| College students all over the United States | | | | need-based subsidized Stafford Student Loans, |
| probably have just gotten into the swing of | | | | whereby the government covers any interest on |
| summer, whether that means finally perfecting | | | | the student loan while a student is in |
| their golf swing, getting that deep tan, or | | | | school, the grace period following |
| acing the most recent quiz in summer school. | | | | graduation, and any period of deferment. |
| In the midst of these activities and | | | | Other students may qualify for a |
| especially at this time of year, it is | | | | non-need-based unsubsidized Stafford Student |
| important to regroup and begin planning | | | | Loan, where interest is charged to the |
| financially for the new school year, | | | | borrower during this same time period. |
| according to NextStudent, a leading | | | | |
| Phoenix-based education funding company. | | | | Another common type of federal aid is Federal |
| | | | Parent Loans for Undergraduate Students, |
| NextStudent EFAs Help Students Understand | | | | known as PLUS Loans ( These credit-based |
| Awards | | | | options allow parents to borrow funds to |
| | | | cover the education costs of their dependent |
| The best place to start is to review all the | | | | children who attend college at least |
| correspondence students have received, | | | | half-time as undergraduate students. Parents |
| especially their award letters. This is the | | | | may borrow up to the cost of attendance, |
| document that lists such important | | | | minus any other financial aid. |
| information as the actual cost to attend | | | | |
| school (includes tuition, fees, room and | | | | Frequently, parents find that they pay more |
| board), available need-based federal aid such | | | | for their child's education than they |
| as subsidized Stafford Student Loans ( , | | | | anticipated. NextStudent offers Private |
| non-need-based aid such as unsubsidized | | | | Student Loans ( to supplement federal student |
| Stafford Student Loans and Parent Loans for | | | | loan sources. Many parents prefer these |
| Undergraduate Students (PLUS Loans), and the | | | | unsecured credit-based student loans to |
| remaining out-of-pocket funds required. | | | | borrowing against the equity in their homes |
| | | | or other options to cover the remaining |
| Unfortunately, many times the award letters | | | | out-of-pocket college costs. NextStudent |
| from colleges are somewhat difficult to | | | | offers generous borrowing limits, quick |
| understand, which may lead to confusion when | | | | preapproval, deferred principal and interest |
| students attempt to put together a strategic | | | | on most student loans, and no prepayment |
| plan for funding their college dream. | | | | penalties. Funds may be used for study abroad |
| However, when students or their parents | | | | and distance-learning programs in addition to |
| contact NextStudent, they will receive | | | | traditional schooling. |
| personal attention from their Education | | | | |
| Finance Advisor. EFAs help students | | | | Financial Aid Myths Dispelled |
| understand the types and amounts of fnancial | | | | |
| aid for which they qualify, answer any | | | | One fairly common misconception is the belief |
| questions, and then work with students to | | | | that a student does not qualify for ANY |
| develop a strategy that best fits students' | | | | federal aid. In fact, even a student who does |
| needs. | | | | not qualify for any SUBSIDIZED federal aid |
| | | | will almost certainly qualify for an |
| Students Qualify for a Variety of Federal | | | | UNSUBSIDIZED student loan. NextStudent |
| Funds | | | | Education Finance Advisors are equipped to |
| | | | help students and their parents understand |
| Students and their parents have an array of | | | | just these types of issues so that they can |
| federal financial aid options to consider, | | | | put together a plan that best fits the needs |
| depending on the type of aid for which they | | | | of the borrower. |
| qualify. Some students may qualify for | | | | |