Kentucky Student Loans
Don't Overlook All of the Benefits
The Kentucky Higher Education Assistance Authority has been in the business of directing Kentucky students in the pursuit of a college education for a couple of decades. However, realizing that a state-sanctioned information portal like KHEAA is unable to take on the financial and managerial aspects of student financial aid, the Kentucky legislature established the Student Loan People, a bank-sounding government agency that works hand in hand with KHEAA.
About Student Loan People
Where the KHEAA leaves off, Student Loan People picks up. SLP specializes in the financial aid piece of a college education, from managing your stable of federal loans simply known as the Federal Family Education Loan Program (FFELP), to financing its own brand of alternative or supplemental student loan, the SLP Advantage Loan.
Financing FFELP Loans through SLP
Lending agencies such as the Student Loan People are uniquely positioned to offer nice incentives to encourage you to finance your federal loans through them. When you choose SLP’s Stafford Loan, you are positioned to receive modest interest rate reductions for on-time payments or automatic payment deductions, as well as a few other borrower benefits.
Alternative Loans for Kentucky Students
The signature low-interest, long-term alternative student loan offered by SLP is Student Loan People’s Advantage Loan.
The purpose of this and other loans like it, is to provide additional college funding over and above what the federal government grants most borrowers. Without auxiliary private loan funds, many Kentucky students would be unable to afford college tuition. The advantage of the Advantage Loan is that almost any type of college student may apply, including those only attending school less than the traditionally requisite half time, even a course at a time.
**Tip: Students are encouraged to compare alternative and private student loans through a variety of lenders before making any borrowing decision.
Application Criteria
When you apply for an alternative loan, regardless of the lender, you are in credit territory. Applicants for the SLP Advantage Loans are subject to a credit inspection, meaning if yours is not up to snuff, you may consider having a co-borrower waiting in the wings. Depending on the main borrower’s credit, you could receive between $1,000 and $25,000 in student loans. Today’s most competitive lenders offer easy online applications and fast approvals and Student Loan People is no exception.
Repaying Kentucky Student Loans
Students often end up in repayment trouble when their student loan payments kick in all at the same time, typically 6 months following graduation, the standard grace period for federal loans. While the grace period is nice, it may not be enough. Statistics show that increasing numbers of college grads are not only leaving schools with thousands of dollars in debt, but that they are not able to find the jobs they require that enable them to financially deal with their debt burdens.
Borrowers do have the opportunity to examine a number of different repayment options, including a deferment of payments until after graduation or making payments from day one of the loan disbursal. Because many lenders no longer are financially able to offer consolidation loans your choice of a repayment plan is more important than ever. If you imagine any difficulties with meeting monthly student loan repayments, then explore your lender’s options for an Extended repayment plan.
For more information on Kentucky’s student loans and state aid programs, visit the KHEAA website.
