subsidized loan

<p>If I want to take a subsidized loan, I wont have to pay interest until 6 months after I graduate right?
Because I heard something about having to pay an initial 140...or something like that to be able to take out the loan? :s
My financial aid package covers my whole tuition, but I would still like to take out a loan to buy a car....</p>

<p>I thin you have to pay a 3 or 4% originiation fee when the loan is disbursed. So 4% of, lets say $1000, would be $40!</p>

<p>The net fees end up being $5 per $1000.</p>

<p>kels can correct me if I’m wrong, but you can’t take out more loans than your total COA (tuition + room and board + supplies). If you have a scholarship that covers your full COA (rather than just tuition) then you won’t be able to take out a loan anyway.</p>

<p>If the scholarship is tuition only, you can still borrow money (up to Cost of Attendance, or COA). However, the loan may not be subsidized … it may be unsubsidized. You can only borrow a subsidized if the COA minus any need based aid (including the scholarship, any other grants, work study, Perkins loans), which is your Remaining Need, is more than your EFC. If EFC > COA-aid, you will only be able to borrow an unsubsidized loan.</p>

<p>What is your school’s COA? And how much aid is in your FA pkg.</p>

<p>If your COA is $55k…and you got $55k in aid, then you can’t take out a loan.</p>

<p>However, if COA is $55k…and you got $45k in aid, and your family is supposed to pay $10k in aid, then you can get a $5500 loan.</p>

<p>I can take out 3500 in subsidized loan…
according to my financial aid package</p>

<p>You can probably take out $2000 in unsubsidized, as well. Some schools just don’t include it in the aid package, but you can get it if you ask.</p>

<p>but I only want the subsidized
@kelsmom only$5 per $1000…so about $20 if I get the $3500 subsidized???</p>

<p>@wmurphy146 — 4% ?? so I would have to pay that on the day I get the money not before right?</p>

<p>so which one is it ? xD</p>

<p>basically what Im asking is when the subsidized loan get disbursed do I have to pay anything?
and if I do, can I pay that with the money given from the loan, or do I have to pay that myself?</p>

<p>You will not need to come up with any cash to pay the origination fees on the loan. The fees will be taken out of the loan proceeds. For example, last year my son’s subsidized loan was for $4500. The school applied $2239 to each of two semesters’ tuition bill. Even though he only received $4478, he will be paying back $4500 plus interest.</p>