<p>Hello, </p>
<p>I will be attending UCSD this fall and I was wondering if it was possible for my parents to pay part of my Unsubsidized Stafford Loans during my school year?</p>
<p>I assume they would have to deposit money into my checking account and then I would transfer those funds to my Unsub Stafford Loan Lender? Or is there a way for them to directly pay off some of these loans?</p>
<p>Thanks!</p>
<p>They can pay them off directly; the lender doesn't care who signs the check. Just make sure that they have your loan number on the check/electronic transfer/whatever.</p>
<p>I pay my D's interest on her unsubsidized Staffords. I also put a little extra on the payment to pay down the loan. Just have your parents make sure they note what the payment is for on the check. The lenders don't care who pays, as long as the check clears!</p>
<p>About how much is the interest payment each month? I'll have an unsubsidized loan for college this coming year, but don't know how much to expect to pay each month. I'd rather not put off paying the interest if it is just $25-$50 a month or so. My loan will be ~$10,500 (I haven't decided whether or not to take the additional monies offered me per the increase this year).</p>
<p>Should be easy enough to figure out. What is the interest rate? If it is 6.8% (assuming Stafford loan though I did not think you could borrow $10,500 in one year from Stafford) then 10,500 x 6.8% = $714 for a year - @ $60 a month.</p>
<p>May not be exact but s/b close.</p>
<p>Thanks swimcatsmom! </p>
<p>It is a "direct" loan, but the interest rate is 6.8%. I also thought it was limited to ~$5500 per year for a junior level student, but I was offered that much per semester (plus it was recently increased $1000 per semester per the new federal law, but I haven't accepted the increase). I am a bit concerned that it means I won't get anything for Fall 2009. By then I might qualify for more university grants or a subsidized loan, though, since I won't be working full time from August 20, 2008 on.</p>
<p>Junior level Stafford limits are $7500 (including the $2k increase) for junior dependent students. They are $12,500(including the $2k increase) for independent students. Are you an independent student? That would explain the amount.</p>
<p>The limit for overall borrowing throughout undergrad career was raised accordingly, so taking the max this year should not affect next year's ability to borrow (unless you will have reached the new limit).</p>
<p>Yes, I'm an independent student.</p>
<p>That explains the $10,500 then - that is the maximum for an independent junior level student (without the extra $2000). You should be eligible for the same next year (assuming your need remains the same).</p>
<p>My son has mostly unsubsidized loans. I like to pay online vs check and on S. Maes site it just takes a few clicks to pay. The loans are listed along with the interest accumulated and you check which loan you want to pay, fill in the amount and they show you what went to interest vs principle. Since you can pay anytime, I've added more than one payment a month on occasion, a little here and there and over 2 years one loan is down over 500.00 in principle. Not much but it helps.</p>