Law School Discussion

Deciding Where to Go => Financial Aid => Topic started by: Einstein on January 24, 2007, 11:33:48 AM

Title: GRAD PLUS Questions and Answers 2007
Post by: Einstein on January 24, 2007, 11:33:48 AM
Post all of your questions or helpful comments about Grad Plus loans here.

I have a couple of questions to start with..

When should we start applying for these loans, and how long do they take to come in to the schools.. and when are they usually dispersed?

What are the specific criteria that would make you elligible/inelligible for these loans?
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: The Poster on March 11, 2007, 01:06:14 PM
no one ever responded on this?
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: katluva33 on March 11, 2007, 01:10:13 PM
I have no idea about eligibility, but I know most of my schools have said that we start applying for loans around Jun 15 and the dispersal comes at the beginning of the academic year directly to the school, which then issues you a refund for any amount in excess of tuition and fees (and it takes a couple of weeks to process, so don't rely on it for the first few weeks of living expenses)
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: basal on March 11, 2007, 03:36:30 PM
Which Sallie Mae lender offers a reduction for their Gradplus loans?
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: The Poster on March 11, 2007, 05:11:09 PM
so, it looks like some schools participate in the "direct gradplus program" where there is no private lender involved, it just goes right through the school and no shopping around. does that sound about right or am i missing something?
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: basal on March 11, 2007, 05:32:56 PM
No clue, but I think Wells Fargo has the best offer. Can you guys confirm?

http://wfefs.wellsfargo.com/jump/i_plusgrad.html
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Quail! on March 11, 2007, 05:50:18 PM
So I at one point had a delinquent account 3.5 years ago (I was young and had little to no understanding of credit at the time) - which has since been cleared up.  Will that affect my eligibility?
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: The Poster on March 11, 2007, 05:54:22 PM

http://www.ifap.ed.gov/eannouncements/attachments/0623HERAOPGradPLUSAttachDGradPLUSQA.doc

2.   What is considered to be an adverse credit history?
You are considered to have an adverse credit history if you are 90 or more days delinquent on any debt or if, within 5 years of the date of the credit report, you have been the subject of a default determination, bankruptcy discharge, foreclosure, repossession, tax lien, wage garnishment, or write-off of a Federal Student Aid debt (for example, a Direct Loan or Federal Stafford Loan).
3.   What are my options if I have an adverse credit history?
You may still receive a Direct PLUS Loan if you obtain an endorser who does not have an adverse credit history. An endorser is someone who agrees to repay the loan if you do not repay it.

Title: Re: GRAD PLUS Questions and Answers 2007
Post by: P.U.S.H on March 11, 2007, 08:16:16 PM

http://www.ifap.ed.gov/eannouncements/attachments/0623HERAOPGradPLUSAttachDGradPLUSQA.doc

2.   What is considered to be an adverse credit history?
You are considered to have an adverse credit history if you are 90 or more days delinquent on any debt or if, within 5 years of the date of the credit report, you have been the subject of a default determination, bankruptcy discharge, foreclosure, repossession, tax lien, wage garnishment, or write-off of a Federal Student Aid debt (for example, a Direct Loan or Federal Stafford Loan).
3.   What are my options if I have an adverse credit history?
You may still receive a Direct PLUS Loan if you obtain an endorser who does not have an adverse credit history. An endorser is someone who agrees to repay the loan if you do not repay it.



Does that apply to credit card debit? I think I'm completely screwed :-\
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: melisssasue on March 11, 2007, 08:51:00 PM

http://www.ifap.ed.gov/eannouncements/attachments/0623HERAOPGradPLUSAttachDGradPLUSQA.doc

2.   What is considered to be an adverse credit history?
You are considered to have an adverse credit history if you are 90 or more days delinquent on any debt or if, within 5 years of the date of the credit report, you have been the subject of a default determination, bankruptcy discharge, foreclosure, repossession, tax lien, wage garnishment, or write-off of a Federal Student Aid debt (for example, a Direct Loan or Federal Stafford Loan).
3.   What are my options if I have an adverse credit history?
You may still receive a Direct PLUS Loan if you obtain an endorser who does not have an adverse credit history. An endorser is someone who agrees to repay the loan if you do not repay it.



Does that apply to credit card debit? I think I'm completely screwed :-\


I was concerenced that I would not qualify for GradPLUS so what I did was go to a lender site (I used sallie mae) and I applied for a GradPLUS loan to see if I would be approved.  (I should add that I am a current graduate student and applied as if I wanted the loan for the spring term.)  I was approved and I just didn't submit the app to my school because I just wanted to see if I could get the loan for the fall for law school. 
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: P.U.S.H on March 12, 2007, 01:42:20 AM

http://www.ifap.ed.gov/eannouncements/attachments/0623HERAOPGradPLUSAttachDGradPLUSQA.doc

2.   What is considered to be an adverse credit history?
You are considered to have an adverse credit history if you are 90 or more days delinquent on any debt or if, within 5 years of the date of the credit report, you have been the subject of a default determination, bankruptcy discharge, foreclosure, repossession, tax lien, wage garnishment, or write-off of a Federal Student Aid debt (for example, a Direct Loan or Federal Stafford Loan).
3.   What are my options if I have an adverse credit history?
You may still receive a Direct PLUS Loan if you obtain an endorser who does not have an adverse credit history. An endorser is someone who agrees to repay the loan if you do not repay it.



Does that apply to credit card debit? I think I'm completely screwed :-\


I was concerenced that I would not qualify for GradPLUS so what I did was go to a lender site (I used sallie mae) and I applied for a GradPLUS loan to see if I would be approved.  (I should add that I am a current graduate student and applied as if I wanted the loan for the spring term.)  I was approved and I just didn't submit the app to my school because I just wanted to see if I could get the loan for the fall for law school. 

If you use this method, doesn't it show up on your credit report as an inquiry?

My credit score is fair and I don't want to screw it up more, but I have no options for a co-signer so I can't take any chances. Looks like I'm going to be up all night on hold with these agencies to find out how I'm paying for 1L :-\
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: basal on March 12, 2007, 05:50:38 AM
If you send in an application to do your Stafford and your Gradplus somewhere, do you have to accept it? Will they charge you?
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Le Docteur De Peste on March 19, 2007, 02:12:25 PM
Taggie McGee
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: daydreamer on March 19, 2007, 03:02:12 PM
how does GradPlus differ from stafford subsidized/unsubsidized loans?  is it better to be rewarded that?
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Le Docteur De Peste on March 19, 2007, 03:05:02 PM
how does GradPlus differ from stafford subsidized/unsubsidized loans?  is it better to be rewarded that?

Not directly answering your question (GradPLUS v. Sub/Unsub Stafford), but GradPLUS seems to definitely be better vs. private lenders/loans. This is because you can consolidate the loan and there is no variable interest rate.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: The Poster on March 19, 2007, 03:07:00 PM
how does GradPlus differ from stafford subsidized/unsubsidized loans? is it better to be rewarded that?

