From sticker shock at escalating tuition costs to federal financial aid making less of a dent in the college bill, parents of college students need a fighting chance when it comes to financing their student’s college education. Oftentimes, a parent’s contribution plus grants, scholarships and subsidized government aid no longer go as far as it once did.
According to NextStudent, the Phoenix-based premier education funding company, the PLUS loan or Parent Loan for Undergraduate Students, is not only a smart move financially but a great solution to their funding dilemma, one that many parents are depending upon in increasing numbers. Due to the fact that a college education is no longer truly an option but a necessity if students want to succeed in the real world, PLUS loans are an important tool that can give students that extra edge.
With NextStudent’s PLUS student loans for parents, students need to fill out the FAFSA each year in order to qualify for this non need-based student loan. In addition, the borrower is required to complete a Master Promissory Note, which is good for up to 10 years, providing the student attends the same school, completes the FAFSA yearly and is credit approved.
At this time of year, when many students and their parents are analyzing their college funding picture and realize that they may need more money to cover unanticipated expenses, the PLUS student loan is a welcome answer. Available year-round, parents of college students attending at least half-time can borrow up to the total cost of attendance. The NextStudent PLUS student loans enables borrowers to determine eligibility within minutes when applying online through the NextStudent easy e-application.
NextStudent Offers PLUS Loan Incentives
Since these student loans are federally funded, the government sets the interest rates and lenders must meet stringent qualifications in order to become an approved lender. The main difference with respect to lenders offering the same PLUS student loans products are the unique incentives and benefits each lender offers.
NextStudent provides generous incentives for borrowers, including: a .25 percent reduction in interest for selecting the Auto-Debit option; after 12 months of consecutive on-time payments, a 3 percent cash rebate which applies to their remaining principle balance; and after 48 months of consecutive on-time payments, a 2 percent interest rate reduction.
Credit Resolution Program Gets Results
Though most applications for PLUS loans are approved, some borrowers are initially denied due to credit issues that have not been resolved. NextStudent’s PLUS Loan Credit Resolution Team provides a second opportunity for borrowers if they were initially denied due to credit issues . NextStudent has been able to qualify 87% of its PLUS loan applicants.
NextStudent believes that getting an education is the best investment you can make, and it is dedicated to helping you pursue your education dreams by making college funding as easy as possible. Learn more about Student Loans at NextStudent.com