Phoenix, AZ (PRWEB) November 14, 2005
The time to get your Federal student loans applications completed and submitted is fast approaching. Federal Student Loan Solutions is issuing a reminder to individuals seeking Federal financial aid for college concerning deadline dates and maximum amounts for specific types of Federal student loans. The deadlines for Stafford loans and Federal Parent Plus loans are almost upon us and it is advisable to make your application as soon as possible.
Stafford Loans are one of the most affordable ways to pay for school. Stafford Loan rates are lower than other forms of private consumer financing, and repayment is postponed until you are out of school using forbearance or deferment. The maximum loans for undergraduate Stafford loans are as follows:
1st Year: $2,625 (up to $6,625 if over 24 or if parent is turned down for a Parent Plus Loan)
2nd Year: $3,500 (up to $7,500 if over 24 or if parent is turned down for a Parent Plus Loan)
3rd Year: $5,500 (up to $10,500 if over 24 or if parent is turned down for a Parent Plus Loan)
4th Year: $5,500 (up to $10,500 if over 24 or if parent is turned down for a Parent Plus Loan)
Graduate Stafford Loans:
Stafford loans for graduate students have higher loan limits than Stafford loans for undergraduate students.
$18,500 Per Year, with a limit of $138,500 including undergraduate Stafford Loans.
It is recommended that students seeking Federal Stafford loans for the school year beginning January 2006 should complete the FAFSA (Free Application for Federal Student Aid) and have their Stafford Loan application completed by November 30th 2005. Students seeking Federal Stafford loans for the school year 2006 – 2007 should file paperwork no later than May 31st, 2006.
Parent Plus Loans:
A Federal Parent Plus Loan allows parents to borrow up to the total cost of attendance for each year a child (student) is in school. It is not a need-based loan and more importantly, it is available year round—even if you have already paid tuition and education expenses. The Federal Parent Plus Loan is a smart financial strategy and it ensures that costs are met at very low interest rates and excellent terms.
The annual limit on a Federal Parent Plus Loan is equal to the cost of attendance as certified by the school, minus any other financial aid being received by the child. There are no other financial limitations, but the parent must pass a credit inquiry. In the event the parent cannot pass the inquiry an endorser (cosigner) may be used, or the student will qualify as an independent student for higher Stafford awards.
Parents who may have already paid in advance by cash, taken out a second mortgage on a piece of real property or put the tuition cost on a credit card, can still apply for a Parent Plus loan. In this situation the money from the Parent Plus Loan would then go directly to the parent to do with as they wish.
Students or parents of students seeking Federal Financial aid should contact Federal Student Loan Solutions via their website http://www.fsls.net or by calling their loan specialist at 1-888-347-8833.
About Federal Student Loan Solutions:
Federal Student Loan Solutions are experts in student loans and can guide parents and students through the frequently confusing route to securing both federal and private education loans. Federal Student Loan Solutions offers the opportunity to have a personal advisor with a vested interest in helping you manage your education loan portfolio. For more information visit http://www.fsls.net or call 1-888-347-8833.