Frequently Asked Question(s)
Q:Can you name some types of subsidized school loans?
A:Some different types of subsidized school loans include direct subsidized loans and federal subsidized loans. In private subsidized loans there is Staford loan. Staford loans are awarded to the individuals who are able to justify their financial need and Perkins federal loans have an interest rate of 5% and repayment process starts nine months after graduation.
Q:How to apply for subsidized student loans?
A:Subsidized students loans offer students a number of advantages. Students can apply for subsidized loans by filling out the FAFSA application form. Eligibility criterion for this loan requires students to be U.S. nationals or possess a valid resident permit. These loans are on based on credit and students are not required to pay interest or installments when enrolled at college.
Q:What is the eligibility criterion for direct subsidized loans?
A:The eligibility criterion for federal direct subsidized loan is: (i) have a financial need (ii) have a high school diploma or GED (iii) enlisted in a degree program (iv) be a U.S national and have a valid social security number (v) certify by signing a FAFSA that you are not in default of any federal loans.
Q:How do you receive federal direct subsidized loan?
A:Typically, when you qualify for a federal direct subsidized loan, it first goes to the institute or college you are studying in. The college pays off the tuition fee for you, your room expenses and other educational expenses. The amount remaining is returned to the student to spend on other education related expenses.
Q:What is a direct subsidized loan?
A:They are called Direct Subsidized Loans because they are made directly from the U.S. Department of Education, without going through a bank or any other lender. Direct Subsidized and Unsubsidized Loans are part of the federal Direct Loan Program, which offers low-interest loans to students to help them pay for college.