Student Loans are No Joke!
Most students, regardless of their income or their parent’s income, may qualify for a federal direct student loan offered by the Department of Education.
Federal Student Loans historically offer lower interest rates (as compared to a private student loan) and better repayment options.
The options for repayment are income-contingent, income-based, or pay as you earn. There may be options for delaying repayment, which are forbearance and deferment.
Student loans are just that--loans that have to be repaid. In most cases, your grace period will expire or your repayment will begin:
- six months after you graduate
- when you drop below half-time
- when you drop out of school
Defaulting on a federal student loan will drastically affect your credit and getting a job.
Get more info about student loans at studentloans.gov.