| Free information about various types of loans. Information about loan budgeting and more. |
| www.theguideto-studentloans.com |
The Student Loan Application Process
Although the student loan application process might seem daunting, knowing the steps that you should undertake will make it easier for you. Lots of people get student loans, and you can too!
1. Begin with the Government
In the United States, your first step will be to complete a FAFSA : a Free Application for Federal Student Aid. In Canada, your first step will be to visit CanLearn . You want to apply for government aid first because it is often the cheapest and best way to fund your education.
2. Do the Calculations
Using your government website and your family budget, estimate how much you and your family will be able to contribute to your education. In the States, this is known as the EFC, the Expected Family Contributions. The amount you are eligible to borrow depends on your expected family contributions.
3. Confirm with the Government
Once you have filled out your FAFSA, the government will send you (electronically or by hard copy, depending on how you submitted it) a Student Aid Report (SAR). Check your SAR carefully to see that the figures are correct: this will determine your eligibility for funding.
4. Tally your Awards
Find out how much money you are being offered in awards and scholarships, and how much financial aid your school is offering you.
5. Complete your Loan Application
Now that you have all of the numbers you need, you can file for your loan. Your loan price is calculated as follows:
Cost of Education & Living
- Expected Family Contributions
- School funding
-----------------------
= Amount for Loan
6. Collecting your Loan
Depending on the type of loan you are receiving, it might be administered through your bank or through your school. Determine where and when the fund will arrive. If necessary, defer your tuition payment until your loan comes through. Often, completing one simple tuition deferment form will save you money because you will not be charged interest on a late payment of tuition.
