The Pro’s of Getting A federal student loan

As many students know, financial aid will not cover an entire secondary education.  The next option is student loans, federal student loans.  Are these better than other student loans?

I will first discuss the pros of federal student loans.  When I say pros, I am really referring to federal student loans through the government.  One advantage of taking this route is that you will not have to make payments on your student loan until you graduate.  This also applies if you have to leave school, or change your enrollment status to half-time.  A second advantage of going through the government for your student loans is that the interest rates are fixed and in most cases offer better interest rates than some of your credit cards.  A third advantage of federal student loans is that while you are in school and still enrolled as a full-time student, odds are you will qualify for a subsidized loan.  This type of federal loan is when the lender pays the interest for you, but as I said before you must still be considered a full-time student.  Another advantage of federal over private is that in most cases you will not have to have a credit check.  This is very helpful when you don’t have any credit or maybe due to a catastrophe your credit is bad.  Thus you will not need to have a co-signer for these student loans.  However, if you are applying for a PLUS student loans, this particular criteria may not hold up to the test. You could in fact need a credit check and co-signer.  Another pro of these loans is that the interest is tax deductible.  Since you will have to take a student loan out for every semester term you are in need, when you graduate you can consolidate all of these into one Direct Consolidation Loan.  This can help to lower interest rates, payment amounts, and terms.  A huge advantage of federal student loans, which brings tremendous relief to many borrowers, is if you have trouble paying for your student loans, you can temporarily suspend them or even have your payment amount reduced.  Federal student loans make it possible for several different repayment terms, as well as to link your student loan repayment based on your individual income.  If you are able to and decide to pay your student loans off early, there is no prepayment penalty.  Life happens, and usually in the times you can’t afford them to.  In catastrophes, you can even qualify for student loan forgiveness on the entire loan or a part of it.  There is help out there all over the web about federal student loans.  You can use these as resources in order to make an informed decision, or you can call 1-800-FED-AID.


Really the only con there is to obtaining a federal student loan to finish your education is that you are unfortunate to have to take one out in the first place.  But, hey face it students.  Not all families are blessed with fame and fortune.  I feel that you can make your own luck and fortune by making the wiser decisions.  This one is really a no brainer.

This concludes my blog about federal student loans.  I’m anxious to hear from all of you, and your experiences with federal student loans.  I only have an opinion to make and to give some run down facts about federal student loans.  I am in no means an expert, and am not qualified to tell you what to do.

Until we meet again, good day friends!!!!!!!!!!!