Frequently Asked Questions About Student Loans

Below are answers to some of the most frequently asked questions about student loans.

I think I make too much money, should I apply for a Federal loan anyway?

Yes. Don't deprive yourself of the opportunity of the advantages of a student loan out of fear that you may not qualify. The application is free, so you have nothing to lose by trying.

Do I have to be in school already before I can apply?

No, you don't, but you will have to be enrolled at the university before funds will be disbursed to you.

What if I drop below part time for one semester?

There are ways to defer payments of your loan if you must, for certain reasons, drop below part time status in school for one semester as long as you continue at least part-time education the very next semester. Speak with your lender about various options and circumstances that will allow this.

What is a PLUS Loan?

The PLUS loan is a student loan that parents take out on behalf of their kids that acts in the same way as a standard student loan. This allows parents to help their children pay for school and not have to worry about making payments until after graduation.

If I get a scholarship, will that affect my loan?

Possibly. That information will probably reduce the amount of subsidized loan that is made available to you, if any.

Do I have to take the full amount that I am approved for?

No, and it is recommended that if you can get by on less than you have been approved for, you should do so in order to minimize your debt load once you graduate.

Another option to consider is private education loans.