LANSING – As Michiganders prepare for the upcoming fall semester and start paying their college tuition bills, the Michigan Department of Treasury’s MI Student Aid Team is asking students and their families to be alert and informed when considering student loans.
“Michigan students and families cover a considerable amount of their higher education costs,” State Treasurer Rachael Eubanks said. “When student borrowers become their own financial advocate, they can better understand how to manage and leverage the financial aid they receive. Please carefully consider only accepting those loans that are needed. The choices made by students today will have outcomes later in life.”
To make the best decision regarding student loans, the MI Student Aid team recommends seven best practices when considering student loans:
• Complete the Free Application for Federal Student Aid (FAFSA). Colleges use information from the FAFSA to determine their financial aid awards. By completing and submitting the FAFSA, students maximize all their financial aid options.
• Understand loans must be repaid. Not all financial aid included in a financial aid award letter is free money. Many financial aid awards will include federal student loans. Unlike grants and scholarships, loans must be repaid with interest.
• Check the amount of interest being offered on a…
