Working full-time now.. Will I get all the loans I need?

[Jordan+AirForce1]

Hello,

I've been working full-time since 2007, with some time off in the second half of last year.

If I decide to go to an unfunded program this year full-time, I will have to take out loans. It will need to be something like $60k-$70k.

My question is, with all these earnings, would I be eligible for fereral loans? (by the way, I completed my FAFSA already)

I've worked for about a year and a half, but do not have any savings, as my salary wasn't THAT high to begin with, and I had college loans to pay for as well as some other family expenses.

Would I be able to get enough loans to cover my expenses for at least 2 years in graduate school?

[rugby]

Normally, I would say that yes, you will be able to get loans. You will reach your cap on Federal loans ($20,000) and have to manage the rest through private loans. There are no shortage of people willing to lend to students, though things may be different in the current economic times. Two years ago, they were more than happy to hand me $20,000 privately.

I hope you are going to make a lot of money on the flip side!

[Reinventing]

I've been working full-time, and it appears one complication may be that I won't qualify for any aid. I expected to at least qualify for govt loans--but unless there's some glitch in the financial aid reporting system--it seems that one school is offering me nothing. Not even loans. I'm a little shocked by that.

____

Edited to say that unlike my undergrad, the grad schools I applied to put off sending financial aid letters. Even though the notice from the graduate school said I would receive something from financial aid, nothing was sent to me by April 15th. I called a few days before and asked what was going on--and was told they wouldn't send out letters until tuition was set, which will probably be in a couple of months. You'd think someone would have communicated that earlier.

[juilletmercredi]

The job that you have will affect how much of the loans are unsubsidized. Graduate students are eligible for up to $20,500 in student loans per year, and up to $8,500 of that amount can be unsubsidized. I think that your income will affect how much of the total you take out will be considered unsubsidized.

Check out that glitch. I noticed that the Ph.D institution that I selected did not give me the option to get loans nor gave me any information on it (I needed to take out Stafford loans for moving expenses -- I was coming straight from undergrad and had nothing saved). I later found out that's because there was a loan request form that I had to complete, but there was nothing anywhere that indicated that -- not on the financial aid website, not in the materials they sent me, not in my student account. I had to call the school directly to ask.

So if they haven't even offered Stafford loans, call the institution and talk to them about how they expect you to finance this program since you don't have $60,000 just waiting to be spent.

[ebee]

I came here to ask the very same question posed by the OP.

I have been working full time for 3 years now and have a nice income which will be all but non-existent once I start school.

I got my award letter from one of my schools last week and I guess I am eligible for 8,500 subsidized and 12,000 in unsubsidized federal loans. The only thing it appears I've missed out on is federal work study. If I qualified for this would it have been listed in my financial aid award letter?

[Jordan+AirForce1]

so government loans maximum is around $20k per year??

wow, it will barely cover the rents and the cost of living. I need to get private loans for the tuition then? :x

[rugby]

I don't think that previous years income has much of an impact on how much you can borrow - most every graduate student qualifies for the maximum allowable federal aid, which is $20,500 per year. I made a nice income for several years before returning to school, and ended up borrowing as much as I needed through a combination of federal subsidized and unsubsidized loans and a loan from the CitiAssist program.

[Jordan+AirForce1]

I don't think that previous years income has much of an impact on how much you can borrow - most every graduate student qualifies for the maximum allowable federal aid, which is $20,500 per year. I made a nice income for several years before returning to school, and ended up borrowing as much as I needed through a combination of federal subsidized and unsubsidized loans and a loan from the CitiAssist program.

thank you for your response.

[HisRoyalHighness]

You can apply for a PLUS loan, which is a hybrid government-loan with a fixed rate of 8.5%. You can borrow up to the cost of tuition + expenses. Personally I would NOT recommend taking out a private loan for graduate study when PLUS is available. Private loans have adjustable rates (and interest rates have nowhere to go but up), cannot be consolidated AND must be paid back after you graduate even if you re-enroll in school again (no deferral). I took out two private loans for undergrad and now am resigned to having to pay them even when I'm in graduate school. You also cannot deduct the interest for private loans off your taxes.

In short - don't borrow private if you can borrow PLUS.

[Jordan+AirForce1]

You can apply for a PLUS loan, which is a hybrid government-loan with a fixed rate of 8.5%. You can borrow up to the cost of tuition + expenses. Personally I would NOT recommend taking out a private loan for graduate study when PLUS is available. Private loans have adjustable rates (and interest rates have nowhere to go but up), cannot be consolidated AND must be paid back after you graduate even if you re-enroll in school again (no deferral). I took out two private loans for undergrad and now am resigned to having to pay them even when I'm in graduate school. You also cannot deduct the interest for private loans off your taxes.

In short - don't borrow private if you can borrow PLUS.

thank you for the valuable information, i'll definitely look into it!

[behavgradwa09]

I had the same q as the OP... My income will be 25% of what it currently is... yiiikes. Also, does anyone know if you can still get loans if you also are trying to get an assistantship? the assistantship still wouldn't cover cost of living, books, etc. Thanks in advance - what stress!!!

[TulipOHare]

Also, does anyone know if you can still get loans if you also are trying to get an assistantship?

Yes.

[aginath]

My early offer from UGA is a total of $35,360. That's $14860 (Grad PLUS), $8500 Fed Direct (Subsidized), and $12000 Fed Direct (Unsubsidized). Of course, this is only estimated. Until I get the actual offer in June, nothing is final.