Evaluating Private and Federal Sources for Iowa College Loans
Compare Lenders and Financial Programs
The Iowa Student Aid Commission (ISAC) is a government-sanctioned loan guaranty agency solely devoted to assisting Iowa students in finding appropriate funding for college. The Commission provides a clearing house for other forms of college funding, as well: Iowa Federal Family Education Loan Program, scholarships and grants, and advice on saving and planning for college expenses.
Part of the job of the Iowa Student Aid Commission is to solicit for viable not-for-profit lenders who are able to offer federal, as well as alternative, private student loans to Iowa students. ISAC is legally bound to provide all lender information without bias, which means students may choose whichever lender they’d prefer for their financial aid loans.
Iowa Student Loans
Not-for-profit originator, Iowa Student Loan, helps Iowa students assemble a complete and low-cost financial aid program. How they help:
- Information on types of loans you’ll find
- Steps to comprehensive financial aid
- Information on Iowa Student Loan benefits and features
- Tips for loan repayment
- Online applications
- Online planning tools, such as student loan calculators
Private loans may be available through Iowa Student Loan. These are based on availability and lenders able to offer affordable programs.
Repaying Loans
Many lenders offer students a number of options for repayment that include repayment plans and upfront deferment of interest. You may choose to either begin repaying interest while still in school or defer until you’ve graduated or dropped below half-time. Remember, interest accrues and can really add to the cost of your loan. Many lenders will advise borrowers to make interest payments if at all possible.
Almost every college graduate these days is juggling multiple student loans, both federal and private. Monthly payments can become unwieldy and costly. Given the choice between defaulting on one or more loan repayments or applying for a consolidation loan, choose the latter. Consolidation loans are often available through your FFELP or Direct Federal lender and may be available for your private student loans as well. Bundle together costly multiple loans. The resulting loan will feature significantly lower interest rates, lower monthly payments, but will have a lengthier term of repayment. A consolidation loan can also save you from default.
