Second degree student at GWU -- financial options?

<p>Hello everyone!
I was recently accepted into GWU's accelerated nursing program, which is starting this January. I'm a recently divorced, non-traditional student and I will be moving to Northern Virginia this month.</p>

<p>Because it's a second degree bachelor's program, the only financial assistance they're willing to offer is the $12500 Stafford Loan for the duration of the program, which is a total of 15 months. I'm also applying for a scholarship in which I can potentially earn another $2500-10000, but I'm not going to consider this, as I have no idea if I will get it.</p>

<p>I am an independent student, as I've mentioned, and will not be receiving assistance from my parents or anyone else. My boyfriend will be moving with me and will be working full-time; however, who knows how long it will take him to get a job. He's in the medical field, so I'm hoping that it won't be too difficult, but neither of us know about the job market down there, so, again, we'd rather err on the side of caution.</p>

<p>I spoke with Wells Fargo this morning, as I'd read that their rates are sometimes pretty good; however, they suggested a $40k loan with a 7.8% fixed interest rate (or a 4.9% variable interest rate). That doesn't seem particularly impressive. I went to a State University of New York school for my first bachelor's degree, so I don't have too much experience with loans. My credit score is around the 800 mark (it was 860 last year and closer to 799 early this year when I had it checked to move to a new apartment; I imagine it has gone up since then) so getting a loan should not be an issue, but I am just wondering what private loans I should look into to get good rates, terms, whatever other benefits that could help me. I do have savings to get me through the 15 months, but would like to come out of this with some of that intact, in case of an emergency.</p>

<p>If anyone has any suggestions, it would be greatly appreciated. Thanks so much for your help.</p>

<p>SD</p>

<p>Check back with GWU, and ask if they can give you referrals for private student loans. Then speak with your own bank or credit union about personal loans. Sometimes those have more favorable terms.</p>

<p>Hi Happymomof1,</p>

<p>Thanks for your reply.</p>

<p>I spoke with GWU Finaid this morning, and they told me that the law forbids them from suggesting a particular source for private loans. I don’t know if this is true, but the man I spoke to was pretty adamant about it.</p>

<p>I currently use BoA and I know they’re notorious for having high rates, but I suppose it would be helpful to speak to someone, so I’ll try to head in there one day next week.</p>

<p>How much do you have saved? The more you can put off taking on debt, the better off you’ll be. Could you pay for the first semester out of savings, which might give your boyfriend enough time to find a job and reduce some of your living expenses?</p>

<p>I would have enough to pay for the first semester completely out-of-pocket, but that would leave me with almost no savings, which would make me nervous. One semester is about $15k in tuition, I have about 20k in savings. I know that I can make about $200/month with my online job, but the cost I’ve mentioned above doesn’t even include housing. We’re planning on renting a two or three bedroom condo or townhouse and subletting to another student or two, which will get our rent down to about 600/700 a month. We’re going to do everything we can to make our 15 months there as affordable as possible (even if we have to sacrifice comfort for awhile) and living below our means as much as we’re able to. He’s applying to as many places as he can right now, so hopefully he’ll find something by the time we’re down there… I guess I’d be safe if I took out a lesser amount in loans, but of course I worry. Maybe 30k for the 15 months??? I don’t even know!</p>

<p>I spoke with GWU Finaid this morning, and they told me that the law forbids them from suggesting a particular source for private loans. I don’t know if this is true, but the man I spoke to was pretty adamant about it.</p>

<hr>

<p>Yes, this is true.</p>

<p>I was the financial aid liaison for a nursing program, and we had a number of students in your position. Unfortunately, the only federal aid you will is the $12,500 annually … and very few schools will provide any other aid for second degree students.</p>

<p>Ah, ok. Thanks for clarifying, kelsmom.
Does anyone with experience have any suggestions as to how much would be a reasonable amount to borrow for the first year? I was thinking perhaps $30k.</p>

<p>Thanks so much.</p>

<p>SD</p>

<p>Hi everyone,
It’s me again.</p>

<p>I found out today that I’ll also be receiving a $6000 scholarship. It’s not much, but anything helps. My total cost of attendance (including all associated fees) is about $60k; however, I’ve already purchased my scrubs, books, “accessories” and am still working for another few weeks, so that will be less overall. I will also have health insurance covered. So, my total COA, I’d guess, will be closer to around $45k (including the 6k mentioned above). Plus, my boyfriend has a job interview for the first week that we’re down there, and, if that goes well, can easily cover all of our rent (750/month) and many other expenses (which is why I have assumed my COA will be 15k less than what GWU thinks it will be). This is, of course, a big assumption.</p>

<p>If I take 45000 minus the 12500 in Stafford Loans, that would leave me with $32000 needed to pay my way through school. Plus I’ll probably contribute about $10k out of my savings, which would bring it to about 22000. I was thinking of taking out 20k or 25k for the year and then using whatever is left for the last 5 months (or taking out more if my calculations are totally off or if for some reason my boyfriend doesn’t have success with the job search.)</p>

<p>Does that seem reasonable? Should I take out more to be safe? Should I pay more out of my savings?</p>

<p>Thanks so much for your insight!</p>

<p>It does not sound unreasonable to me, since you are working hard to keep borrowing to a minimum. You will still be borrowing a lot, but you should be able to get a job that pays a good wage right out of school. The key will be to continue to live like you don’t have money, so that you can get your private loans paid off as quickly as possible. THEN you will be all set.</p>