Not directly answering your question (GradPLUS v. Sub/Unsub Stafford), but GradPLUS seems to definitely be better vs. private lenders/loans. This is because you can consolidate the loan and there is no variable interest rate.

it is better than most, but not all, private lenders. i've been comparing rates and terms like crazy.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Le Docteur De Peste on March 19, 2007, 03:13:17 PM
how does GradPlus differ from stafford subsidized/unsubsidized loans? is it better to be rewarded that?

Not directly answering your question (GradPLUS v. Sub/Unsub Stafford), but GradPLUS seems to definitely be better vs. private lenders/loans. This is because you can consolidate the loan and there is no variable interest rate.

it is better than most, but not all, private lenders. i've been comparing rates and terms like crazy.

Hmm, what other lenders are you finding that compete well w/ the GradPLUS loans?
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Journeyman on March 19, 2007, 03:26:58 PM
how does GradPlus differ from stafford subsidized/unsubsidized loans?  is it better to be rewarded that?

If you filed the FAFSA, you can be automatically qualified for subsidized and unsubsidized loans (Stafford) before you move to GradPLUS.  Many schools won't let you apply for GradPLUS before you go through Stafford.  The Stafford loans are federal while GradPLUS is private.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Le Docteur De Peste on March 20, 2007, 01:33:48 PM
Here's another question I have re GradPLUS loans:

So I've qualified for this loan, effectively meaning that a lender will cover my school's entire estimated budget (less grants, staffords, etc., etc.).

My question is that I think the school's estimated budget is a little bit larger than I actually need. I can easily lower the number, but I'm afraid that if I miss something in factoring my living expenses for 9 months into the future that I could be left eating cold beans out of a can.

As of right now my inclination is to just run w/ the estimated budget because I'm a 0L and don't know how my lifestyle will change come law school, then come the summer b/t 1L and 2L I can make a more accurate decision in deciding my FinAid for next year.

Any advice/comments are welcome.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: EEtoJD on March 20, 2007, 01:34:39 PM
tag
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: dcforlife on March 20, 2007, 02:04:16 PM
Here's another question I have re GradPLUS loans:

So I've qualified for this loan, effectively meaning that a lender will cover my school's entire estimated budget (less grants, staffords, etc., etc.).

My question is that I think the school's estimated budget is a little bit larger than I actually need. I can easily lower the number, but I'm afraid that if I miss something in factoring my living expenses for 9 months into the future that I could be left eating cold beans out of a can.

As of right now my inclination is to just run w/ the estimated budget because I'm a 0L and don't know how my lifestyle will change come law school, then come the summer b/t 1L and 2L I can make a more accurate decision in deciding my FinAid for next year.

Any advice/comments are welcome.
I think your inclination is a good one -- I'm doing the same. I've figured I don't need about $10,000 the budget allows me to take, but I really don't know what'll happen, so I'm going to take it and stash it in a high-yield savings account (ING Direct is 4.5%, Citibank is 4.75%, eTrade is 5.05%, etc).

So, while I'll be getting charged interest by the loan lender, I'll be getting paid interest as well by my savings account. When all's said and done, even if I don't ever end up needing the money, having it sit there will only cost me about $300-$400 and that's fine by me considering the magnitude of what I'll end up paying for law school.

The only problem would be the temptation to touch it and get a plasma TV or go on a trip or something. It'll be hard to resist spending it but it's obviously critical that you/I do resist it... that's why things like ING Direct where it takes a few days to get at the money might be better for some.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Le Docteur De Peste on March 20, 2007, 02:25:43 PM
Here's another question I have re GradPLUS loans:

So I've qualified for this loan, effectively meaning that a lender will cover my school's entire estimated budget (less grants, staffords, etc., etc.).

My question is that I think the school's estimated budget is a little bit larger than I actually need. I can easily lower the number, but I'm afraid that if I miss something in factoring my living expenses for 9 months into the future that I could be left eating cold beans out of a can.

As of right now my inclination is to just run w/ the estimated budget because I'm a 0L and don't know how my lifestyle will change come law school, then come the summer b/t 1L and 2L I can make a more accurate decision in deciding my FinAid for next year.

Any advice/comments are welcome.
I think your inclination is a good one -- I'm doing the same. I've figured I don't need about $10,000 the budget allows me to take, but I really don't know what'll happen, so I'm going to take it and stash it in a high-yield savings account (ING Direct is 4.5%, Citibank is 4.75%, eTrade is 5.05%, etc).

So, while I'll be getting charged interest by the loan lender, I'll be getting paid interest as well by my savings account. When all's said and done, even if I don't ever end up needing the money, having it sit there will only cost me about $300-$400 and that's fine by me considering the magnitude of what I'll end up paying for law school.

The only problem would be the temptation to touch it and get a plasma TV or go on a trip or something. It'll be hard to resist spending it but it's obviously critical that you/I do resist it... that's why things like ING Direct where it takes a few days to get at the money might be better for some.

That's a very good idea, I might have to follow suit!

Perhaps a CD would help curb the temptation, bc of the penalties associated w/ an early withdrawl?
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: The Poster on March 20, 2007, 06:02:02 PM
wait, why not just wait...and borrow more if and when you need it? you can do that i believe.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Quail! on March 21, 2007, 09:28:32 AM
So I just got an email saying I was approved for a PLUS loan, though I didn't specifically fill out an app for one....this came in pretty close proximity to my going decision at GULC. Am I reading waaaaay too much into that email?
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: dcforlife on March 21, 2007, 09:30:18 AM
If it was from the College Board Education Loan Program, then yes ;)
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Quail! on March 21, 2007, 09:31:56 AM
If it was from the College Board Education Loan Program, then yes ;)

Haha damnit! I'm just on edge cause I have to go a week and a half without checking my ^%#@# mail. Christ I can't wait to go to work tonight
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: dcforlife on March 21, 2007, 09:38:54 AM
Ugh, that's the worst! I had that too (and sure enough, what I was waiting out came while I was gone).
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Quail! on March 21, 2007, 09:39:48 AM
Ugh, that's the worst! I had that too (and sure enough, what I was waiting out came while I was gone).

Sadly, I'm actually considering driving down to school at some point this week to pick up the mail...


At least I got approved for the PLUS loan! lol
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Denny Crane on March 21, 2007, 09:52:50 AM
Tiggity-tag.

I got a GRAD PLUS loan offer as part of my finaid awards from two schools.  The bulk of my education will be financed through private loans.  Good thing I've built up good credit over the last year or so.  C'mon reasonably low interest rates...
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: dcforlife on March 21, 2007, 09:56:48 AM
Denny, I'd be interest to hear how your interest rates pan out. I have great credit but got the sense from the discussions here that the rates on private loans probably wouldn't be fixed and probably wouldn't be significantly lower than 8.5%. And also that consolidation could be a problem at the end.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Denny Crane on March 21, 2007, 09:59:26 AM
Denny, I'd be interest to hear how your interest rates pan out. I have great credit but got the sense from the discussions here that the rates on private loans probably wouldn't be fixed and probably wouldn't be significantly lower than 8.5%. And also that consolidation could be a problem at the end.

