pvdude Posted January 16, 2013 Share Posted January 16, 2013 Assuming you could get a better rate wish a private loan ( suntrust, discover), is there any reason to pick federal loans? Private loans seem to offer attractive rates with no origination fee. Is there a catch? thanks Link to comment Share on other sites More sharing options...
kagildersleeve Posted January 16, 2013 Share Posted January 16, 2013 Yes, there is a catch. There are a bunch of threads already on this topic, just go to the financial aid section and read away!! Link to comment Share on other sites More sharing options...
pvdude Posted January 16, 2013 Author Share Posted January 16, 2013 This is the financial aid section, and the government loans have changed since last year. They no longer offer subsidized loans. Link to comment Share on other sites More sharing options...
jdobbs Posted March 21, 2013 Share Posted March 21, 2013 I decided the benefits of a private loan outweighed the risks. Through Suntrust I was able to get 10 years fixed @5.6% with zero fees and 6 month post graduation deferment. That rate could decrease by 0.5% during repayment if you enroll in automatic payments. I think forbearance might be a little better with goverment loans and if you work for a non-profit for 10 years you might qualify to have your loans forgiven. If you are uneasy about the idea of taking 100% private, one option might be to take out all of the Stafford and then use private loans to satisfy the difference of your cost of attendance. I am not a fan of grad plus loans. They have high fees and interest. Link to comment Share on other sites More sharing options...
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