"They're Upping Student Loan Limits July 2007"

Paying for College
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<p><a href="http://finaid.org/loans/studentloan.phtml%5B/url%5D"&gt;http://finaid.org/loans/studentloan.phtml&lt;/a&gt;&lt;/p>

<p>"Starting on July 1, 2007, Stafford Loans allow dependent undergraduates to borrow up to $3,500 their freshman year (up from $2,625), $4,500 their sophomore year (up from $3,500) and $5,500 for each remaining year (independent students and students whose parents have been turned down for a PLUS loan can borrow an additional unsubsidized $4,000 the first two years and $5,000 the remaining years). Graduate students can borrow $20,500 per year (up from $18,500), although only $8,500 of that is subsidized. There are also cumulative limits of $23,000 for an undergraduate education and a $65,500 combined limit for undergraduate and graduate. (For independent students and for students whose parents were denied a PLUS loan the cumulative limits are $46,000 and $138,500, respectively. Some medical school students may be able to borrow up to $40,500 a year (up from $38,500) and $189,125 total.)"</p>

<p>I think this is semi neat information. But, I do not understand what the limits truly mean. For example, if you are an Independent Undergraduate student who has reached their 46grand limit, does the limit increase as of July 2007 or stay the same? The wording confuses me. I have some friends who literally had to withdraw from University or go part time out of pocket at a snails pace for funding issues, but I think I am misunderstanding something with the limits for Independent students.</p>

<p>Well, I hardly if ever start threads, but if anyone has any opinions, post them-I guess.</p>

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<p>Oh hey, I am double posting in my own thread!</p>

<p>I told my one pal Selina about this. She is hearing impaired and had to go part time at my old University forever and is barely a sophomore, long story. I no longer go to this University but we both live in a bankrupt city and so she went for broke with student loans because she does not qualify for disability or anything like that. She has reached her Student Loan limit as an Independent student. Would someone like her be entitled for a few grand more if they are still barely a sophomore when July 2007 rolls around? Or would she have to have a parent apply for and be denied for a Parent Plus Loan in order to obtain more University funding? This is what I do not understand.</p>

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<p>thanks for the info...i guess the $4,500 their sophomore year will help if i will need that much next year, hopefully i dont need it so i wont have to be as much in debt after college....but atleast its a better option then a loan with interest while in school....too bad they dont raise the amount given for grants ; (</p>