QUESTIONS ABOUT LOANS FOR STUDENTS
What types of loans are available for students?
1. Direct Loans (William D. Ford Federal Direct Loans)
2. FFEL Stafford Loans (Federal Family Education Loans)

The major difference between these two types of loans is that Direct loans get their funds directly from the U. S. government, while FFEL Loans receive their funds from banks, credit unions, and other private lenders.

Am I eligible?
To be eligible for FFEL and Direct Loans, you, the student, must:
1. be enrolled in school to receive a degree;
2. be enrolled in a course of study that leads to a degree;
3. be enrolled at least half-time.

How much do these loans pay?
Dependent undergraduate students can receive up to:
1. $2,650 per year for first year students;
2. $3,500 per year if the first year of study has been completed;
3. $5,500 per year if at least two year of study have been completed.
However, to receive payment, there must be at least one full academic year left in your program of study.

Will I be charged interest?
You may receive a subsidized loan, which is a need based loan that charges no interest. If not, the loan will be unsubsidized. Unsubsidized loans charge interest, but no more than 8.25 per cent.

When must I start payment?
You have six months after you graduate, leave school, or drop below half time status unless you receive forbearance. To receive forbearance, you must get in touch directly with the lender.
NEED BASED LOANS WITH LOW INTEREST RATE

The Federal Perkins Loan
The Federal Perkins Loan is a need based loan with a low 5 per cent interest rate. This loan is given to both undergraduate and graduate students.

How much does the Perkins Loan pay?
1. $4,000 per year for undergraduate students
2. $6,000 per year for graduate students

When must I start payment?
You must begin payment 9 months after you graduate, leave school, or drop below half-time status.
To download an application for Federal Loans:
http://www.suntrusteducation.com/apps.htm
To see what the government has to say about its loans:
http://www.ed.gov/prog_info/SFA/