The Web site also states that before a school can make a student's first disbursement, it must inform him or her of the full amount of the loan, the interest rate, when the repayment period begins, any list of charges and some other information. Before graduation, the school notifies the student of the amount of total debt, the interest rate, total interest charges and where to send payment. The interest rate for PLUS loans in 2000 is 8.99 percent. Interest rates for Stafford Loans in 2000 are 7.59 percent during school and 8.19 percent in repayment. Simoneaux said the Office of Scholarships and Financial Aid tries to educate students as much as possible about private lenders due to a growth in private loans.
People sometimes pick up the flashiest brochure or one with a familiar name.
The Office of Scholarships and Financial Aid updated its Web site for the 2000-2001 school year and will continue to do so as new information becomes available. There is more information on the loan programs and payment options on the Web site. Students need to think realistically.