Yeah, I'm not starting to feel that all my credit building was for naught.  Hopefully that's not the case.  8.5% is not what I was hoping for. 
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Le Docteur De Peste on March 21, 2007, 10:01:20 AM
I'm pretty sure w/ GradPLUS loans you can consolidate.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: dcforlife on March 21, 2007, 10:01:38 AM
Denny, I'd be interest to hear how your interest rates pan out. I have great credit but got the sense from the discussions here that the rates on private loans probably wouldn't be fixed and probably wouldn't be significantly lower than 8.5%. And also that consolidation could be a problem at the end.

Yeah, I'm not starting to feel that all my credit building was for naught.  Hopefully that's not the case.  8.5% is not what I was hoping for. 
I'd been doing exactly the same re: credit building over the last 5 or 6 years. But then the PLUS came along last year... we'll see I guess.

I'm pretty sure w/ GradPLUS loans you can consolidate.
You can. I wasn't sure about private lenders.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: bill612mass on March 21, 2007, 10:06:31 AM
Denny, I'd be interest to hear how your interest rates pan out. I have great credit but got the sense from the discussions here that the rates on private loans probably wouldn't be fixed and probably wouldn't be significantly lower than 8.5%. And also that consolidation could be a problem at the end.

Yeah, I'm not starting to feel that all my credit building was for naught.  Hopefully that's not the case.  8.5% is not what I was hoping for. 

another advantage to having good credit is that IF your credit is great, you should be able to avoid a co-signer and you will be charged fewer points...some private loans can charge up to 10 or so points - which when you factor that in with the interest rate makes for a really expensive loan.

Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Reesespbcup on March 21, 2007, 10:06:41 AM
tag since I can't read this now and there's is STILL NO FREAKING SEARCH BUTTON!
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Denny Crane on March 21, 2007, 10:09:02 AM
tag since I can't read this now and there's is STILL NO FREAKING SEARCH BUTTON!

WTF is up with that?  I just noticed it after reading your post.  I hope it comes back and that it's faster.  That slow as search from before just didn't cut it.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Le Docteur De Peste on March 21, 2007, 12:44:32 PM
So I've decided to go w/ T.H.E. for my Stafford loans. Regarding GradPLUS, I'm digging T.H.E.'s incentives, and the private lenders do seem enticing, but...

The only reason it seems to me to go to a private lender for GradPLUS would be for the lower interest rate. I have great credit, so I might be able to get these rates. But with private lenders, their repayment incentive qualifications are more strict (ex. incentive is only available after 12+ on-time payments as opposed to THEs 60-day-delinquency rule), the interest rate is variable, the loans default to next of kin upon death/disability (I don't plan on dying, but...), and other lame stuff. Plus I think I trust a non-profit lender more than a for-profit lender.

As of right now I'm leaning towards T.H.E. for pretty much all my loans including GradPLUS, and if not them then some other non-profit lender.

Hrm...
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: EEtoJD on March 21, 2007, 12:45:46 PM
I wish the school would just take care of all this stuff. I hate thinking about this crap.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Le Docteur De Peste on March 21, 2007, 12:51:32 PM
I wish the school would just take care of all this stuff. I hate thinking about this crap.

Better yet I just wish I had a silver spoon and then mommy and daddy could handle all this.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: EEtoJD on March 21, 2007, 02:20:50 PM
I wish the school would just take care of all this stuff. I hate thinking about this crap.

Better yet I just wish I had a silver spoon and then mommy and daddy could handle all this.

TITCR.

(http://www.coucoucircus.org/series/images-series/ricky.jpg)
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Le Docteur De Peste on March 21, 2007, 03:58:42 PM
(http://ct.pbase.com/u26/essweebee/small/31705540.IMG_0072b.jpg)
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: The Poster on March 21, 2007, 05:42:05 PM
Some folks are born silver spoon in hand,
Lord, don't they help themselves, oh.
But when the taxman comes to the door,
Lord, the house looks like a rummage sale, yes,

It ain't me, it ain't me, I ain't no millionaire's son, no.
It ain't me, it ain't me; I ain't no fortunate one, no.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Denny Crane on March 21, 2007, 07:27:58 PM
I wish the school would just take care of all this stuff. I hate thinking about this crap.

Better yet I just wish I had a silver spoon and then mommy and daddy could handle all this.

HLS thinks this is my situation, even though I'm an inner-city minority kid from the Bronx!

Bull...
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Zam on March 21, 2007, 07:55:49 PM
tag
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Reesespbcup on March 22, 2007, 08:31:28 AM
I started to ask a question about the diff between GradPlus and private but then I googled it and found this chart with the differences.

The Deferment info seems at odds with the repayment info on the Plus loan though...Thoughts? Also, what about "points" neither one discusses points...

http://www.wm.edu/financialaid/gradplusloan.pdf
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: The Poster on March 22, 2007, 08:59:48 AM
I started to ask a question about the diff between GradPlus and private but then I googled it and found this chart with the differences.

The Deferment info seems at odds with the repayment info on the Plus loan though...Thoughts? Also, what about "points" neither one discusses points...

http://www.wm.edu/financialaid/gradplusloan.pdf

Right from the government itself:
"The U.S. Department of Education charges a loan fee of 4% of the principal amount or each Direct PLUS Loan."
http://www.ifap.ed.gov/eannouncements/attachments/0623HERAOPGradPLUSAttachDGradPLUSQA.doc

loan fee/origination fee = "points"
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Le Docteur De Peste on March 22, 2007, 09:20:19 AM
I started to ask a question about the diff between GradPlus and private but then I googled it and found this chart with the differences.

The Deferment info seems at odds with the repayment info on the Plus loan though...Thoughts? Also, what about "points" neither one discusses points...

http://www.wm.edu/financialaid/gradplusloan.pdf

Right from the government itself:
"The U.S. Department of Education charges a loan fee of 4% of the principal amount or each Direct PLUS Loan."
http://www.ifap.ed.gov/eannouncements/attachments/0623HERAOPGradPLUSAttachDGradPLUSQA.doc

loan fee/origination fee = "points"

I know THE (Total Higher Education/www.northstar.org), the lender for my GradPLUS loan, acknowledges the fee but then immediately reimburses it upon payment. And The Access Group (www.accessgroup.org), another non-profit lender, pays the fees for you immediately.

It's their way of competing with private lenders who don't have to charge such origination fees (because it's a private loan and not regulated like a GradPLUS loan).

