Comments on: Experts split: Are FY11 student aid increases enough? http://www.ecampusnews.com/funding/experts-split-are-fy11-student-aid-increases-enough/ Higher Ed News Fri, 10 Feb 2012 14:21:20 +0000 hourly 1 http://wordpress.org/?v=3.2.1 By: Kate Taylor http://www.ecampusnews.com/funding/experts-split-are-fy11-student-aid-increases-enough/comment-page-1/#comment-27 Kate Taylor Fri, 05 Feb 2010 17:30:07 +0000 http://www.ecampusnews.com/?p=29133#comment-27 I need to make a couple points of clarification. When Illinois College students and families find it necessary to finance part of their educational costs, we encourage borrowing from programs in the following order, Federal Direct Student Loans, Federal Direct Parent PLUS Loans, and lastly private or alternative loans. Federal Direct PLUS Loans have a fixed interest rate of 7.9% and borrowers that use auto debit for repayment receive a .25% reduction from their interest rate. PLUS Loan borrowers may qualify for a deferment or forbearance - to temporarily stop making payments- but during those periods interest is charged. I need to make a couple points of clarification. When Illinois College students and families find it necessary to finance part of their educational costs, we encourage borrowing from programs in the following order, Federal Direct Student Loans, Federal Direct Parent PLUS Loans, and lastly private or alternative loans.

Federal Direct PLUS Loans have a fixed interest rate of 7.9% and borrowers that use auto debit for repayment receive a .25% reduction from their interest rate. PLUS Loan borrowers may qualify for a deferment or forbearance – to temporarily stop making payments- but during those periods interest is charged.

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