About Graduate Student Loans
There are certain degrees that have graduate work assumed. If you are going into psychology, for instance, there is little meaningful work available for a bachelor's degree. The same goes for law, medicine and any number of professional disciplines. While scholarships, grants and other aid are available in abundance for undergraduate work, the same cannot be said for graduate school. With choices limited, one has to consider graduate student loans
Stafford Loans
When considering financing grad school, the federal government provides some relief in the form of Stafford Loans. These can be used as graduate student loans and have a variety of options. Upon filling out an FAFSA form (free application for student aid), there are several routes to take. Some Stafford Loans are administered by the schools where one applies. These loans are granted directly from the federal government. Like their undergraduate siblings these loans are deferred until six months after graduation.
Another Stafford graduate student loan comes from the government, but this is administered through private lending institutions. If you are awarded this loan, you will receive a list of lenders to choose from. All of these loans are provided as long as you have no other student loan in default, in which case, you must first clear up the defaulted loan before you are eligible for more money.
Depending on income, your graduate student loan's interest may be subsidized. This means that the government will pay the interest on your loan while you are enrolled in school. If your graduate student loan is unsubsidized that means that the interest accrued will be added to the principle to be paid at the end of the loan causing the loan amount to be more and monthly payments higher.
Graduate student loans have higher maximum payments both per year and for the entire time you are in school. It is possible to borrow as much as $50,000 toward your advanced degree.
If you do not qualify for a Stafford graduate student loan there are private lenders available. Most of these loans, as is usual, are dependent upon credit score and history. It is best to have your financial house in order before you begin the next phase of your education. While it is not impossible to get loans, it is much more difficult.
In the end, it comes down to determination. If you are willing to rehabilitate a defaulted loan and be patient, your degree is still within reach. If you are willing to bring on a co-signer, again your degree is within grasp. While resources are fewer for graduate school, they are available. The effort is worth it because with a master's degree earning potential and actual income increase tremendously. Money isn't everything, but it doesn't hurt to make a little more of it.
