Understanding a Graduate Stafford Student Loans
Graduate loans.
Since the beginning of the decade, the cost of grad school has gone up an average of 30%, because of this, it is crucial that you line up effective funding sources to cover every expense without leaving your credit damaged for your future borrowing needs. There are two types of Stafford Loans:
- Subsidized Graduate Stafford Loan: loans which are granted based on the financial need of the borrower. The interested will not be charged before you begin making payments towards the original sum or if you take deferment time. The federal Government “subsidizes” the interest, in other words, it takes care of the interest on your behalf.
- Unsubsidized Graduate Stafford Loan: a loan that is not awarded based on financial need, any student can apply and receive this type of loan regardless of need. Any eligible student can apply for an unsubsidized loan, and like any other loan, you will be charged the stated interest until the loan is fully repaid.
