College Loan Consolidation, Federal Loan Consolidation, Private Loan Consolidation, Student Loan Consolidation

America's Top Student Loan Provider




Student Loans and the Financial Crisis
With the financial crisis nowhere in sight to get better would eventually hurt or jeopardize how you can borrow money for your education. Student loans from some sectors would feel the effects of this global financial crisis. With the ongoing finance and economic crisis and the Federal Reserve pumping out billions or probably trillions of dollars into Wall Street, it is bound to affect student loans and how you can borrow money for your education. The financial sector was hit the hardest since the mortgage collapse and money going in or out of these financial institutions is out of the normal.

The crisis or the recession started with the housing and mortgage collapse leaving many people to file for foreclosures and bad mortgage loans. You really do not need to be a rocket scientist to know that the effects are paramount and gargantuan in scope. It affects the entire world. And to avert further crisis and get the big finance companies afloat the federal reserve infused an initial seven hundred billion dollars to stave off a nose diving economy. The US government address the crisis by enacting a bail out for the troubled banks and finance companies.

Because these banks are the issuer of most of these student loans it may have some ramifications. The banks that are in trouble are the ones doling out these student and educational loans to students. So there is the potential that this could affect how you can obtain student loans for your books and tuition fees. But luckily for some, there is good news as the Stafford Loans under this program will not be affected because it is guaranteed by the governments education department. This is welcome news as most people and parents who wanted to borrow money for their children to go to college will not be affected.

But some other forms of educational borrowing may get affected as these banks are having more stringent policies on who can apply and qualify. One case in point is those foreign students who may have a hard time with their budget and cash flows. The rising cost of fuel and food make it harder for foreigners to cope money wise.

In some parts of the world the financial crisis does have some effects on student loans. For instance, in Canada they have a program called CanHelp which is a financial aid group that helps Canadians who would like to obtain college loan. The problem with CanHelp is that it is backed by the troubled bank Wachovia Corporation from North Carolina. This bank was eventually taken by Wells Fargo. Needless to say the funds that was flowing to this program suddenly stops. So you can see that this financial crisis has effects on student loans.

On the brighter side of things, the US congress enacted the Ensuring Continued Access to Student Loans Act of 2008. This will effectively protect many families to have access to federal student loans during this economic and financial chaos. This would make all these families and students seeking educational financing more at ease. It also means that you can have access to federal loans without worrying about any impediments and hassles. You have to be aware though that federal loans like Perkins, Stafford and PLUS loans are capped so you need some borrowings from private lenders.



 


Article Title : Student Loans and the Financial Crisis
Comment not found for this article.
 
Comment

Related articles
• Financial Crisis Hits the Higher Education Loan Market - What Students Need to Know
• Do You Need Public Student Loans Learn More about Your Options
• Student Loan Consolidation Information - What Is The FFELP - Federal Family Education Loan Program
• Applying For a Student Loan All You Need to Know Before You Apply
• Student Loans 101

Share this story:
  • BlinkList
  • blogmarks
  • del.icio.us
  • Digg
  • Facebook
  • Google
  • Sphinn
  • MySpace
  • NewsVine
  • Simpy
  • StumbleUpon
  • Technorati
  • E-mail this story to a friend!
  • Print this article!
  • Faves
  • Furl
  • Netvouz
  • Slashdot
  • Spurl
  • Yahoo! Buzz
 



EdFed introduces… Awareness… Learnal
At, EdFed, we proudly introduce 'articles on student loans' and 'Learnal - the journal to learn from', our free newsletter on student loan management, which is sure to keep you informed of the latest events and happenings in the student loan market. To receive your copy of the above just use the RSS feed below and add this to your "My Yahoo", blogs, newstickers, and other similar channels accepting distributable content.
Click here to sign up for our Weekly Newswire now!

How EdFed Helped others!
When I first contacted EdFed, I knew nothing about consolidation. All I knew is that there was a deadline. The customer service representatives at EdFed were able to explain everything to me in terms that I could understand. I owe a substantial amount of money in student loans, and I didn't even know who my lenders were. EdFed was able to compile this information for me, calculated my low fixed interest rate, and explain their money saving benefits. Other lenders weren't even accepting phone calls prior to the deadline! Thank you for taking the time to go over my consolidation with me.
- Maya T.  Dallas, TX
* Your Name: * Your E-mail Address:

We respect your privacy.
* Your Friend's name: * Your Friend's E-mail address:
Include a Message:
+ Privacy Policy

Student Loan Consolidation Info - How to Choose the Right Loan Company

This column is sponsored by Granted, America's top job search engine. The Career Resources column is presented by Granted, America's leading job search engine dedicated to getting people jobs.

Education is one of the most basic right of any human, but with the increase in prices and the costs involved in education this has made these rights turn into a privilege which very few can enjoy. Any normal person today in the whole of United States has to take an education loan at one point of time to pay for their education fees.

read more
CONSOLIDATION NEWS
Schools Will No Longer Receive Paper FAFSA Forms
(September 20, 2007)

news desk
CALCULATORS
Stafford Loan Payment Calculator
PLUS Loan Payment Calculator
Loan Consolidation Payment Calculator
Articles
Calculators
FAQs
Glossary of Terms
Loan Comparison Chart
Scholarship Search
If you don't know who currently holds your loans, we can find lender names and addresses for you. Give us a call at 800-821-5659--this information is free, and you will be under no obligation.
US School Directory
Comprehensive List of Schools at which EdFed Assists Students.
EdFed is a FFELP lender with lender identification number 834241.
© Copyright 2020 EdFed. All Rights Reserved.

Home · About Us · Contact Us · News · Sitemap
Career Advice · Tell a Friend · Privacy Policy · Resume Service
Resume Distribution Service · Post Resume · Job Search Course
EDFED NEWSLETTERS
Sign up for the latest news on student loans.
Email Address:
+ Most Recent Newsletter
+ Newsletter Archives