Information Portal for College Students-Part Time Job For Students

College Students & Graduates:

This article will give you some tips on using your Student Loans wisely and on how to postpone paying Student Loans for a while after graduation.

Tips:

Tip #1. If you are in school and have taken out a loan for more than your need, Invest the remaining loan amount. For example, if you need $3000 for tuition and $1000 for books and various expenses and your loan is for $6000; then you should invest the $2000 difference in a CD, money market or savings account. You can easily earn 5% on the $2K, and since the interest on the loan is deferred while you are in school you will be earning free money from the interest you earn on the $2000!

Tip #2. Many students don't realize this, but you a have 6 month grace period after your graduation. During this grace period you are not required to pay on your student loans. It is sort of like a 'free deferment' that is part of the normal payback-structure of most Student Loans.

Tip #3. Perhaps you don't have a job lined up when you get out of school? Or what if you'd like to take a year off to travel and relax? After all, you've worked hard for four years and deserve a break from study, work and the grind of college, right? Well, if you would like to have your loans deferred for longer than the 6 month grace period, this is also possible. Student Loan Companies have MANY types of forbearance and deferment possibilities available to students.

Just a few examples of the types of deferments or forbearance available to students and recent graduates include:

Deferments:

In School - Full Time
Working Mother
In School - Half Time
Parental Leave
Internship/Residency
Rehabilitation Training
Unemployment (Since this situation is very common for recent grads, here is the form: Unemployment_Deferment_Request
Public Health Service
Temporary Total Disability
Peace Corps
Graduate Fellowship
Tax Exempt Organization
Armed Forces
Action Programs
Economic Hardship
NOAA
Teacher Shortage Area
Military

Forbearance:

There are several types of forbearance available to you. For more information, please click on the option that applies to your situation:
Economic Hardship This is a specific type of financial forbearance. If you are having difficulty because your monthly student loan payment is a significant portion of your income
Financial Hardship (this forbearance can be submitted online) You are willing but unable to pay due to financial circumstances.
Internship/Service You are participating in a supervised training program which is required for certification for a professional practice or service.
National and Community Service You are serving in an approved national service (Americorp) that qualifies for forbearance.
Disaster You live in a geographic area that has been designated a disaster area by a state or national government.
Childcare Provider You qualify for the Child Care Provider Loan Forgiveness Program

IF YOU ARE PAST DUE ON YOUR PAYMENTS, IT IS ESPECIALLY IMPORTANT THAT YOU RETURN THIS FORM TO YOUR SCHOOL AS SOON AS POSSIBLE!

Tip #4. Are you a Graduate student? Don't think you'll be making exactly the kind of pay that you expected once you complete your Masters, Ph.D., JD, MBA, or MD? Well, there are also deferments available for Federal PLUS Loans and Graduate PLUS loans as well.

Tip #5. Do you have multiple student loans through various student lending institutions? Then maybe consolidation is the best route to make things somewhat less complicated? Under Student Loan Consolidation (SLC), not only can you combine all of your loans into a single loan so that making your monthly payment is easier; with SLC you will also likely be able to reduce your overall interest rate!

For loans through ACS, after registering online, you can access loan information, deferment forms, forbearance forms, information on loan consolidation, and your personal loan accounts at this site: ACS Website for Student Loans.

Finally, check with your school's financial aid office. They will have all the information on how to postpone paying your student loans. They will also have the best advice on whether a forbearance, deferment, or loan consolidation is the best option for your unique situation.



Good Luck, Grads!

- Professor Gary

---------------------------------------
Gary Plourde is an independent author. He writes about Traveling, Sailing, Inventions and the Patenting process. Patent your new idea and explore an opportunity to generate revenue for your business, scholarship, study abroad, or sabbatical.