Phew.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: The Poster on March 22, 2007, 09:31:45 AM
All true, but some schools (Michigan being one of them) participate in Direct Loans and don't go through an external lender for GradPLUS loans. In Michigan's case, they do not allow you to use a private lender for your GradPlus loan, you are stuck with the Direct Loan way of doing it, which isn't all that bad (I think the interest rate is like a point lower, actually), but it does rule out all those nice bonus things like getting to waive fees.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Le Docteur De Peste on March 22, 2007, 09:35:47 AM
All true, but some schools (Michigan being one of them) participate in Direct Loans and don't go through an external lender for GradPLUS loans. In Michigan's case, they do not allow you to use a private lender for your GradPlus loan, you are stuck with the Direct Loan way of doing it, which isn't all that bad (I think the interest rate is like a point lower, actually), but it does rule out all those nice bonus things like getting to waive fees.

S-hitty in the city.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: The Poster on March 22, 2007, 09:38:41 AM
All true, but some schools (Michigan being one of them) participate in Direct Loans and don't go through an external lender for GradPLUS loans. In Michigan's case, they do not allow you to use a private lender for your GradPlus loan, you are stuck with the Direct Loan way of doing it, which isn't all that bad (I think the interest rate is like a point lower, actually), but it does rule out all those nice bonus things like getting to waive fees.

S-hitty in the city.

New York S-hitty.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Le Docteur De Peste on March 22, 2007, 09:49:00 AM
Someone de-linked my other image, so...

(http://www.cowboysfringants.com/louboy/rich_kid.jpg)
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Violet247 on April 08, 2007, 08:28:03 PM
tag
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: lindenksv on April 09, 2007, 03:16:21 PM
Ok, I called a ton of places and this is what I found out from each of them concerning Grad Plus loans:

Citizens's Bank of Rhode Island: Rate drops by 1% upon entry into repayment and .25% if you do automatic debit. 60 day grace period. 3% origination fee.

Academic Finance Corp: Rate drops by .25% when you enter repayment and 1.75% if you do automatic debit. 60 day grace period. 3% origination fee.

T.H.E.:  Rate drops by 1.3% when you enter repayment and .25% upon first disbursement. No grace period. 3% origination fee which is given back to you upon graduation.

Citibank: Rate drops by 1.25% when you enter repayment and .25% if you do automatic debit. 6 month grace period. 3% origination fee.

I called Access Group as well, I don't remember exactly what they said, but it wasn't as good as Academic Finance Corp so I didn't bother writing it down. I also called Sallie Mae, but they said they don't service loans for those going to Columbia.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: dcforlife on April 09, 2007, 03:38:51 PM
My question about THE was if you have to service your loan with them for life to retain the 3% refund (so no consolidating?). I assume you have to, but I don't know the answer. Thanks for the info!

PS you must also be from Rhode Island? ;)
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: lindenksv on April 09, 2007, 05:39:08 PM
No, not from Rhode Island. Just so happened that when I needed a private loan during undergrad they gave me a great rate and I got my loan from them, though I'm from MD (well..from DC now).
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Sweetpri on April 11, 2007, 06:13:18 AM
tag
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: dcforlife on April 11, 2007, 06:33:36 AM
No, not from Rhode Island. Just so happened that when I needed a private loan during undergrad they gave me a great rate and I got my loan from them, though I'm from MD (well..from DC now).
Ah, OK. Little Citizen's Bank is making a name for themselves! I just checked and they're all over the place in New England/tri-state. Cool!
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: togbra on April 11, 2007, 06:11:54 PM
Ok, I called a ton of places and this is what I found out from each of them concerning Grad Plus loans:

Citizens's Bank of Rhode Island: Rate drops by 1% upon entry into repayment and .25% if you do automatic debit. 60 day grace period. 3% origination fee.

Academic Finance Corp: Rate drops by .25% when you enter repayment and 1.75% if you do automatic debit. 60 day grace period. 3% origination fee.

T.H.E.:  Rate drops by 1.3% when you enter repayment and .25% upon first disbursement. No grace period. 3% origination fee which is given back to you upon graduation.

Citibank: Rate drops by 1.25% when you enter repayment and .25% if you do automatic debit. 6 month grace period. 3% origination fee.

I called Access Group as well, I don't remember exactly what they said, but it wasn't as good as Academic Finance Corp so I didn't bother writing it down. I also called Sallie Mae, but they said they don't service loans for those going to Columbia.

check this out if you hadn't already:
http://www.finaid.org/loans/studentloandiscounts.phtml

table of different lenders (not comprehensive, but very good):
http://www.finaid.org/loans/plusloandiscounts.phtml

There is also another thread here that might clear up some confusion (it references back to this thread, but includes additional info since that post that is not covered in this thread):
http://www.lawschooldiscussion.org/prelaw/index.php/topic,85531.0.html
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: lindenksv on April 11, 2007, 07:20:10 PM
Togbra, I had seen these sites, but they didn't list a bunch of my school's "preferred lenders" so my post covers those. Plus, it's one thing to have a list on a website, and another when you call them up and ask what the deal is and make sure that the info is current and that they do in fact offer that.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Nooteboom on April 11, 2007, 09:28:16 PM
Tag
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Team Pam on April 12, 2007, 11:52:06 AM
Tag.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: jimfoolery on April 12, 2007, 05:06:49 PM
Should I be concerned that Transunion won't give me a credit score because they think I'm deceased?  And that the deceased me owes $1200 on an old credit card?
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Le Docteur De Peste on April 12, 2007, 05:09:30 PM
Should I be concerned that Transunion won't give me a credit score because they think I'm deceased?  And that the deceased me owes $1200 on an old credit card?

Hahaha WTF? Get that cleared up, ASAP!
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: jimfoolery on April 12, 2007, 05:12:33 PM
Should I be concerned that Transunion won't give me a credit score because they think I'm deceased?  And that the deceased me owes $1200 on an old credit card?

Hahaha WTF? Get that cleared up, ASAP!

Yeah, I submitted an investigation request, so hopefully that won't take too long (yeah right).  Luckily Experian thinks pretty highly of me.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: The Poster on April 13, 2007, 07:16:00 AM
Should I be concerned that Transunion won't give me a credit score because they think I'm deceased? And that the deceased me owes $1200 on an old credit card?

Yikes. Well, this is the best way to make sure you aren't dead...
http://ssdi.rootsweb.com/
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Le Docteur De Peste on April 13, 2007, 09:06:49 AM
Should I be concerned that Transunion won't give me a credit score because they think I'm deceased? And that the deceased me owes $1200 on an old credit card?

Yikes. Well, this is the best way to make sure you aren't dead...
http://ssdi.rootsweb.com/

Nice, the database says I still have a pulse!

Database > Actually taking my pulse.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: The Poster on April 13, 2007, 09:29:05 AM
Should I be concerned that Transunion won't give me a credit score because they think I'm deceased? And that the deceased me owes $1200 on an old credit card?

Yikes. Well, this is the best way to make sure you aren't dead...
http://ssdi.rootsweb.com/

Nice, the database says I still have a pulse!

Database > Actually taking my pulse.

try looking up someone who is actually dead. its fun.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: t... on April 13, 2007, 10:04:04 AM
Taggish.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: jimfoolery on April 13, 2007, 10:29:54 AM
Should I be concerned that Transunion won't give me a credit score because they think I'm deceased? And that the deceased me owes $1200 on an old credit card?

