The school year is coming up quickly. If you’re looking for some help paying for college, a student loan may be exactly what you need. These tips will help you know what to do when applying for a student loan.
Get Your Money in Order
Before going to your local credit union, you should try getting a federal loan through FAFSA. FAFSA, the Free Application for Federal Student Aid, is a great place to start because it offers students money with a more forgivable rate. Plus, many colleges require the application records to be on file.
Filling out the FAFSA form will also automatically qualify students for other scholarships and grants. Students should seek out money from scholarships before looking for loans as these do not require repayment. Scholarships can be found through a variety of online forums or by speaking to your school’s advisor.
Before You Apply
You don’t want to head to your credit union unprepared. You’ll need more than a driver’s license and proof of enrollment to apply for a student loan. A few of the things you’ll need to know before starting the paperwork, include:
- The type of loan you are applying for
- Your credit score and your cosigner’s credit score
- The terms and amount of loan payments you can afford
- Know how much you are willing to borrow
Common Application Questions
If it’s your first time applying for a student loan, you may have some questions about how the application works and what you need to do. While you can always ask questions while applying, it’s sometimes helpful to plan ahead. Here are the answers to a few frequently asked questions:
- You must be currently enrolled in a degree-granting program to be eligible for a loan
- Your line of credit amount is based on how many years you will be attending and how much expected cost there will be
- You will have to choose your own loan amount, which is the amount you will receive from the credit union
- It can take anywhere from 20 minutes to three days for your application to be processed, so plan ahead for time
Get a Loan from MNFCU
Metro North Federal Credit Union is here to help take the burden of paying for college off your shoulders. Our gap loan covers the areas federal loans and scholarships miss. You can expect low interest rates, easy application processes and flexible repayment options. For more information, apply for a loan with us.