Show More Bad News for Financial Loans Jeren W. W Canning Globe Weekly News Financially strapped students students students stu stu- dents have yet another worry As of July 1 Interest Rates Rate on federally backed student loans will rise The interest rate will rise percent this is the first time that the student loan rate as been raised in the last five years and is the largest single year increase in the history of the federal student loan program For those wanting to save money act now or this increase could cost thousands thousands thousands thou thou- sands of dollars The new rates for student loans will be set at 47 percent percent percent per per- cent for Federal Stafford Loans during school grace periods and deferment peri pen During repayment Federal Stafford Loans willbe will willbe willbe be set at 53 percent For another commonly used student stu- stu student student stu stu- dent loan the Federal Parent Loans for Undergraduate Students PLUS will be set at 61 percent percent Ioan loans issued on or before July I 1 1998 will bare this percentage rate Now is the time to consolidate consolidate consolidate con con- Stafford loans said Rick Castellano of Sallie Mae Borrowers today have havethe havethe havethe the ability to fix their student loan interest rate as low as 2875 percent and save hundreds hundreds hundreds hun hun- or even thousands of dollars by consolidating before July 1 If a student waits until after the July 1 cutoff that same loan rate could be A difference of percent the difference on a student loan would be nearly 1000 Financial experts from a wide range of companies as aswell aswell aswell well as are available to council students in making a sometimes difficult decision Students dont don't have much time left to act but it would be wise to at least think about refinancing their loan said Troy Hooton a financial consultant Students might look to other alternatives to help lessen the financial burden Loans Loan Continued on Page 10 Loans Continued from front fronton on themselves There are many scholarships that are available through both and outside agencies For example holds several essay contests throughout the school year Many of these feature scholarships that can be as worth as much as 1000 If nothing else it would be 1000 less that a student would have to barrow meaning money that does not need to be paid back The punch line dont don't procrastinate procrastinate procrastinate pro pro- consolidate Castellano said On July 1 students could either have thousands of dollars in their pocket or another's pocket |