August 27, 2013
The U.S. Department of Education’s office of Federal student aid will host a live Twitter session tomorrow at 5:00 PM EST to help answer your burning financial aid questions. Check out this post from the Connections blog for more details, and links to other financial aid resources for those who don’t “Tweet.”
August 22, 2013
Another school year has started, and for many students, that means taking out new federal student loans and completing entrance counseling. Now, after having completed the counseling, and reading all the fine print and loan jargon, did any of it really make sense? If you answered no, then we’re here to help!
Taking out federal student loans to pay for your education can be a wise investment, if you understand how to manage the borrowing process. Here are some helpful links for what you need to know about borrowing Federal Stafford Loans:
1. The different types of Stafford Loans that you may have
2. The limit to how much you can borrow in Stafford Loans
3. How you can save a lot of time and money by managing your loan debt as you progress through school
4. The pitfalls of the “refund check” and how you may be required to pay that money back if you make changes to your schedule
5. Learn how to keep track of your federal student loans using the National Student Loan Data System (NSLDS)
And because we love infographs, Nerdwallet.com has created a handy visual aid (see below) to show you how managing your student loans is the best thing you can do for managing your future.
If you have questions on any of these topics, please feel free to contact our Financial Aid department at firstname.lastname@example.org or contact the Financial Literacy team at email@example.com.
July 30, 2013
Your educational expenses play a huge role in overall financial literacy, so it’s important to be aware of any changes to costs or funding as you progress through your program. With that in mind, here are a few important updates regarding recent changes that are happening here at Franklin.
First, effective Summer 2013, Franklin began disbursing financial aid in two installments. This is a change from our previous disbursement schedule, which would apply all financial aid in one lump sum. Please be sure to review the new 2013 fall and 2014 winter disbursement schedules to get a better understanding of when your aid will be applied.
Second, the new 2013-14 tuition rates will go into effect beginning in Fall term. Planning for tuition increases can help you better manage your finances as you move forward in your educational journey, so please review our guest post from the Connections blog to see how you can do just that.
If you have any questions regarding the disbursement schedule or tuition rates, please feel free to contact our Financial Aid Department or post your questions as a comment.
July 26, 2013
If you haven’t heard all of the reports lately regarding federal student loan interest rates, it may “interest” you to know that the rates on subsidized Stafford loans doubled on July 1st. However, the Senate has approved a bill to tie those rates to market rates, which means any undergraduate loans taken out since July 1st will be at 3.9% interest and graduate loans will be at 5.4% interest. These rates will be locked in for the life of any federal students loans taken out during the 2013-14 federal aid year. As ABC News reports, the House is expected to also pass the bill soon, making it all but a done deal.
Although this does help current borrowers, keep in mind that when the market starts to improve, so will these interest rates. If you are not familiar with how student loan interest rates work, or the different types of federal loans that are available, or how you can save money by making payments while in school, please click on each of those links to learn more.
Have questions? Leave us a comment, or email firstname.lastname@example.org.
July 17, 2013
The Pay As You Earn repayment option was introduced in December of 2012 as another way to help loan borrowers make their monthly loan payments more affordable. In a nutshell, borrowers who are eligible for this option will have payments that are based on what they earn rather than what they owe, with payments capped at no more than 10% of discretionary income. Additionally, borrowers may qualify to have the remainder of their student loan balance forgiven after 20 years of repayment – a better option than the 25 year forgiveness being offered under other repayment plans!
To learn more about this repayment option and to find out if you qualify, check out this webinar clip brought to you by iGrad and student loan expert Heather Jarvis: