Author Topic: Need some College Loan advice (Read 823 times)

Engine · « **on:** January 17, 2005, 07:49:29 AM »

Hiya folks. Here's my situation: I'm 24, very poor, and pay rent for myself and my father (he's 71, and is retired). I'd planned to go to college earlier, but some health situations with my mother, now deceased, forced me to get a job and support the family.

Now, I think I'm ready to go back to school. I think chances are good that tuition will be free due to poverty, but as I still need money to pay rent and buy groceries, I'll need a college loan of some sort. I was hoping that before I start looking for a loan, I could get some advice on what I should be keeping my eye out for.

If anyone has some ideas, links, tips, anything, they'd be greatly appreciated.

I'm not enrolled currently, if that makes a difference. I'm thinking I'd secure the loan first, pay off outstanding rent, and then apply to a New York community school.

Mini D · « **Reply #1 on:** January 17, 2005, 07:57:15 AM »

The world needs ditch diggers to.

majic · « **Reply #2 on:** January 17, 2005, 08:00:17 AM »

There are a ton of factors but two of the most important are:

How much did you make last year?

And Do you have anyone the IRS would consider a dependant?

There are grants which you don't have to pay back (Pell is US gov't and Illinois had a college grant program too, don't know about your state)

There are loans, direct from the US called (when I went) The Direct Loan. Need based Direct loans don't accrue interest while you are in school, non-need based do.

The best thing you can do is go to your chosen school's Financial Aid office and talk to them. They can give you a much clearer picture and start the process for you.

One other thing, when they figured my need for financial aid, they included things like tuition, books, rent, food, etc...

Good Luck.

midnight Target · « **Reply #3 on:** January 17, 2005, 08:00:35 AM »

Not sure which State you're in, but you might want to look at a local Community (Junior?) College for 2 years, and live at home. Work nights and try to limit college loans to a minimum. Do well in JC and you may be eligible for a scholarship.

majic · « **Reply #4 on:** January 17, 2005, 08:05:31 AM »

Quote

Originally posted by midnight Target
. Work nights and try to limit college loans to a minimum.

Definitely good advice. I'm paying too much now because didn't work as much as I could have during school.

Reschke · « **Reply #5 on:** January 17, 2005, 09:07:27 AM »

You may also qualify for several different types of loans one of which would be a Pell Grant which you don't have to repay. Go take a look around the college you would like to attend and sit down with the Financial Aid counselors in that department and they can direct you towards something that will fit what you want.

Maverick · « **Reply #6 on:** January 17, 2005, 09:18:18 AM »

I STRONGLY second the grant and scholarship search. Spend some quality time at the financial aid office and get everything you can related to your school, major and lifestyle. hen start sending out requests. Look also in the area that you intend to work. Is there a company in your area that is in your area of study? If so look to see what they provide in the way of education incentives. There may be an oportunity to get a scholarship that will also have a job for a few years as a means of repaying or working off the scholarship. Similar to the Military, they provide education funds and you owe them "x" number of years loyalty work in return.

In the short term get a loan so you can get into school then go after the "free" money so that you do not have a mountain of debt when you graduate.

Finally, mini d that was neither called for or funy. Try and be an adult and delete your post.

SOB · « **Reply #7 on:** January 17, 2005, 11:44:43 AM »

Engine, go here: http://www.fafsa.ed.gov/

If you plan on going to school this Fall, get your taxes done as soon as possible, then turn around and appy for fin aid as soon as possible after that...you'll need info on your 2004 income when you apply. It'd probably be handy if you know what school you plan on attending, and if you do, drop by their financial aid department and find out from them exactly what you'll need to do.

Eventually, you'll get an offer of financial aid back. Depending on what you qualify for, this can be Federal grants, and subsidized or unsubsidized loans. Grants are good, of course as they're free money you don't have to pay back. Subsidized loans are the next best thing, as the feds cover the interest on your loan while you are attending school. With unsubsidized loans, the interest starts accruing when you receive your first loan check, and you have the option of paying the interest as you attend school or just tacking it onto the loan - your payments will usually start 6 months from graduation.

You may be asked what financial institution you want your loan to go through, and I'm not sure if it matters all that much who you choose. I've always selected Washington Mutual just because, and the loan still ends up with Sally Mae, which is a good thing. For my friends who have loans they are currently repaying, Sally Mae seems to be very flexible about deferments if you let them know ahead of time that you can't make a payment.

If the offer of aid you get back is pitiful, you do have the option of appealing it, usually based on current circumstances. For instance, if your income this year is substantially less than last year...there are a few certain circumstances they list that you can appeal for, but the fin aid office at your college can let you know about that if/when you feel the need to appeal.

Finally, make damned sure that your aid is in place before school starts. Once you think everything is done, talk to the fin aid office once or twice to make sure you're good to go. The folks at my college's fin aid office are "special" (well, most of them), so I find it good to get an answer about any particular issue from two different people just to make sure it matches up.

Engine · « **Reply #8 on:** January 17, 2005, 11:51:04 AM »

Thanks dude, looks like I'll have to get my taxes all in order... blech. The IRS isn't going to be happy, I owe them... umm.. a little.

I was hoping I'd be able to get something quick, to hold me over while I go through the whole FAFSA process. Is it possible to get a student loan quickly and without being enrolled in a school?

SOB · « **Reply #9 on:** January 17, 2005, 12:19:04 PM »

Check the site I linked, 'cause I'm not sure. In my experience, my loans have been held by the school until the first day of the term, at which point they'll mail out a check or do direct deposit.

Sikboy · « **Reply #10 on:** January 17, 2005, 12:39:19 PM »

You should figure out where you want to go to school, and talk to their Financial Aid counselor.

I also second MT's JC recomendation, although I don't know anything about New York's school system, the California JCs offer an excellent chance for non-traditional students to get into the State Universities, while saving you a to of money.

-Sik

Furious · « **Reply #11 on:** January 17, 2005, 01:29:25 PM »

Screw the loans, go for the grants.

Curval · « **Reply #12 on:** January 17, 2005, 01:55:35 PM »

Quote

Originally posted by Maverick
Finally, mini d that was neither called for or funy. Try and be an adult and delete your post.

Mav,

They are both FDBs....I highly doubt he really meant it.

I laughed. Sorry engine...but that was typical MiniD.

SOB · « **Reply #13 on:** January 17, 2005, 02:08:17 PM »

It was both called for and funny, and I'm disappointed in myself for not beating Mini-dork to the punch. On the other hand, I think Engine would make a better prostitute than he would a ditch digger...I hear the specialties can demand a high price, so for once in his life being a tranny would be a plus!

Mini D · « **Reply #14 on:** January 17, 2005, 02:11:17 PM »

Quote

Originally posted by Maverick
Finally, mini d that was neither called for or funy. Try and be an adult and delete your post.

It was both called for and funny. I demand you delete this from your post.

Besides, engine is probably going to go for some kind gay bellybutton liberal arts degree. 6 years from now he'll end up with a ba in english that will get him a job at any number of starbucks stands and $50,000 of debt to student loans. He'll get bitter and blame the republicans for his dillema and turn into just another worthless democrat. And it will all be your fault.