The Federal Family Education Loan Program has helped millions of Americans to fund their education. If you are in need of money to support your education, you can utilize the Federal Family Education Loan Program as well. Here is how to do this.
- Know whether you are eligible for a family education loan. To be eligible for receiving an educational loan from the government and private lenders, you must pass a financial needs test. If you passed, the government will pay the interest that your loan will acquire. If not, you can still borrow, but you will pay the interest that will accumulate. The interest varies from three to six percent, depending on the date when the loan was given.
- Accomplish a form asking for federal student aid. You can get this form for free at the school you're applying for, or from the Free Application for Federal Student Aid website at fafsa.ed.gov. Submit the form and wait for the results of your application. The school will evaluate your financial condition as well as other family factors that affect the eligibility of your application.
- Sign the necessary documents. When your application is approved, you must sign the legal documents that state your financial conditions, the amount you need to borrow, and the terms of your repayment of the loan.
- Choose a lender. The school you have applied for has a list of lenders who can give you the loan for your education. These lenders may be companies, organizations, banks and others who participate with the Federal Family Education Loan Program. When choosing a lender, consider the following: capability of the lender to give you the loan, the interest rates, the process of repayment, and benefits you gain when you borrow from the lender.
- Get the loan money. You will receive the loan through your school in installments. The money will be used to pay for your tuition expenses and other education expenses such as dormitory fees. The money that is left over is given to you in cash or in check, but you can tell the school to keep the money until you need it.
- Do well in school. Doing well in school will make you get scholarships, awards and grants for your hard work. Getting a psychological education as well as an emotional education helps you cope with the challenges of school life more effectively. Family involvement and positive family behavior will motivate you to excel.
- Repay your loan. If you have finished your studies, repayment starts about six months after you leave school. You are expected to pay an amount every month until you have repaid the full amount. If you can't give money when the payment is due, talk with your lender and ask for a grace period.
The Federal Family Education Loan Program is a great help to those who have trouble in paying for an education. If you have received a loan, remember to study well so that you will get the most out of your education. Doing well in school will make you get a good job, which will make repaying the loan easier and living a better life more possible.