Yikes. Well, this is the best way to make sure you aren't dead...
http://ssdi.rootsweb.com/

According to this I'm not alive or dead--I simply never existed.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Le Docteur De Peste on April 13, 2007, 11:32:04 AM
Should I be concerned that Transunion won't give me a credit score because they think I'm deceased? And that the deceased me owes $1200 on an old credit card?

Yikes. Well, this is the best way to make sure you aren't dead...
http://ssdi.rootsweb.com/

According to this I'm not alive or dead--I simply never existed.

I believe it only shows dead.

I have the Hypno Toad music stuck in my head now.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: jimfoolery on April 13, 2007, 11:49:25 AM
Should I be concerned that Transunion won't give me a credit score because they think I'm deceased? And that the deceased me owes $1200 on an old credit card?

Yikes. Well, this is the best way to make sure you aren't dead...
http://ssdi.rootsweb.com/

According to this I'm not alive or dead--I simply never existed.

I believe it only shows dead.

I have the Hypno Toad music stuck in my head now.

Oh yeah, I guess I didn't notice that it is called the "Death Index."

If you have the "angry machine" sound effect stuck in your head, I feel for you.  You'd better get it out of there, or you might go mad!

Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Ersatz on April 13, 2007, 12:01:06 PM
Ok, I called a ton of places and this is what I found out from each of them concerning Grad Plus loans:

Citizens's Bank of Rhode Island: Rate drops by 1% upon entry into repayment and .25% if you do automatic debit. 60 day grace period. 3% origination fee.

Academic Finance Corp: Rate drops by .25% when you enter repayment and 1.75% if you do automatic debit. 60 day grace period. 3% origination fee.

T.H.E.:  Rate drops by 1.3% when you enter repayment and .25% upon first disbursement. No grace period. 3% origination fee which is given back to you upon graduation.

Citibank: Rate drops by 1.25% when you enter repayment and .25% if you do automatic debit. 6 month grace period. 3% origination fee.

I called Access Group as well, I don't remember exactly what they said, but it wasn't as good as Academic Finance Corp so I didn't bother writing it down. I also called Sallie Mae, but they said they don't service loans for those going to Columbia.

check this out if you hadn't already:
http://www.finaid.org/loans/studentloandiscounts.phtml

table of different lenders (not comprehensive, but very good):
http://www.finaid.org/loans/plusloandiscounts.phtml

There is also another thread here that might clear up some confusion (it references back to this thread, but includes additional info since that post that is not covered in this thread):
http://www.lawschooldiscussion.org/prelaw/index.php/topic,85531.0.html

Tagging for links.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: shawsama on April 24, 2007, 01:11:53 AM
northstar/the and AFC look the best to me

I hope I'm not missing something
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: pipster215 on April 24, 2007, 05:35:18 AM
tag
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Tetris on April 29, 2007, 12:25:05 PM
Quote
2.   What is considered to be an adverse credit history?
You are considered to have an adverse credit history if you are 90 or more days delinquent on any debt

I know this constitutes a "ding" on one's credit... I forgot to pay a $50 medical bill for 90 days once... one small ding like that wouldnt be enough to deny a GRADPLUS loan would it?
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Thistle on April 29, 2007, 12:27:15 PM
Quote
2.   What is considered to be an adverse credit history?
You are considered to have an adverse credit history if you are 90 or more days delinquent on any debt

I know this constitutes a "ding" on one's credit... I forgot to pay a $50 medical bill for 90 days once... one small ding like that wouldnt be enough to deny a GRADPLUS loan would it?



my understanding on financial aid is that a credit score of 580 or higher should get you a grad plus
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: dcforlife on April 29, 2007, 12:30:34 PM
Quote
2.   What is considered to be an adverse credit history?
You are considered to have an adverse credit history if you are 90 or more days delinquent on any debt

I know this constitutes a "ding" on one's credit... I forgot to pay a $50 medical bill for 90 days once... one small ding like that wouldnt be enough to deny a GRADPLUS loan would it?
Pull your credit report; I doubt that's even on it, unless it went to collections.

You can also get pre-clearance from most GradPLUS creditors (I know Citi will run one, so will College Board) to find out for sure, and then you'll know better that anyone here could tell you.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: shawsama on April 29, 2007, 09:49:30 PM
Use Northstar/THE

AFC tries to screw you like everyone else: 1 missed payment by 15 days = benefits retracted for life
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Einstein on April 30, 2007, 11:17:34 AM
ok so I tried to do the pre approval for GRAD PLUS yesterday, and they turned me down.  They said that they would be mailing me the reasons why they turned me down.

They also said that a cosigner might help me situation.  My fiancee has a credit score in the 700s but has a lot of things out on her credit right now.. Would she be able to cosign even though she has a lot of stuff out on credit right now?

What should I do?  You really get screwed out of a lot of things when you have bad credit.  I just screwed up in college, and I just recently settled all of the accounts.

How can I make sure that I go to law school this Fall?!!!!
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: dcforlife on April 30, 2007, 02:20:34 PM
Fiancee as a cosigner should be totally fine -- they'll check her credit for the same criteria they did yours, so if she doesn't have it, you'll be OK.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: maka nani on May 01, 2007, 11:29:20 AM
Quote
2.   What is considered to be an adverse credit history?
You are considered to have an adverse credit history if you are 90 or more days delinquent on any debt

I know this constitutes a "ding" on one's credit... I forgot to pay a $50 medical bill for 90 days once... one small ding like that wouldnt be enough to deny a GRADPLUS loan would it?



my understanding on financial aid is that a credit score of 580 or higher should get you a grad plus

not necessarily....from T.H.E. website - the federal requirements are:

10.        What is the credit criteria to obtain the Federal Graduate PLUS loan?
Credit approval is based on federally mandated criteria, not a credit score. In order to qualify, the student may not have any of the following items on their credit report:

Any current delinquency of 90 days or more

Any of the following items within the preceding five years of the date of the credit report:

Default, Bankruptcy, Discharge, Foreclosure, Repossession, Tax Lien, Wage Garnishment, Write-off of a Title IV Debt, Open Collection
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Thistle on May 01, 2007, 01:50:36 PM
Quote
2.   What is considered to be an adverse credit history?
You are considered to have an adverse credit history if you are 90 or more days delinquent on any debt

I know this constitutes a "ding" on one's credit... I forgot to pay a $50 medical bill for 90 days once... one small ding like that wouldnt be enough to deny a GRADPLUS loan would it?



my understanding on financial aid is that a credit score of 580 or higher should get you a grad plus

not necessarily....from T.H.E. website - the federal requirements are:

10.        What is the credit criteria to obtain the Federal Graduate PLUS loan?
Credit approval is based on federally mandated criteria, not a credit score. In order to qualify, the student may not have any of the following items on their credit report:

Any current delinquency of 90 days or more

Any of the following items within the preceding five years of the date of the credit report:

Default, Bankruptcy, Discharge, Foreclosure, Repossession, Tax Lien, Wage Garnishment, Write-off of a Title IV Debt, Open Collection


i had most of the items on that list from when my wife became disabled and lost her business, and i still got the grad plus.

i was shocked, but what the hell.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Einstein on May 01, 2007, 03:13:01 PM
I pulled my credit report, and all of my accounts say that they were placed in collections but then a settlement was accepted for less that the full balance.

