Sentences with phrase «protections than federal student loans»

These loans tend to have fewer protections than federal student loans, which is why many consider them to be an option of last resort.

Not exact matches

And while federal loans come with their own set of challenges and risks, all 1.37 million private loan borrowers are often subject to fewer protections and less flexible repayment plans than those offered under federal loan agreements.Less accommodating repayment options and more rigid terms can quickly lead to private student loan defaults, which is a dangerous financial place to be.

Federal loans don't require a credit history or a co-signer, and they offer more generous protections for borrowers than private student loans do, such as income - driven repayment and loan forgiveness.

In addition to lacking borrower protections, private student loans usually carry a higher interest rate than federal student loans, which ultimately makes private student loans more expensive.

S. 2231 — Student Protection and Success Act [Sen. Jeanne Shaheen (D - NH)-RSB- would rescind federal student loan eligibility for higher education institutions at which less than 15 percent of students are not repaying their loans within three years of graduating or leaving Student Protection and Success Act [Sen. Jeanne Shaheen (D - NH)-RSB- would rescind federal student loan eligibility for higher education institutions at which less than 15 percent of students are not repaying their loans within three years of graduating or leaving student loan eligibility for higher education institutions at which less than 15 percent of students are not repaying their loans within three years of graduating or leaving school.

Another problem is the private student - loan market, which generally charges students higher interest rates than the federal student - loan program and offers students fewer protections like economic hardship deferments.

The Consumer Financial Protection Bureau, a federal agency, estimated in May that total student debt is nearly $ 1.2 trillion, and that federal student loans alone make up more than $ 1 trillion in outstanding debt.

Roughly one - fifth of graduates» debt (19 percent) was in private loans, which are generally more costly and provide far fewer consumer protections and repayment options than federal student loans, TICAS reports.

And while federal loans come with their own set of challenges and risks, all 1.37 million private loan borrowers are often subject to fewer protections and less flexible repayment plans than those offered under federal loan agreements.Less accommodating repayment options and more rigid terms can quickly lead to private student loan defaults, which is a dangerous financial place to be.

Bear in mind that private student loans are typically harder to qualify for, and will likely carry higher interest rates (and fewer borrower protections) than federal student loans.

Take those figures and multiply them by the number of people estimated to hold federal and private student loans, and the magnitude of debt becomes evident: More than 40 million individuals collectively owe upward of $ 1.2 trillion, according to the Consumer Financial Protection Bureau (CFPB).

You're giving up a lot in the refinancing process, and in some cases you're better off with the protections offered by federal student loans than you are with a lower interest rate.

If you have federal student loans and want to keep their protections, you may have options other than refinancing to lower your interest rates, so explore those first.

A major benefit to consolidating rather than refinancing is that you will keep the borrower protections that federal student loans offer — but that many private student loans do not.

Since CommonBond's loan program is a private loan, there are fewer protections than available with federal student loans.

This blog from Consumer Finance Protection Bureau documents how there are 27.8 million student loan borrowers making use of the direct federal lending program totaling more than $ 1 trillion in debt.

Here's what Kiplinger's personal finance magazine says college students don't need: New textbooks, a high - end computer, a printer, a pricey smartphone plan, cable TV (watch streaming videos on a computer), a car (especially for freshmen), overdraft protection on bank accounts, campus health insurance (assuming coverage under the family's health plan) and private loans, which carry higher interest rates and less flexible repayment plans than federal loans.