If they are offering me lots of student loans, is that a good thing?
Not necessarily. You will have to pay those loans off after you graduate or leave college.
What loans are in that package?
Do you have any other options?
Well, I got grants, scholarships(variety of them), and loans. I see, but there is no interest attached to it, is that correct?
Federal student loans can be subsidized and unsubsidized. While you in school, the government will pay for the interest on your subsidized loans. If you don’t pay the interest on your unsubsidized loans, those unpaid interest will be capitalized. See https://studentaid.ed.gov/types/loans/subsidized-unsubsidized
Thank you so much for your help!
How much total loan are they offering? It is more than your federal direct loan? Is it parent plus loan too?
Grants and scholarships are a good thing as they are gift aid. A little loan is feasible and reasonable because having a BA is better than not, but ‘lots’ of loans means ‘lots’ of loan payments-and lots of regret.
Can you copy/paste your award?
and how much does the school cost?
How much in loans does your financial aid package include?
Does it have a Direct Loan of $5500? Do you have a Perkins Loan? These are loans taken out by the student.
Is there a Parent Plus Loan…and if so, how much (that would be a loan taken by your parents).
Well, they offered me approximately 2000 of federal perkinds loan, 3000 of federal subsidized direct loan and some of federal unsubsidized direct loan. What do these loans refer to?
Also, what is a federal work study?
Federal work study…money allocated to pay you for a job on your college campus that hires students who have work study awards. You apply for and get a job. Work, and get paid…up to,the amount in your award.
For subsidized loans and Perkins loan the gov’t pays the interest while you are in school, after that you do. You begin repayment after graduation. The unsub loan accrues interest right away. They all carry different interest rates.
You should probably educate yourself by reading the Federal Aid webpages. Here is the one on interest rates for Fed loans, this will answer your question:
Thank you so much for your info!! BrownParent