Fannie Mae Student Loans

Fannie Mae was chartered in 1934 as an FHA insured mortgage organization. It expanded into also including VA-backed mortgages after World War II. Currently, it is a government sponsored enterprise whose main purpose is to ensure the availability of money for mortgage lenders so that affordable home ownership is possible for as many people as possible. Only mortgage companies are supported by it; home loans are not offered by Fannie Mae. Student loans are also not offered by this enterprise.

Fannie Mae Student Loans

Fannie Mae does not offer any kind of student loans. Most people confuse it with Sallie Mae which provides federally insured student loans under the Federal Family Education Loan Program (FFELP). Both are completely unrelated because the former deals only with house mortgages and the latter only with student loans.

Your Other Loan Options

There are several student loan options from which you may choose from. The first option you should explore is the federally administered student loans. The foremost step is to fill out and submit the Free Application for Federal Student Aid (FAFSA). This application will score you on how much federal aid you are eligible for. Besides the FFELP mentioned above, some of the federal student loans include:

  • Federal Stafford Loans
  • Parent PLUS Student Loans
  • Federal Perkins Loans
  • Graduate PLUS Student Loans

Only when you have obtained the maximum amount of federal student aid, either in the form of a loan or in the form of grants and scholarships, should you consider taking out a private student loan. Federal loans have set interest rates which are often much lower than interest on private student loans. Federal loans may all be consolidated too, meaning that all your loans are lumped together and you only have to make one monthly payment when in repayment. However, federal loans do have a maximum amount which you can borrow while private loans have fewer such limitations.

You must choose which loan you apply for very carefully. It is very important that you are familiar with the repayment plan and terms and conditions before you commit to anything. You obviously want a loan which has the lowest interest rate and flexible repayments terms.

Frequently Asked Question(s)

Q:Briefly explain Fannie Mae Student Loans?

A:Fannie Mai is an agency that works on behalf on the government; it offers a range of student loans at low interest rates. These loans are given to students who wish to acquire higher education at college and university level. As it works with the govt, the govt has made sure this agency offers the most affordable loans to students.

Q:Do fannie mae school loans have flexible repayment options?

A:Yes Fannie Mae student loans have flexible repayment options for borrowers. There are three repayments plans which are: deferred repayment option, fixed repayment option and interest repayment option. The deferred plan allows a student the luxury to make no payments while in college. Students can choose from these three plans according to their personal circumstances and preferences.

Q:Does consolidating loans affect Fannie Mae loan rates?

A:Consolidating loans certainly affects Fannie Mae student loans interest rate. By consolidating all your student loans you can make one single payment for all of tem instead of making various individual ones through out the month. This was the over all interest rate of all the loans is combined and subsidized a bit if all the loans are from a state source.

Q:How can I benefit from Fannie Mae Student Loan Consolidation?

A:There are a number of benefits that come with Fannie Mae Student Loan Consolidation. Loan consolidation basically means combining various loan payments into one single payment. Consolidation also helps lower the interest rate to make repayments easy and affordable. This is a convenient method of managing multiple loan payments and interest rates. Many lending companies offer consolidation options.

Q: What are some of the benefits of student loans Fannie Mae?

A:Fannie Mae student loans are one of the best student loans options for students looking for financing for their education, since the eligibility criteria is easy to fulfill, the interest rate is among the lowest on offer and repayment plan is flexible and convenient. Apart from this the Fannie Mae financial aid program also offers the deferment and student loan forgiveness program, this proves helpful for students who need extended time to repay their student loans or have their parts of or the remaining balance of their student loan cancelled.

Q:Tell me about Fannie Mae college loans?

A:Fannie Mae student loans are undoubtedly one of the most popular student loans at the moment, since they are easy to apply for, offer lower rate of interest and a number of easy and convenient repayment options. In the present recession, Fannie Mae's loan deferment and loan forgiveness programs are making these loans the top choice of many students.

Q:While looking for Fannie Mae loans, I discovered cheap student loans. Tell me about these?

