Ok so I got my AID Summary sheet from the university im going to. This isnt the first time I've had aid, but it is my first aid while planning to attend a 4-year college. I received all my grants and I also received a work-study program. Can someone tell me or give me advice if I should take the Federal Loan they are trying to give me. The loan is for 2700 per semester. Im guessing its better to receive a loan from the govt than from some independent company or bank.
The loan will come from a bank or educational funding agency. The advantage to being awarded a Subsidized stafford loan is that the govt pays the interest will you are in school, you get a low rate (typically around 2.9%), and you do not have to begin paying if off until you finish school or stop going (6 months after). If you need the loan take it, if not then don't. Also, you can always ask for an amount lower than they are offering you. The amount you are eligible for will increase as you successfully progress through your collegiate career. When you graduate you will realize you need/want money for other things, and a hefty loan repayment could be a big barrier.
Don't forget, though, that student loan rates are expected to rise by June (?). I'm not sure, but around 4% should be the new rate on student loans. One thing that I didn't know is that any balance owed on a student loan isn't reported to credit agencies, doesn't work against you when applying for a home mortgage loan...all that stuff.
Depends on the interest rate. If you could put the money away in a CD or play in the stock market and could make it back. Some of the government loans are zero interest, or really low interest, in which case you could even put it in a saving account and come out positive. I recently received a zero interest loan that is completely forgiven if I graduate in 4 years with a 3.0 (good for in-state students at a public university in Texas). Only negative is my income tax return my first year is going to be inflated because if the loan is forgiven it must be reported as income.
