Government Subsidized Loans
Direct Subsidized Loans: Available loans to students who have financial need.
Direct Unsubsidized Loans: An option for students who do not demonstrate financial needs.
Interest rate for Direct Subsidized Loans: Undergraduate 3.86% Graduate N/A
Interest rate for Direct Unsibsidized Loans: Undergraduate 3.86% Graduate 5.41%
I will be using the Unsubsidized Loan.
The bank I will be using is Discover. Discover has an interest rate of 5.49%
Freshman: 5,000 (4 years) A=5000(1+0.0549)^4 -------> $6191
Sophomore: 5,000 (3 years) A=5000(1+0.0549)^3 -------> $5869
Junior: 5,000 (2 years) A=5000(1+0.0549)^2 -------> $5564
Senior: 5,000 (1 year) A=5000(1+0.0549)^1 -------> $5274
________
$22,898
I am going to pay off my debt in 10 years.
A=22898(1+0.0549)^10
A= $39,076
$39,076 / 120 = $325/ month
COLLEGE IS EXSPENSIVE SO START SAVING NOW!
