<p>Hi, I was wondering about the differences between the subsidized loans and the perkins loans. Is perkins loans where you don't have to pay any interest until about 9 months after graduating, etc.? And is subsidized loans when you always have to pay interest? I'm trying to decide which would be better to go with. I do know subsidized loans have a smaller interest rate than perkins loans.</p>
<p>
No, federal pays the interest while you’re (at least) half-time student.
The interest rate on sub. loans will go up to 6.8% after 7/1/2013.</p>
<p>Some clarification here. A perkins loan IS a subsidized loan, as apposed to a Stafford unsubsidized loan. Both are federal programs. </p>
<p>You don’t have to decide which one to take. You only get a perkins loan if you qualify and its part of your FA package. If you must take out a loan, take as much perkins as you can get…its cheaper. After that if you still need to borrow use the Stafford.</p>
<p>When subsidized Stafford loan rate goes up to match the interest rate of unsubsidized loans, the interest will be higher than on Perkins loans.</p>