Then there is one account that I recently settled which does not reflect this.

Then there is another account that is in collections but when I call they say they can't find my account.  So I have to dispute it with the credit bureaus. :(

I just hope all of this is cleared before time is up.

Does anyone know if you can still get GRAD PLUS if you have been in collections but settled the account for less than the full balance?

Credit reports are so hard to read, they really need to make these things easier to understand exactly what you are looking at.  >:(
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Thistle on May 01, 2007, 04:34:48 PM
I pulled my credit report, and all of my accounts say that they were placed in collections but then a settlement was accepted for less that the full balance.

Then there is one account that I recently settled which does not reflect this.

Then there is another account that is in collections but when I call they say they can't find my account.  So I have to dispute it with the credit bureaus. :(

I just hope all of this is cleared before time is up.

Does anyone know if you can still get GRAD PLUS if you have been in collections but settled the account for less than the full balance?

Credit reports are so hard to read, they really need to make these things easier to understand exactly what you are looking at.  >:(


since i got the grad plus with accounts still in collections, i would say yes
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: jimfoolery on May 05, 2007, 07:26:06 AM
Should I be concerned that Transunion won't give me a credit score because they think I'm deceased?  And that the deceased me owes $1200 on an old credit card?

So the dispute investigation I requested from Transunion is complete.  The results?  "No change."  They've concluded that I am in fact dead and owe a lot of money.  Thanks oodles for your competence, Transunion.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: dcforlife on May 05, 2007, 09:35:58 AM
Should I be concerned that Transunion won't give me a credit score because they think I'm deceased?  And that the deceased me owes $1200 on an old credit card?

So the dispute investigation I requested from Transunion is complete.  The results?  "No change."  They've concluded that I am in fact dead and owe a lot of money.  Thanks oodles for your competence, Transunion.
I hate TransUnion. I once signed up for a free 3-bureau credit monitoring service because it was free for a year, and EVERY MONTH the company called to say TransUnion was blocking the report. I called TransUnion a few times, waited on hold for hours, only to be told there was nothing wrong and they weren't holding it.

Called back up the monitoring agency, they said yes TransUnion was holding it, and that they were able to find out the reason... TransUnion had the credit report of someone ELSE who had bad credit... and at one time had lived in my apartment. Because my address and their addresses matched apparently that meant we're the same person because no one ever changes apartments. And, thus, TransUnion wouldn't do anything.

I can't believe these companies control every (or any) aspect of borrowing.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: sharky on May 05, 2007, 11:21:09 AM
tag
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Booyakasha2 on May 05, 2007, 11:26:32 AM
tag....also

When choosing lenders for stafford subsidized and unsubsidized loans, its seems as if all their terms are all the same since they all follow the same guidelines.  So is there any real diff in choosing b/w these diff lenders?

Title: Re: GRAD PLUS Questions and Answers 2007
Post by: letylyf on May 05, 2007, 11:36:35 AM
why no love for the access group? does anyone know anything bad about them, or are others terms (the, whatever) just better?
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: togbra on May 05, 2007, 12:51:38 PM
tag....also

When choosing lenders for stafford subsidized and unsubsidized loans, its seems as if all their terms are all the same since they all follow the same guidelines.  So is there any real diff in choosing b/w these diff lenders?



yes, you can see the differences on finaid.org (the actual difference in "benefits" and the difference in how many actually get them).  Also, I think T.H.E. has a calculator comparing the different deals you get.  Basically (this is my opinion, not meant to state as fact), *in general* you are better off with the non-profit companies then the private companies in terms of deals, but more importantly the ability to receive those benefits (in one of the finaid articles, a large majority lose their benefits at one of the private companies because of the rules vs someone like T.H.E. or other non-profits, where someone loses benefits can regain them).  Also, schools have preferred lenders that give special rates so you should look at those first.  Another big one is although unsub stafford is required by law for lenders to charge an origination fee, some of the non-profits credit it back to you while the privates do not.  Do some research and find the one that best fits you.

Note: I posted links on page 4 of this thread.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: ThePendulum on May 06, 2007, 03:19:26 PM
So, my school's GradPlus offer comes with a 4% Origination fee. That's highway robbery, IMO.

Anyone know of anyone offering GradPlus with Origination fees of less than 3%?
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: togbra on May 06, 2007, 03:26:02 PM
So, my school's GradPlus offer comes with a 4% Origination fee. That's highway robbery, IMO.

Anyone know of anyone offering GradPlus with Origination fees of less than 3%?

I believe the 3% is the required origination fee (cite: http://en.wikipedia.org/wiki/Grad_PLUS).  Again you can get that back from a few places, generally when start repayment (cite: http://www.finaid.org/loans/plusloandiscounts.phtml).
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: knicksfan0323 on May 07, 2007, 08:19:27 AM
Just an FYI, I just applied today for a GRADPlus loan.

I initially started out on my schools website for GRADplus loans...I went through the whole process, picked a lender from their list (the one with the best rates) and was DENIED. I was really upset about this because I have average credit, with absolutely no delinquences over 90 days ever and none those things that would cause me to be denied. The only reason my credit score isn't higher is because I have a fairly high revolving credit balance. They said they would send me a letter in the mail stating their reason for denial.

So I decided to try another lender, seperate from the online portal from my school and went to the student loan discount page on finaid.com, and slected one of the lenders with better terms, AFC Student loans http://www.academicfinancing.com/ (http://www.academicfinancing.com/) and filled out there application. It turns out that this is same firm that holds my loans for UG and I was preapproved!

So if you don't have any luck witht he first place you try, try another. Its very strange, because I was under the impression that GradPlus loans didn't really take many credit factors in account.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: dcforlife on May 07, 2007, 10:33:34 AM
Have you pulled your credit report? A high revolving balance isn't a criterion for denial... there may be something wrong you should investigate.

When you're denied credit, you can get a free full credit report from the credit bureau which provided the information to your lender.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: knicksfan0323 on May 07, 2007, 02:14:12 PM
Have you pulled your credit report? A high revolving balance isn't a criterion for denial... there may be something wrong you should investigate.

When you're denied credit, you can get a free full credit report from the credit bureau which provided the information to your lender.

Yes, I got all three of my credit reports in March. I was thinking it could be two things....I am currently in forbearance for the UG consolidation loans because of financial hardship (they were never paid late though) or a collection for $69 on my credit report from an old electric company account that I never knew about (paid in 2005 the minute I found out about it). Other than that, ther is nothing on credit report. Not even something paid 30 days late.

