For the nearly eighteen million students estimated to be attending colleges and universities across the country this fall, studies show that up to 90 percent will need some kind of financial aid assistance to foot the bill. MyRichUncle(TM), the student loan company focused on shifting the industry to work in the best interests of the student, has been originating private student loans for over one year, and just recently announced its offering of Federal Student Loans, with an immediate interest rate reduction at repayment of one to nearly two percent versus all other national providers.

“We have received a tremendous amount of attention and feedback regarding our federal student loans. The most interesting, though, is the notion that we’ve started a price war,” said Raza Khan, president and co-founder of MyRichUncle. “The fact is that today, students and parents who choose to get their federal loans with MyRichUncle will simply pay less; going anywhere else will cost you more.”

As the first lender to buck the trend of a fixed market price on Federal Student Loans, MyRichUncle is providing parents and students with the following guidelines to ensure they’re receiving the best overall price on all the loans they will need to pay for education:

1. You are your own best resource for getting the best deal. Insider’s
note: At nearly every college across the country, a staffer at a
school’s financial aid office is not a chartered financial planner and
therefore not licensed to give you financial advice or select a lender
based on criteria that is important to you as an individual. By
shopping around you can guarantee you’re getting the right deal for
you.

2. Look for lower interest rates but read the fine print for caveats such
as “after 36 on-time monthly payments.” Insider’s note: It is an
automatic disqualification to be late on just one, and in most cases
you can’t make it up in instances when qualification is counted from
the first payment.

3. Research, Calculate, Compare. Insider’s note: Because a loan is not a
tangible product such as a MP3 player or a pair of sneakers, and
because most students don’t pay back a loan for several years, shopping
around for the best price doesn’t always seem easy. Be price
sensitive. A student loan will be with you longer than most tangible
items!

4. Never borrow more than you need.

5. Understand the financial path your career choice will take you down.
If you enter a field with a high starting salary, such as accounting or
engineering, you should be able to afford to pay back on a more
substantial level of debt than career paths which have lower starting
salaries that escalate in the future. Insider’s note: Graduated and
income-sensitive payment structures are available on some Federal
Student Loans.

6. Defer payments if you’re not certain you can make interest and
principal payments, or interest only payments while in school.
Insider’s note: A deferred repayment structure will cost more in the
long run but a missed payment will have a negative impact on your
credit score.

7. Shop for the absolute lowest price and then look for borrower benefits
that BEGIN at repayment. Insider’s note: Auto-debit payments will
usually save you an additional quarter percentage point in repayment.

8. Know your rights. Insider’s note: It is illegal for a financial aid
office to not certify your federal loan if you are determined eligible.
You have a right to shop for and secure the best price possible for
your loans. Don’t get bullied into choosing another lender.

“Above all, keep in mind that this is debt that you’re taking on and it’s serious. If you make a poor decision now, it could impact your life for many years,” said Vishal Garg, chief financial officer and co-founder of MyRichUncle. “There is a national dilemma of students struggling with unprecedented debt from student loans. It is absolutely imperative to make better decisions now, for the sake of the decisions you’ll want to have the opportunity to make in the future.”

For more information on MyRichUncle, its Federal Loan products and suite of private loans, visit http://www.MyRichUncle.com.

About MyRichUncle

Since May 2005, MyRichUncle, the innovative brand force of MRU Holdings, Inc. (OTC Bulletin Board: MHOI - News), has originated private student loans with a student-centric approach. Utilizing a pop-digestible philosophy towards lending combined with breakthrough underwriting platforms, MyRichUncle is re-shaping and shifting the student loan industry by creating new levels of technology that enhance its understanding of borrowers with thin credit files, namely students. At MyRichUncle.com, prospective borrowers can glean a greater understanding of the student loan process. Founders Vishal Garg and Raza Khan have been innovators from the start, with an ultimate goal to change an industry that doesn’t function in the best interests of the students. MyRichUncle is based in New York City.

Source: MyRichUncle

This entry was posted by Taman Siswa on Tuesday, June 27, 2006 at 11:44 pm and is filed under Education News, Scholarship. Tags: College, Education News, Financial Aid, Loans, Student, Student Loan, . You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.