Student Loans that Put More North Carolina Students in College

Apply for Federal and Private Programs

The College Foundation of North Carolina (CFNC) is one of the most proactive state-sanctioned agencies for making federal and private student loans a reality for state resident students and parents. But if you’re in the process of planning for college the CFNC offers a variety of products, services and information, including:

  • College planning tips and tools
  • Student loan calculators
  • Online loan management
  • Student loan applications
  • How-to tips for claiming student loans on your taxes
  • How-to tips for managing your post-college debt

NC Federal Loan Programs

Generally you have three types of student loans to confuse you: the federal student loan programs, state-funded student loans, and private loans through banks and other lenders not affiliated with any government or educational entities.

First step: apply for federal student loans by filing the FAFSA, or Free Application for Federal Student Aid. You can apply for your federal loans via the CFNC website.

  • The Stafford Loan is widely disbursed. Most undergraduate and graduate students that apply for federal aid are approved for some amount of Stafford funds.
  • The Grad PLUS Loan gives graduate and professional students extra loan leverage, but only once they’ve met their Stafford Loan borrowing limit. This is a credit-based loan, but does offer borrowers the option to apply for funds to meet the outstanding balance on their tuition bills. If you have poor credit, consider applying with a creditworthy co-signor.
  • Parent PLUS Loans assist parents of dependent undergrads with meeting the total cost of their child’s education, once federal loans and gift aid have all been disbursed.

Find out much more about the federal student loan programs.

Alternative Student Loans for North Carolinians

The CFNC offers something many other states do not: an affordable alternative student loan. You get low fees and a 6-month grace period, similar to the Stafford Loan. The NC Extra Education Loan comes bundled with the following borrower requirements:

  • You must attend a NC college or university that participates in the NC Extra Loan program.
  • You must have applied for federal student loans.
  • You must maintain a certain GPA.
  • You must have a good credit record to borrow, OR be able to borrow with a co-signor.

Paying Back Your Student Loans

Managing your student loan debt following graduation is one of the trickier things for new North Carolina grads. A couple of repayment options to keep in mind include:

  • The Federal Consolidation Loan is part of the Federal student loan programs, but is not always offered by lenders due to market volatility. This allows you to bundle multiple federal loans into one, which means you pay less each month, but over a longer repayment period.
  • Repayment terms such as graduated repayment or income-sensitive might make good sense when you are deciding on how to manage your debt.

For more information on North Carolina’s student loan programs, visit the CFNC website.