The job market today is more competitive than it has ever been. In the past, you could sometimes work yourself into a good paying job without a degree, but it is much more difficult to do that these days. The problem is that college is also expensive. There are not a lot of people who get through four or more years of college without ending up with a few student loans. The good thing is that a federal direct student loan gives people access to college who may not have been able to afford it. You are probably eligible to apply for a student loan for every year that you to go school, but you will have to get a new one for each semester. Each of these loans is separate.

The great part about using a student loan is that you do not have to start making payments on the loan until after you graduate. In fact, in most cases you do not have to start the repayment process until six months after you graduate. This grace period also applies if you decide to leave school before you obtain a degree. The thought behind this grace period is that it gives you enough time to get out of school, find your first job and get settled into your new post-college life.

In most cases, there are hardship clauses in case something happens to your ability to pay back the loan. Under certain circumstances, the repayment process can be delayed. However, you have to make sure that you get this approved before you stop making payments on your loans. One reason that your repayments could be delayed is if you decide to go back to school. If you become a full-time student after you initially left and started making payments, your future payments would again be delayed until you are out of school again.

There are also different types of student loans that can be taken out by people other than the student who is attending college. You parents or grandparents may decide to take out their own loan to keep you from being saddled with loans when you finish school. They will obtain the same low interest rate that you would have as long as the loan is used for your education. If you are like most people, you will probably end up with several different loans that you have to keep track of. However, you will have the option when you get out of college to consolidate these loans.

If you really want to go to college and get education at a higher level, but cannot afford it, a student loan may be an option for you. It allows you to get help to fund your college education, does not make you make payments on the loan until after you graduate and gives you the lowest interest rate you will probably ever get on a loan. Before you give up on your dreams of a college degree, make sure you look into all the options you have to get student loans.

Author Bio: Ellie Lewis recently spent time researching student loans. Her son is going to apply for a federal direct student loan.

Category: Finances
Keywords: student loans,federal direct student loan