Great Lakes Student Loan: Everything You Need to Know: Are you planning to attend college but need financial assistance? Great Lakes Student Loans is a popular lender that offers student loans to help cover the costs of higher education. In this article, we will discuss everything you need to know about Great Lakes Student Loans, including the types of loans available, how to apply for them, and the repayment options.
Table of Contents
- What are Great Lakes Student Loans?
- Types of Great Lakes Student Loans
- How to Apply for Great Lakes Student Loans
- Great Lakes Student Loans Eligibility Criteria
- Interest Rates and Fees
- Repayment Plans for Great Lakes Student Loans
- Student Loan Forgiveness and Cancellation
- Tips for Repaying Great Lakes Student Loans
- Pros and Cons of Great Lakes Student Loans
- Alternatives to Great Lakes Student Loans
- Frequently Asked Questions (FAQs)
What are Great Lakes Student Loans?
Great Lakes Student Loans is a student loan servicer that provides federal student loans to undergraduate and graduate students. As a servicer, Great Lakes is responsible for managing the loans, including processing payments and helping borrowers understand their repayment options.
Types of Great Lakes Student Loans
Great Lakes offers several types of federal student loans, including Direct Subsidized Loans, Direct Unsubsidized Loans, Direct PLUS Loans, and Direct Consolidation Loans.
Direct Subsidized Loans
Direct Subsidized Loans are available to undergraduate students with demonstrated financial need. The government pays the interest on these loans while the student is enrolled in school and during the six-month grace period after graduation.
Direct Unsubsidized Loans
Direct Unsubsidized Loans are available to both undergraduate and graduate students. Unlike subsidized loans, interest begins accruing on unsubsidized loans as soon as the loan is disbursed.
Direct PLUS Loans
Direct PLUS Loans are available to graduate students and parents of dependent undergraduate students. These loans require a credit check and may have higher interest rates than other federal student loans.
Direct Consolidation Loans
Direct Consolidation Loans allow borrowers to combine multiple federal student loans into a single loan with a fixed interest rate.
How to Apply for Great Lakes Student Loans
To apply for a Great Lakes Student Loan, you must first complete the Free Application for Federal Student Aid (FAFSA). The FAFSA is available online and must be completed annually. Once your FAFSA has been processed, you will receive a Student Aid Report (SAR) that outlines your eligibility for federal student aid.
If you are eligible for federal student loans, your school will send you a financial aid award letter that outlines the types and amounts of loans you are eligible to receive. To accept a loan, you must sign a Master Promissory Note (MPN), which is a legal document that outlines the terms and conditions of the loan.
Great Lakes Student Loans Eligibility Criteria
To be eligible for a Great Lakes Student Loan, you must meet the following criteria:
- Be enrolled or accepted for enrollment in an eligible program at an eligible school
- Be a U.S. citizen or eligible noncitizen
- Have a valid Social Security number
- Maintain satisfactory academic progress
- Not be in default on a federal student loan or owe a refund on a federal grant
Interest Rates and Fees
The interest rates for Great Lakes Student Loans vary depending on the type of loan and when the loan was disbursed. For loans disbursed on or after July 1, 2022, the interest rates are as follows:
- Direct Subsidized Loans (Undergraduate): 3.73%
- Direct Unsubsidized Loans (Undergraduate): 3.73%
- Direct Unsubsidized Loans (Graduate or Professional