Alternative Loan Comparison WORKSHEET
Alternative Loans generally have higher interest rates than fixed-rate Federal Stafford, Federal Perkins, or Federal GradPLUS Loans and should be
considered only when all other eligibility has been exhausted. Interest begins to accrue at disbursement. You may choose any lender.
Use this worksheet to compare lenders and loans. Some Private Lender Resources: www.studentlendinganalytics.com/SLA/ratings.html,
www.finaid.org/loans/privatestudentloans.phtml, www.completeed.com, www.studentchoice.org
LENDER/LOAN: FEDERAL DIRECT GRADUATE PLUS LOAN Lender: Lender:
APPLICATION: How do I Apply? Apply through the Law School Financial Aid Office
Loan Maximum: Estimated Cost of Attendance minus all other aid, including scholarships, work-study and all other loans.
INTEREST RATE Is the interest rate VARIABLE or FIXED? FIXED
TERMS: How often does the variable rate change? NEVER CHANGES
As of 5/14/09:
Prime Rate = What interest rate index determines my rate? Federal legislation determines federal loan rate
3-month LIBOR = Is there an interest rate cap? 7.9%
One-month LIBOR No, but if denied a loan, an endorser may help you
rate = 0.35% Will a co-signer reduce my interest rate?
MY INTEREST 7.9% Fixed
What will my current interest rate be?
RATE: May be reduced to 7.65% if enrolled in auto-debit.
LOAN FEES: What are the loan fees? 2.5% (includes 1.5% rebate)
When do I start making payments? Payment delayed while enrolled. Interest
REPAYMENT: Can payments be delayed until I graduate? capitalized when repayment begins.
IMPORTANT: Some Are there any repayment benefits? Eligible for federal loan consolidation,
lenders require you deferments, forbearances, income-based
to make payments Is there an interest-rate reduction if I sign up repayment, loan forgiveness programs, and
while in school. loan cancellation benefits
0.25% Interest Rate reduction with auto-debit
ELIGIBILITY: Must file the FAFSA and be credit eligible. Not
What are the credit requirements? based on credit score. Credit eligibility is more
Some lenders have lenient than most private lenders.
requirements than Do I need to be enrolled at least half-time? At least ½-time enrollment required.
others and will
base your interest Do I qualify as a non-US citizen ? Must be a US citizen or eligible non-citizen.
rate on your credit
rating or program No, we suggest you borrow the maximum federal
Is a Bar Loan available after I leave school?
of study. loans, prior to the end of your enrollment period.
OFFICE OF STUDENT FINANCIAL AID
471 West Palmer, Suite 1215 • Detroit, MI 48202 • (313) 577-5142 • FAX (313) 577-9459 • FINAIDLAW@wayne.edu • www.law.financialaid.wayne.edu