Stafford Student Loan News

Chess is a game of skill and strategy which has been around since 600AD. Simply speaking chess is a board game for two players, each beginning with 16 pieces of six kinds with the objective of checkmating the opposing king. It sounds easy in concept, but it can be overwhelming for some.

It took my mother years to master her craft and now beats my step-Dad on a regular basis. In fact, I don’t know if any word in the English language holds as much weight as the word “checkmate.” It is a liberating feeling for one and a humbling, crushing feeling for the other when checkmate is finally declared. The world of student loans, like a chess board, can be equally difficult to navigate for parents and students alike. You have a world of knowledge at your finger tips. You have several diverse directions you can travel. So how do you protect your King? How do you know if you are making the right moves? Well, the fact that you are reading this blog tells me you are one step ahead of most and on your way to checkmating the king. You are either researching Stafford Loans for yourself, your children, or someone you care about; a wise choice indeed.

Federal Loans are at the apex of the student loan universe with the most common of those loans being the Stafford Loan. Stafford loans simply put hold excellent rates and benefits for its borrower. That said, you do need to qualify for a Stafford loan. The process begins by completing your FAFSA. That report is then sent to the Department of Education where they arrive at an Expected Family Contribution (EFC) number. A Student Aid Report (SAR) is then generated and sent to the school or schools you designate. Finally, the school(s) will send you an Awards letter outlining what you are eligible for. It will state what grants, scholarships, and federal loans you are entitled to. If you are awarded a Stafford loan you may come back to this website and apply to have a lender assigned to your loan. The lender then disburses the funds directly to your school after they receive certification from the school that you have enrolled and that you have been awarded the funds. That is the final step in the equation. It’s that simple.

Now that you are armed with the knowledge you need, are you up for the challenge? Are you ready to take down the opposing king? I think you are. Say it with me, checkmate.

Extra, Extra, read all about it!

Don’t be lured by the temptations of private loans.  You want a candidate who will listen to your needs!  Here are my Elite Eight reasons to vote Stafford on loan day!

Save money

Ten year loan term

Affordable monthly payments

Fixed Interest Rate

Forgiveness potential

On time payment incentives

Regulated by the Federal Government

Defer your loan payments while in school

Why does it matter if I qualify for a Federal Loan? I can just take out a Private Loan and have the funds disbursed directly to me. What’s the difference between federal and private? I mean, I have to pay the money back anyway, right?

It’s true you do have to pay the money back regardless, but if I asked you a simple question like would you rather pay me back $20 or $50 for my services, which would you choose? If you value your hard earned dollar you would choose $20. That’s why you should take the time to complete your FAFSA and see if you qualify for federal loans, like a Stafford loan. Stafford loans are fixed at lower interest rates than private loans. That said, private loans have benefits too.

Let’s review some pros and cons for both and determine the best option for you.