Fed Financial

Grad Student Financial Aid?

I am 25, have 4 years of work experience, and am planning on going back to school to get an MBA starting this Fall. I have been accepted, and now I am trying to figure out how I should pay for it. Are there any loans that you all know of that have deferred payment AND interest till after you graduate? What if a person has enough money to pay for grad school all together. Is it wise to even take out a loan so that he/she can make interest on the money that they have save up from a money market account or cd? Any advice is appreciated. Thanks.

Public Comments

1. Well congrats on going back to school! I think since you're over 24, according to FAFSA, you will be considered an independent. Which means you would probably qualify for some free money!!!!(unless you make a lot). That's the first thing you need to do. Sign up for FAFSA and see what you do qualify for. I think it's dumb that you have to be 24 to be an independent, even if you are living on your own. But that's a whole different story. There are some loans out there(such as the stafford loans) that have deferred payment including not having to pay interest, but you will have to definitely look into them. Hopefully your school has a better financial aid office because my school's sucked and it took about three months until I finally got any of my money. I hope I have somewhat helped you out. edit/ I really never understand when people give thumbs down when my answers are pretty much correct.
2. There are two sources for student loans -- the federal government and private lenders. In order to obtain most federal student loans, you will first need to file the Free Application for Federal Student Aid (FAFSA). In most<!--instances the FAFSA is required for all federal financial aid including federal student loans. Deferment options are available while you are still attending school at least half-time. There are four main federal loan programs. http://best-loans.awardspace.com/student-loans.htm Federal loan consolidation is for students who are in repayment status or parents who wish to extend the repayment period on their current PLUS and obtain a fixed interest rate for the life of the loan-->you can combine all of your eligible federal student loans into one loan with a Federal Consolidation Loan. Consolidating also locks the interest rate you pay on your loan.
3. That last once seems a little shady to me. Not sure I recommend that. Now when dealing with grad school there really is no free money. If you get a federal loan so much can be subsidized meaning the government will pay the interest on the loan while your in school. The other part in unsubsidized which means you are responsible for the interest throughout the years the loans exist. Free money would be in the form of scholarships. Once you have a BA FA figures you will be making more money and will have the ability to pay it back. I'm going through the same process right now. Hope this helps