are high chances that you are one of those hundreds of students, who would like to pursue higher education for vastly improved career prospects, but are unable to pay the exorbitant fees charged by educational institutions. If this is the case with you, then you have come to the right place. In this article you will get an idea about the loans for education provided by the Government.

Going to the government is a good idea when you are in need of a loan for education, because every year the U.S. Department of Education gives out over $67 billion as educational loans, campus-based aid and grants. Now before we move on to the process of applying for a federal loan, you will need to know the eligibility requirements for getting the loans. They are-

• You should qualify for financial need (some loans do not require this condition to be met)
• You must possess a General Education Development (GED) certificate, diploma from high school or at least a pass a test that has been approved by the U.S. Department of Education
• You must be studying towards earning a degree or a certificate
• The program for which you need the loan, should meet the eligibility requirements set by the U.S. Department of Education
• You must be a citizen of the U.S.A or at least be an eligible non-citizen
• Your past academic performance should have been satisfactory
• You should not have been convicted under the state or federal law for the possession or sales of drugs

Moving on to the actual process of application, you should visit the website of “Free Application for Federal Student Aid” or FAFSA (www.fafsa.ed.gov ). From there you can apply for all kinds of loans, campus based student aid programs and grants. You will find instructions that would guide you through all the required steps and processes. The process of application is divided into three parts:-

• Gathering all the documents and information required for the application process
• Filling your FAFSA in seven steps that would require you to provide details about your school plans, financial information among others
• After having filled up your FAFSA you can periodically visit the website to get various information like the status of your application, the student aid report among others

Tags: Education, Government Loans, loans

In response to the tough economic times and an even tougher job market (unemployment is almost at 10%), the Department of Education has passed a plan that will help college students, past, present, and future with their federal loan repayment program.

This program essentially allows you to reduce your loan payments based on your income. This program caps the monthly payment you are required to pay based on income and family size.

The loans that qualify for this program are, any Stafford, Grad PLUS or Consolidation loan made under either the Direct Loan or FFEL program is eligible for repayment under IBR, EXCEPT loans that are currently in default, parent PLUS Loans, or consolidation loans that repaid a parent PLUS Loan. The loans can be new or old, and for any type of education (undergraduate, graduate, professional, job training)

For more information on the qualifications for this program, checkout this Department of Education website, Student Aid on the Web.

Also, the interest rate on federal Stafford loans, the most widely used federal student loan, will be reduced from 6% to 5.6%. Furthermore, by 2012, that rate will be decreased to 3.4% by mandate from Congress. That means great things for students who will be using federal student loans to fund their education over the next few years.

Studying abroad has become easier with more and more institutes offering scholarships and funds for the students. You no more have to be super-rich to go abroad to pursue your higher education. There are many forms of financial aids available that can help you realize your dream. Here are some of the smart ways that you can opt for to fund your education abroad. 

Scholarships: 

Scholarships are perhaps the most sought after form of financial aid. There are many universities abroad that offer scholarships. This form of funding is more in demand because here you do not have to repay the amount. You must make a thorough research on such institutes and apply for scholarships. Prepare a perfect and error free scholarship application and send it to the review committee for consideration. 

Loans: 

Another smart way by which you can fund your education abroad is by applying for loans from banks. Almost all the banks offer education loans for student’s education abroad. One major benefit of this type of education loan is that it gives you or your parents/ guardians the benefit of a tax deduction. The entire amount of the interest paid for a period of eight years is tax deductible. You need not worry about repaying the loan till you are studying. You can always complete your studies and then repay.   

Working: 

This is an extremely interesting option. You can apply for an assistantship as part of your course and get a visa that will allow you to study and work simultaneously. You can study abroad and at the same time work to fund your course fees. Many countries like UK and Australia are making moves toward easing the restrictions on foreign students who work while studying. The pay package that they receive is very good to assist them with their education. 

Sponsorships: 

Sponsorship is yet another smart way to fund your education abroad. This is the method in which you can get your education funded through someone you know, or through a relative, are other available options. This option is however not possible for everyone.