A:The best source of Cheap student loans is the federal student loan program, even though a number of private lenders too are now joining this league of cheap lenders. What sets cheap student loan apart from other loans is the interest rates offered, which are generally lower than other loans. In fact a few cheap student loans even offer capped interest rates. Another plus point about these loans is that their repayment does not start until after graduation when the student is suitably employed.

Q:Tell me about the Fannie Mae school grants?

A:Fannie Mae is a foundation that offers many types of student loans and scholarships for students who require financial assistance in terms of their education. The Fannie Mae scholarships can by fulfilling the approval criteria of the scholarship programs. To check out what is required for approval, students need to go online and fill out the application form on the official Fannie Mae website.

Q:I need to know about Fannie Mae student loan deferment?

A:Fannie Mae student loans are one of the most convenient and cheap way of paying for college. Apart from offering lower rate of interest as compared to other loans, and having a number of repayment options available, the best thing about these loans is their loan deferment and forgiveness options. This basically means that students either get additional time for loans repayment or use the federal assistance program to get partial or full loan amount forgiven.

Q:When will I know do i have a Fannie Mae loan?

A:Your loan approval from Fannie Mae will depend on a host of factors that lenders consider before making a loan. Once your loan is approved you will receive notification through email or phone and the funds will be dispersed to your account. You can also check in with Fannie Mae to inquire about the status of your loan.

Q:Is it feasible to opt for Fannie Mae loans for college?

A:Opting for Fannie Mae loans for college studies is the right thing to do as these loans can help you accommodate the study expenses. The interest rates for Fannie Mae loans are low and the repayment options are also flexible which makes it easier for students to go for these loans.

Q:Can you give me information regarding Fannie Mae loans for school?

A:Before opting for any loans the first choice for students should be federal loans as they are easy to get and can make the study expenses more affordable. Fannie Mae loans for school also offer low interest rates and multiple repayment option which makes it a popular choice for students.

Q:Do the Fannie Mae education loans offer loan consolidation plan?

A:Fannie Mae education loans offer a consolidation plan which works for many students who have to take care of several loan payments every month. With the option of multiple loans, consolidated into one main loan the hassle for the student decreases making the payment more manageable as there is only one payment that they need to worry about.

Q:Is Fannie Mae financial aid being scaled back, due to the current economic crises?

A:There are constraints being placed on an all manner of government spending. Fannie Mae has had money pumped in by the Federal Government to ensure that that its borrowers are not unduly pressured by the current economic climate. You should not be unduly worried by what is going on. In fact, Fannie Mae are still lending strongly.

Q:Tell me about the Fannie Mae loan consolidation?

A:Fannie Mae student loan consolidation is for students who have finished their education but are struggling with repayment of their student loans. This program allows such students to add up all their outstanding student debts into a single loan and make a single payment for that one particular loan. This makes it easier to manage multiple payments and also helps them save a lot of money.

Q:Tell me about Fannie Mae tuition assistance?

A:Students can easily get financial assistance for their educational needs from the Fannie Mae student loans but whats best about them is the consolidation service they offer. Lot of times students have a tough time after graduation with paying back the multiple loans they took out for college. Fannie Mae makes life easier for such students by offering them the option of consolidating all their students loans into one consolidated Fannie Mae loan and make a single payment for the multiple loans they took out. This not only saves them from the hassle of making multiple payments but brings down the interest rate as well, thus saving them money.

Q:I am filling out Fannie Mae student loans application. What benefits will I have in future?

A:Fannie Mae Student Loans offer you multiple benefits. They are easy to obtain but more importantly, they have a very flexible repayment program. The interest rate is also low. You will also have the conveniences of loan consolidation and loan forgiveness if the borrower is undertaking work in social welfare.

Q:Can you give me information on Fannie Mae loans for college students?

A:Fannie Mae loans aim to help students who have financial constraints. It offers low interest rates and also provides flexible terms of payment in order to ease the process of managing study expenses. The main source backing the loans is the government hence these loans are reliable and popularly pursued by students.

Q:What are the advantages of Fannie Mae student loans consolidation?

A:As a student you will find it hard to manage multiple loans with different interest rates. Loan consolidation will allow you to combine the multiple monthly loan payments into a single payment based on an interest rate that is a weighted average of your different interest rates. This will result in lower monthly payments and a longer repayment period.

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