They said they would send me a letter explaining why...If that seems off, then I'll go from there
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: SoupySales on May 10, 2007, 09:18:36 PM
tag
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: wallstreet1986 on May 17, 2007, 09:50:12 PM
When do we need to start applying for these loans?  I am going to school in the fall and want to clear things up


I have about 1300 dollars in cc debt which I am paying off with a decent job I got for the summer making about 3000 dollars.  I am going to aggressively and quickly pay it off and try to get rapid rescoring to improve my credit score.  I had a stupid medical bill that went to collections while I was abroad in France which brought down my score to a 580 from a 670.  I am hoping to get my score back up to around 670 or higher like it was before.  The collections debt payoff should alone jump the score up 40, 50 points.  Why does it have to take so damn long to process?   >:(

Applying for the loans sounds nervewracking and makes me nervous about it.  Is applying in mid July too late?  I doubt I will have my ccs paid off in full til the first of July and my credit report would not reflect it likely without rapid rescoring.  The rest of my summer money is going to pay rapid rescoring fees and work with lenders to get approved.  I'm sure I'll do it but when do I need to initiate the process?
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: dcforlife on May 18, 2007, 06:09:20 AM
Before you pay money for "rapid rescoring" remember to check what's required for loans. Credit score doesn't matter for anything but private loans - not Stafford, not GradPLUS.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: knicksfan0323 on May 18, 2007, 06:32:26 AM
When do we need to start applying for these loans?  I am going to school in the fall and want to clear things up


I have about 1300 dollars in cc debt which I am paying off with a decent job I got for the summer making about 3000 dollars.  I am going to aggressively and quickly pay it off and try to get rapid rescoring to improve my credit score.  I had a stupid medical bill that went to collections while I was abroad in France which brought down my score to a 580 from a 670.  I am hoping to get my score back up to around 670 or higher like it was before.  The collections debt payoff should alone jump the score up 40, 50 points.  Why does it have to take so damn long to process?   >:(

Applying for the loans sounds nervewracking and makes me nervous about it.  Is applying in mid July too late?  I doubt I will have my ccs paid off in full til the first of July and my credit report would not reflect it likely without rapid rescoring.  The rest of my summer money is going to pay rapid rescoring fees and work with lenders to get approved.  I'm sure I'll do it but when do I need to initiate the process?

Sorry to burst your bubble but a collection does not get removed off your credit report once you pay it. I have a $59 collection from the energy company that somehow fell through the cracks when I moved out of a house in 2002 and it somehow didn't get transferred to my new electric bill. I first found out about this in 2005 when it was in collection and paid it immediately. Now its still on my credit report and will be for seven years.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Einstein on May 18, 2007, 08:15:38 AM
I think you can still get GRAD PLUS loans if you have past collection accounts on your credit report.. You just cannot have a current debt in collections.  As long as they are paid then you can get your loan.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Thistle on May 18, 2007, 08:19:09 AM
I think you can still get GRAD PLUS loans if you have past collection accounts on your credit report.. You just cannot have a current debt in collections.  As long as they are paid then you can get your loan.

i have a current debt in collections and still got grad plus.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: darlinalexi on May 18, 2007, 08:23:52 AM
tag
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Einstein on May 18, 2007, 08:32:49 AM
I think you can still get GRAD PLUS loans if you have past collection accounts on your credit report.. You just cannot have a current debt in collections.  As long as they are paid then you can get your loan.

i have a current debt in collections and still got grad plus.

Who did you go through to get the loans???

what type of collection account was it?  How old?  Sorry for all of the questions but they are for good reason..  :-\
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: southernhostess on May 18, 2007, 08:47:35 AM
TAG
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Einstein on May 18, 2007, 09:38:53 AM
My school requires you to fill out a form that states which lender you are using..

But before I sent this in I applied using Edamerica and was denied.  

I was wondering if some lenders require your school to send them your budget before they approve you for your GRAD PLUS loans?
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: wallstreet1986 on May 18, 2007, 09:52:20 AM
Sorry to burst your bubble but a collection does not get removed off your credit report once you pay it. I have a $59 collection from the energy company that somehow fell through the cracks when I moved out of a house in 2002 and it somehow didn't get transferred to my new electric bill. I first found out about this in 2005 when it was in collection and paid it immediately. Now its still on my credit report and will be for seven years.

Agreed.  The 40-50 point jump reflects paying off a current collections debt according to the tools provided on Experian's credit monitoring website.  The collections debt will still be on there but as I've seen with the GradPlus loans many don't want you to have a CURRENT collections debt outstanding.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: melisssasue on May 18, 2007, 11:55:12 AM
Just wanted to share.  I applied for my GradPLUS loan through my schools preferred lender and was denied.  So I applied through another lender and was approved.  So you may have to try a different lender.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: knicksfan0323 on May 18, 2007, 01:45:48 PM
Just wanted to share.  I applied for my GradPLUS loan through my schools preferred lender and was denied.  So I applied through another lender and was approved.  So you may have to try a different lender.

Same thing happened to me..See above post. Glad you were able to get a loan   ::)
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: wallstreet1986 on May 18, 2007, 02:35:00 PM
Wow you guys must be more chill and less worried about getting loans than me.  To me its scary and agonizing.  Maybe I just still can't believe my luck that I'm going to a great law school and doing the career I want -- feel like some obstacle is going to strike me down along the way.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: dcforlife on May 18, 2007, 02:46:42 PM
Wow you guys must be more chill and less worried about getting loans than me.  To me its scary and agonizing.  Maybe I just still can't believe my luck that I'm going to a great law school and doing the career I want -- feel like some obstacle is going to strike me down along the way.
That comes when you have to pay the loans back ;)

Just kidding, don't worry.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Rule of Reason on May 22, 2007, 11:08:18 AM
I'd call the lender... but on my app (through access) they just asked for starting date and date of graduation.


Anyone paying off interest while in school?
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: dcforlife on May 22, 2007, 11:17:08 AM
Anyone paying off interest while in school?
Didn't make sense to me. I'm taking out money because I don't have enough money. If I have enough money to pay down the interest, then I didn't need to take out as much money in the first place.

On the GRAD PLUS application, what start and end dates should we put for "period of loan"?  thanks!
I put 8/21/2007 - 5/4/2008... I think because that was the semester days at my school.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: dcforlife on May 22, 2007, 11:26:24 AM
Thanks...it wouldn't let me do more than a year, so I just used my school's academic year dates...one more question, do we do the entrance counseling for perkins, stafford, or GradPLUS now, or after we find out what we're eligible for?  My schools says it's required for the perkins and stafford loans, but recommended for GradPLUS.
What do you mean "find out what you're eligible for" exactly?

