How to Get or Refinance Delaware Student Loans

If you’re attending the University of Delaware or another college in the First State, you might be on the hunt for Delaware student loans. As long as you don’t overborrow, loans could be a smart way to cover the costs of your education.

Let’s take a look at options to pay for school in Delaware (after you’ve exhausted your options for scholarships and grants), as well as what to do if you already have Delaware student loans. We’ll deal with three main topics:

Delaware student loan options Delaware student loan forgiveness Refinancing Delaware student loans Delaware student loan options

Once you’ve exhausted your options for money through grants and scholarships, you’ll have the option to borrow student loans, whether through the government, banks, credit unions or online lenders.

Federal student loans

There are a few federal student loans for which you could qualify, depending on your level of need. They include:

Direct subsidized loans: Need-based aid awarded by the government. Direct unsubsidized loans: Non-need-based aid available to all students. Direct PLUS loans: Available to students enrolled in a graduate program, as well as to parents of undergraduates. Unlike other direct loans, direct PLUS loans require a credit check. Direct consolidation loans: Combine your federal student loans into a single loan with one payment.

Subsidized and unsubsidized student loans don’t require a credit check. You also don’t need to start paying these back until six months after graduation.

Private student loans

If you’re coming up short on funds after receiving federal aid, you might want to think about getting private student loans. These terms are more stringent than federal student loans.

They usually require you to get a credit check and have a decent credit score to get approved. Since most undergraduates don’t have much credit to speak of, they get private student loans by applying with a cosigner, such as a parent.

If you’re looking for private student loans, compare the top online lenders to find the best one for you. Shopping around could help you find a loan with your lowest interest rate (and lowest costs of borrowing).

You can also contact your local bank branch or credit union to see if they offer private student loans.

Delaware student loan forgiveness

If you’ve already graduated from college or are currently enrolled, there are some forgiveness options available:

Delaware State Loan Repayment Program Delaware Nursing Incentive Program Christa McAuliffe Teacher Incentive Program Delaware Teacher Corps Ada Leigh Soles Memorial Professional Librarian and Archivist Incentive Program Optometry Incentive Program Speech/Language Pathologist Incentive Program Delaware State Loan Repayment Program

The Delaware State Loan Repayment Program is available to some health care professionals working in underserved communities. If you have loans that aren’t in default, work in a designated site and are a U.S. citizen, you could qualify for up to $100,000 in aid.

Delaware Nursing Incentive Program

The Delaware Nursing Incentive Program awards up to $5,000 per academic year to nursing students who are residents or current state employees. You can get loan forgiveness if you work at a state-owned hospital or clinic.

Christa McAuliffe Teacher Incentive Program

If you’re enrolled in college and plan to teach in a Delaware public school for at least a year, you could qualify for the Christa McAuliffe Teacher Incentive Program. Preference goes to those who will teach in a designated critical need area. The award amount is $5,000 for each year you teach in a Delaware public school, and it is renewable for an additional three years.

Delaware Teacher Corps

If you’re planning to teach in special education, math, science or another shortage area, you have a strong chance of qualifying for the Delaware Teacher Corps. You can also teach in other areas of critical need to qualify. You get a year of loan forgiveness for each year you teach.

Ada Leigh Soles Memorial Professional Librarian and Archivist Incentive Program

For the Ada Leigh Soles Memorial Professional Librarian and Archivist Incentive Program, you need to first complete a Free Application for Federal Student Aid (FAFSA). This is available to undergraduate students who have worked at least two years at a qualifying library, as well as graduate students pursuing a related degree.

One year of loans is forgiven for undergrads for each year of employment at a library. For graduate students, one year of loans is forgiven for every two years of employment.

Optometry Incentive Program

If you’re a full-time graduate student getting an optometry license, you could qualify for the Optometry Incentive Program. You could get an award of $4,000 for every year you’re employed as an optometrist in Delaware for up to four years.

Speech/Language Pathologist Incentive Program

If you’re on track to becoming a speech-language pathologist or you already are one, you might qualify for the Speech/Language Pathologist Incentive Program. This program provides an award of $5,000 if you have been employed at a Birth to 3 Early Intervention System location or a public school. The award is renewable for one additional year.

Refinancing Delaware student loans

If you don’t meet the standards for loan forgiveness programs, there are other ways to ease the costs of student loan debt. Once you’ve graduated, you can look into refinancing your student loans.

Refinancing replaces all your loans with one new loan. This could lower your monthly payments or interest rates — or both. Compare online lenders to see which ones have the lowest fees and best financing options for your situation.

Keep in mind that if you can’t find a lower interest rate or your new terms don’t have lower monthly payments, refinancing student loans might not be best for your situation.

You also could lose certain federal protections if you refinance your loans, so weigh all your options before making your decision.

Avoid drowning in student loan debt

It’s hard to pay for college when costs are high, so getting student loans can help you afford college in the short term. In the long term, though, they can be difficult to repay if you aren’t prepared.

Do your best to find as much money as possible through grants, scholarships and family members before applying for loans. If you’re still having trouble getting money, consider loans to cover the rest of your college costs.

Rebecca Safier contributed to this report.

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