Question about the Education One Loan?

Im going to attend texas a%26amp;m international university next fall, but i only got the pell grant for $2360 and te acg grant for $750. the school is also offering a subsidized loan of $3,500, totaling in $6,610. The estimated total cost of attendance is about $16,058. I dont want for money to be the reason i dont go to college. I got this one letter from the chase bank, and they are offering me up to $40K for my education. I talked to my parents about it, and my father agreed to be my co-signer. But i still have a question before going forth with all of this. Is the amount i get from the grants i got and the subsidized loan per year or semester? if i get, oh, lets say $12k from the education one loan, will i receive that money per semester? per year? or will they just give me the money and thats that? what would you do if you were me, would you deny the subsidized loan from the school completly?

also, can i buy a car with that money? cuz i kinda need one.

Question about the Education One Loan?

let me get this straight...you are considering denying a subsidized loan (need based loan that the government will pay the interest on while in school) for a private loan that will accrue interest once the moeny is disburse to you. Hmmmm. I guess go for the private loan. The loan will be divide between the fall and spring semester. Just because your cost of attendance is 16,000 per yr does not mean you will acutally pay 16000 for the year. That is just a generalization. Meaning, significant amount of students will pay significantly less. You will be to determine how much it will cost you within the 16,000. So, calculate how many credits you plan on taking and multiply it by 2 and figure out how much housing cost per year. Then add in books, make sure they are used. This is your cost for the year. I recommend you get a part-time job to assist with the cost.

Question about the Education One Loan?

I really don't think you should deny the subsidized loan and definitely dont' deny the grants. The grants are FREE money! The award is probably for the year, which means they will apply half of each amount toward each semester's bill.

It's not likely they will actually hand you the money - they will however apply it to your student account.

The Chase loan must be a private loan and those usually have the least favorable terms. What is the interest rate? Do you get a grace period? When do you have to start paying interest?

With the subsidized Stafford loan, the interest rate is 6.8%. You have a 6 month grace period (in other words once you graduate you have 6 months before you have to start paying the loan back).

If you still need more money, maybe you can receive an 'unsubsidized' Stafford loan. It's exactly like the subsidized except for the unsub you are responsible for the interest even while you are in school. For the sub loan, the gov't pays the interest for you.