Student loans debt

Student loans are the financial support received for the purposes of education. Must be repaid with interest, once it has completed the graduation and the payment schedule and begins six months after graduation. The Federal Government, banks, private moneylenders or school loans were paid to students or their guardians. Most of the loans have a maturity of 10 years and their interest rates change each year, 1. July.



There are different types of loans available to students-Stafford loans, Perkins loans, plus and private loans for education.



Stafford loans must be paid to the Federal Government. To be eligible, the student must be enrolled in an accredited educational institution at least half of the time. The student begins rehabilitation after graduation. Stafford loans may be subsidized or unsubsidized. The loan is interest, and that only in the event that a student starts the repayment date; But in-subsidised loans, shall commence on the date the loan to be paid interest. Starting from 1. July 2005, the amount of interest on the loan František 5,30% in the case of the repayment period and € 4.70% during the period of grace.



Perkins loans are paid out of the school, not the Federal Government. Again, it must be a student of the accredited educational institution at least half of eligible for registered. Charges for the Perkins Loan, lower interest rates than the Stafford loan, about 5%.



In addition, the loans are loans from his parents ' educational needs of children, if the dependent children. The student must be enrolled in an accredited educational institution at least half time in eligible. Parents are responsible for the repayment of a plus loan. Perkins Loan is a low interest loan, loading of 4.17% (it can go to 6.10%, depending on the loan) interest rates.



Personal loans are given to banks and private moneylenders. They charge high interest rates and methods of recovery is less flexibility. Interest rates vary from one lender to another.



Pupils may have different kinds of loans for his education at the same time. Several loans can be consolidated into one loan with a repayment plan in order to avoid confusion. These consolidated loans help also in the reduction of interest rates.



In the United States of America at least 66% of the students, students used student loan to supplement their education. In 2003-2004 undergraduate students borrow $ 19,202 per year on average in Stafford and Perkins loans. Average came $ 23,814 if plus loans are also taken into account. The numbers of the median for postgraduate students are even higher. Each year the evaluation 3% increase in the amount of average credit.