If you mean until you receive your school's financial aid package... I didn't apply for loans at all until I received my financial aid package (no grants, all loans). At that point, I applied for loans and did entrance counseling at the same time.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: parischic on May 22, 2007, 01:14:29 PM
When do we need to start applying for these loans?  I am going to school in the fall and want to clear things up


I have about 1300 dollars in cc debt which I am paying off with a decent job I got for the summer making about 3000 dollars.  I am going to aggressively and quickly pay it off and try to get rapid rescoring to improve my credit score.  I had a stupid medical bill that went to collections while I was abroad in France which brought down my score to a 580 from a 670.  I am hoping to get my score back up to around 670 or higher like it was before.  The collections debt payoff should alone jump the score up 40, 50 points.  Why does it have to take so damn long to process?   >:(

Applying for the loans sounds nervewracking and makes me nervous about it.  Is applying in mid July too late?  I doubt I will have my ccs paid off in full til the first of July and my credit report would not reflect it likely without rapid rescoring.  The rest of my summer money is going to pay rapid rescoring fees and work with lenders to get approved.  I'm sure I'll do it but when do I need to initiate the process?

One way of getting some points is asking for a credit line increase (as long as they don't do a "hard credit pull" resulting in score-eating inquiries).  A CLI helps with your utilization.  For example, you have 2 credit cards Amex has a credit limit of 1000, you have $700 on it (your utilization is 70%), Visa has a 500 limit, you have $400 on it (80% utilization). Your overall utilization is  73%.  You get Amex limit increased to 2000, and Visa 1000.  Your utilization is now 36%.  Most people see score jumps when their utilization drops below 70%, 50%, 30% and 10%.

For the collections, it takes time to get them off your report (aside from waiting the 7 years for them to drop off).  Check the statute of limitations for collections in your state and check the licensing laws for collection agencies (in FL debt collectors need to be licensed, but many of the agencies attempting to collect aren't licensed!)  Dispute the collection, a lot of them will go away with some legwork.  Always ask for VALIDATION (not verification) that the debt is yours before agreeing to pay.  Stay off the phone w/ the collections, you have no paper trail with phone calls.  If they validate properly don't pay them before send out a Pay For Delete letter, there are sample letters on the web, (certified mail return receipt, NEVER put your signature on a letter to a collection agency).  Get them to agree to delete if you settle with them (also negotiate what you're willing to pay)  If you pay a collection, but don't get it off your credit report then you are no better off.

All this is what I've learned through my experiences and research on repairing credit.  Your mileage may vary.  Check out www.creditboards.com/forums (http://www.creditboards.com/forums) it has tons of info on slaying the credit dragon!

Hope this helps!
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: jer on May 25, 2007, 07:21:34 AM
i'm still waiting for the financial aid package from smu
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: badgerlaw on June 25, 2007, 09:58:45 PM
tag
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: togbra on June 30, 2007, 04:30:59 AM
when applying for gradplus loan, does anyone know what the Loan Period Begin/End Date should be (I think it is just the school year)?
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: ....,,., on June 30, 2007, 06:33:30 AM
when applying for gradplus loan, does anyone know what the Loan Period Begin/End Date should be (I think it is just he school year)?

Yes, it's just the school year.
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: wellpreserved on June 30, 2007, 06:47:46 AM
Hey! I'm a creditboards groupie too!

Thanks to that board I weathered some severe financial hits, rebuilt and bought a home in about a year and a half. with a good year to my cycle i figure i'll start doing some of the hard core repair stuff to get old debts off my reports. if they can't see them when they pull then it doesn't matter!

When do we need to start applying for these loans?  I am going to school in the fall and want to clear things up


I have about 1300 dollars in cc debt which I am paying off with a decent job I got for the summer making about 3000 dollars.  I am going to aggressively and quickly pay it off and try to get rapid rescoring to improve my credit score.  I had a stupid medical bill that went to collections while I was abroad in France which brought down my score to a 580 from a 670.  I am hoping to get my score back up to around 670 or higher like it was before.  The collections debt payoff should alone jump the score up 40, 50 points.  Why does it have to take so damn long to process?   >:(

Applying for the loans sounds nervewracking and makes me nervous about it.  Is applying in mid July too late?  I doubt I will have my ccs paid off in full til the first of July and my credit report would not reflect it likely without rapid rescoring.  The rest of my summer money is going to pay rapid rescoring fees and work with lenders to get approved.  I'm sure I'll do it but when do I need to initiate the process?

One way of getting some points is asking for a credit line increase (as long as they don't do a "hard credit pull" resulting in score-eating inquiries).  A CLI helps with your utilization.  For example, you have 2 credit cards Amex has a credit limit of 1000, you have $700 on it (your utilization is 70%), Visa has a 500 limit, you have $400 on it (80% utilization). Your overall utilization is  73%.  You get Amex limit increased to 2000, and Visa 1000.  Your utilization is now 36%.  Most people see score jumps when their utilization drops below 70%, 50%, 30% and 10%.

For the collections, it takes time to get them off your report (aside from waiting the 7 years for them to drop off).  Check the statute of limitations for collections in your state and check the licensing laws for collection agencies (in FL debt collectors need to be licensed, but many of the agencies attempting to collect aren't licensed!)  Dispute the collection, a lot of them will go away with some legwork.  Always ask for VALIDATION (not verification) that the debt is yours before agreeing to pay.  Stay off the phone w/ the collections, you have no paper trail with phone calls.  If they validate properly don't pay them before send out a Pay For Delete letter, there are sample letters on the web, (certified mail return receipt, NEVER put your signature on a letter to a collection agency).  Get them to agree to delete if you settle with them (also negotiate what you're willing to pay)  If you pay a collection, but don't get it off your credit report then you are no better off.

All this is what I've learned through my experiences and research on repairing credit.  Your mileage may vary.  Check out www.creditboards.com/forums (http://www.creditboards.com/forums) it has tons of info on slaying the credit dragon!

Hope this helps!
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: dashrashi on July 12, 2007, 07:15:47 AM
tag
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: britbella on July 23, 2007, 08:18:58 PM
tag
Title: Re: GRAD PLUS Questions and Answers 2007
Post by: Sweetpri on July 24, 2007, 04:31:24 AM
I started to ask a question about the diff between GradPlus and private but then I googled it and found this chart with the differences.

The Deferment info seems at odds with the repayment info on the Plus loan though...Thoughts? Also, what about "points" neither one discusses points...

http://www.wm.edu/financialaid/gradplusloan.pdf

Right from the government itself:
"The U.S. Department of Education charges a loan fee of 4% of the principal amount or each Direct PLUS Loan."
http://www.ifap.ed.gov/eannouncements/attachments/0623HERAOPGradPLUSAttachDGradPLUSQA.doc

loan fee/origination fee = "points"

I know THE (Total Higher Education/www.northstar.org), the lender for my GradPLUS loan, acknowledges the fee but then immediately reimburses it upon payment. And The Access Group (www.accessgroup.org), another non-profit lender, pays the fees for you immediately.

It's their way of competing with private lenders who don't have to charge such origination fees (because it's a private loan and not regulated like a GradPLUS loan).

Phew.

I cant find anything on access group's website about them paying the 3% - does someone have a link, or do they not do this anymore?

So far I've got T.H.E. as the only one I can find that pays the 3% - are there any other lenders that pay the fee?