Kentucky Higher Education Assistance Authority
KHESLC offers student loans
Louisville, Ky. (June 12, 2012) — Kentucky students who need help paying for college may want to consider a Kentucky Advantage Education Loan from the Kentucky Higher Education Student Loan Corporation (KHESLC).
The low-cost loan is intended to fill the gap between other financial aid a student receives and the total cost of education. Students should apply for all free aid, such as grants and scholarships, before applying for Federal Stafford Loans. Federal Stafford Loans do not have to be repaid until the student is out of college.
Students who still need financial assistance may then apply for the Kentucky Advantage Education Loan.
To qualify, a borrower must:
· Be enrolled in an approved school.
· Be 18 by the date of application.
· Be a U.S. citizen or a non-citizen with a proof of residency card.
· Have an acceptable credit history or an approved cosigner.
The loan is only available to students attending Kentucky colleges and universities and Kentucky residents attending colleges and universities outside the state.
Borrowers who begin repaying the loan while in school pay a fixed interest rate of 7.25 percent and a 2 percent guarantee fee. If they postpone payments until after they finish school, the interest rate is 7.75 percent and the guarantee fee is 3 percent. Borrowers will also receive a 0.5 percent interest rate reduction for auto debit payments.
Applications may be submitted online at kheslc.com. For more information, call 888-678-4625.
KHESLC is a public, nonprofit corporation that provides education loans for students and parents. It was established by the Kentucky General Assembly in 1978.
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