Sallie Mae Offers Tips on Financing Graduate School
13 April 2006 - 8:13PM
PR Newswire (US)
RESTON, Va., April 13 /PRNewswire/ -- A college education is an
investment that yields significant financial returns over one's
lifetime. Unlike consumer debt, education debt is a long-term
investment. (Logo:
http://www.newscom.com/cgi-bin/prnh/20030617/SLMLOGO-a ) According
to the U.S. Census Bureau, in terms of today's dollars, college
graduates will earn an average of about $2.5 million, or about $1
million more over their working lives than high school graduates.
For college graduates who go on to earn advanced degrees, the
earnings premium increases to about $1.4 million, says Michael
Katz, president of Graduate and Professional Programs for Sallie
Mae. Depending on a student's particular field of study, there are
a variety of financial aid programs available to help pay for
graduate school. Federal loans are typically the least expensive
way for graduate students to borrow. Other forms of financial
support can include working as a teaching or research assistant,
participating in federal work-study programs (which are awarded
based solely on financial need) and securing fellowships and
grants. Several of these options, such as working as a teaching or
research assistant, are awarded based on the student's academic
merit and may include a stipend, which does not have to be repaid.
Beginning this year, graduate students who are enrolled at least
half time will be able to borrow Federal PLUS Loans on their own
behalf thanks to recent legislation, the Deficit Reduction Act of
2005. As in the parent-focused PLUS program, there is no aggregate
loan limit for the Grad PLUS program, and students are allowed to
borrow each year the cost of attendance less any financial aid
received. Beginning July 1, 2006, Sallie Mae and its family of
brands will offer their own graduate and professional PLUS program:
the Sallie Mae Graduate PLUS Loan. Graduate and professional
students are eligible even if they have no credit history;
additional benefits in the form of interest rate reductions and
loan balance credits also may apply. For medical students, Sallie
Mae offers a specialized MEDLOANS Grad Loans PLUS program.
Additional funding avenues for graduate students to explore are
tuition reimbursement programs. Some firms, large and small, may
incorporate such plans as part of their benefits package.
Typically, these plans cover expenses for tuition and books and may
require that the employee/student's current job position be
enhanced as a result of taking graduate-level classes. Lastly, many
lenders, including Sallie Mae, offer various graduate private loan
programs for students attending a graduate business, law, or
medical school. Depending on the lender, borrowers may be eligible
for select repayment benefits for making on-time payments or
setting up automatic debit. "A graduate degree is something that
will pay off handsomely in the long run," says Katz. "By continuing
their higher education, individuals are doing all that more to
improve their quality of life, personally and professionally." To
learn more about financing a graduate school education, visit
http://www.salliemae.com/gradplus/index.html.
http://www.newscom.com/cgi-bin/prnh/20030617/SLMLOGO-a
http://photoarchive.ap.org/ DATASOURCE: Sallie Mae CONTACT: Erin
Korsvall of Sallie Mae, +1-703-984-5136 Web site:
http://www.salliemae.com/ Company News On-Call:
http://www.prnewswire.com/comp/827187.html
Copyright