Hi, I am recently admitted to a few U.S. programs. Now that this has finally become real, I'm starting to work out financing, leaving my job, summer travel, and moving to a new city.
1) Are people mostly using federal (Direct & GradPLUS) loans? Has anyone tried for lower rates with private loans? If so, from where?
2) When do people typically receive the loan funds? I assume right when tuition is due? Just wondering how the cash flow works. (That is, how long I will need to rely on savings after leaving my job.)
Any advice is appreciated!
1. I will only do the Stafford and GradPLUS. Private loans may have cheaper rates but do not have the flexibility options to the extent that the federal loans have. Yet, all loans (federal and private) are non-dischargeable in bankruptcy if god forbid, any one of us had to file for it.
2. With federal loans, the funds are usually disbursed a couple weeks before class. You then can request a refund to give you back the living allowance money if that's what you elected to do. At the end of the day, these loan disbursements differ from one school to the next.