Do Bad Credit Student Loans Really Exist?
If you're a typical 19-25 year old, paying for college can be extremely difficult. Many schools cost tens of thousands per year and that is probably more than you make at this point in your life. Without help from parents, life can be pretty tough. Bad credit can make meeting financial obligations even harder unless you can find help.
Getting loans for school is a great way to move ahead. If you can get an education, you can increase your earning power. Student loans are classified two ways. One section is given by need and the other isn't.
The subsidized Federal Stafford Loan and Perkins Loan are two loans that use financial need as a qualifier. In the case of the subsidized Stafford Loan, the government pays the interest as long as you are in school and for the first six months after you leave school. The Perkins Loan is also issued based on financial need, although there are less of them given out compared with the subsidized Stafford Loan. However, if you can qualify for one, it is a really great thing as it will save you money in the long run.
If your financial need is big enough, you may even qualify for a Federal Pell Grant. Federal Pell Grants are the best option because it is considered a gift. You are not required to repay the money you receive. If you qualify for a Pell Grant, but it is not enough to pay for all your tuition and expenses, you can still look into receiving a loan to help meet your financial needs.
For people who cant qualify for one of the need based loans, there are still other bad credit student loans that are not based on financial need. The unsubsidized Stafford loan doesnt use financial income as a qualifier for the loan. With this type of loan, it will accrue interest once you receive the loan. The government doesnt pay any of the interest on the loan.
Those that take out this type of loan will have to start paying the loan back immediately. However, the interest rates on these loans is usually quite reasonable since they are secured by the government.
Getting loans for school is a great way to move ahead. If you can get an education, you can increase your earning power. Student loans are classified two ways. One section is given by need and the other isn't.
The subsidized Federal Stafford Loan and Perkins Loan are two loans that use financial need as a qualifier. In the case of the subsidized Stafford Loan, the government pays the interest as long as you are in school and for the first six months after you leave school. The Perkins Loan is also issued based on financial need, although there are less of them given out compared with the subsidized Stafford Loan. However, if you can qualify for one, it is a really great thing as it will save you money in the long run.
If your financial need is big enough, you may even qualify for a Federal Pell Grant. Federal Pell Grants are the best option because it is considered a gift. You are not required to repay the money you receive. If you qualify for a Pell Grant, but it is not enough to pay for all your tuition and expenses, you can still look into receiving a loan to help meet your financial needs.
For people who cant qualify for one of the need based loans, there are still other bad credit student loans that are not based on financial need. The unsubsidized Stafford loan doesnt use financial income as a qualifier for the loan. With this type of loan, it will accrue interest once you receive the loan. The government doesnt pay any of the interest on the loan.
Those that take out this type of loan will have to start paying the loan back immediately. However, the interest rates on these loans is usually quite reasonable since they are secured by the government.
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Trinity teaches people to find different types of bad credit loans including bad credit student loans.
posted by Debt Consolidation Loan at
4:58 AM
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