MEFA – This loan is sponsored by the state financing officers in Massachusetts and the Connecticut universities. You can borrow for both instate and out-of-state.
Let us take a look at the criteria-
NOTE- alternative loans from banks or private lenders, come with variable interest and carry a certain amount of risk.
Independent undergraduate students have distinct advantages, as they are allowed to borrow an additional sum of $4,000 every year (for the first two years). Their borrowing increases for the third year, and they are allowed to borrow an addition $5,000/year. This can be possible through Stafford loan programs.
However, a dependent student cannot take the PLUS loans – it is only meant for parents who have independent children.
Previously we mentioned about the undergraduates, but you must be thinking-what about the graduates?
- The graduate students can take unsubsidized loans up to $20,500 per annum.
- The best feature of unsubsidized loans is they are not variable, and they will continue to remain fixed. In comparison to the undergrads – The graduates are charged at a higher rate of interest. The rate of fixed interest is 6.21% (against loans in 2014-2015).