New laws and lending practices concerning student loans have made paying for college a lot easier as the Obama Administration has eliminated private lenders, which acted as the middle man, for many student loans. Many of these student loans came with a higher interest rate and dissuaded many from getting their education due to the debt incurred by borrowing for tuition and other college expenses.
However, with student loans coming directly from the government, interest rates are now much lower, and are reported to drop this summer to below 5%. Also, getting a student loan from the government now is going to afford many would-be college students the means to get their degree without being crushed by interest rates after graduation.
Also, repayment plans and forbearance options are going to make paying back these federal student loans much easier and for college graduated in specific fields of employment, student loan forgiveness options are going to help many in getting rid of their student loan debt.
Applying for student aid, though, remains about the same, as a popular starting place is filling out a FAFSA form. Would-be college students should have a better opportunity at paying for their education thanks to new laws from the Obama Administration, so be sure you do your research into how these new laws will help you in your student financial aid.