Subsidized and Unsubsidized Student Loans Obtaining student aid
can be more complicated than playing the stock market. There are
literally hundreds of possible scholarships, loan programs and
other forms of assistance. But for the overwhelming majority a
Federal student loan program is the most likely source of funds
to help pay for school. Most of that money loaned is associated
with one of only half a dozen programs. Stafford (for students)
and PLUS (for parents) with a couple of variations cover most
circumstances. But beyond the program names/types themselves,
there are two common categories that those seeking funding
should be aware of. Which you choose can have a substantial
financial impact down the road. The two categories are:
subsidized and unsubsidized college student loans. Students
generally make no payments on either type until six months after
leaving school whether they graduated or not. But because of the
fact that interest amounts are calculated on the outstanding
principle (the loan amount)