Take out loans from bank for tuition??

[vk223]

I just looked over my award letter again few days ago and realize that there's a ridiculous high fee for the Direct graduate plus loan. Around 1,000 for 25,000 I'm borrowing which is 5% just for the fee. Plus the higher interest rate, I feel it's really not worth it.

Does anyone have experience taking out loans from the bank for tuition? Which bank would be the best? I looked up on discover website seems like they have $0 loan fees?

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[MahiMahi]

I'm not up to date on private loan banks, but you can definitely get a better rate if you're willing to go with a private loan. Various student loan comparison web sites exist.

The downsides are that you lose a lot of the student loan protections/benefits (e.g. being able to defer your loans, grace periods, public service loan forgiveness, changing your repayment plan.) You'll definitely get a better rate though with a good credit score.

 

[oralcare123]

I may be wrong, but I heard, that with bank loans you have to make monthly payments while you are still in school