Graduate Financial Aid

A blog about how to pay for graduate school

05.21.09 | Getting your Graduate Degree Online

If you have been toying with the idea of getting your master’s degree online, I wanted to supply you with compsome important information that may assist you in getting closer to achieving your goal. First off, many online schools participate in the Federal loan program, which means you can borrow the low rate Stafford loans and the Graduate Plus loans to fund your graduate degree. This is a huge help to all of us who are struggling in this stalling economy and also for those who simply do not want to drain their savings.

There are many online schools to choose from and the best place to start is to research them all and see which ones offer the program you need. Click here for a database on online school’s and online degree programs for graduate students.

Taking classes online can be a very convenient avenue for many to take, especially considering you can take the class on your on time. Once you log in to your course, you can interact with other students in chat rooms and you can ask questions and interact with your peers, just as if you are were in the class room. Usually an online class is broken down into lessons, which you complete in order. There are scheduled tests that you take, which are often timed, or sometimes you may have assignments that you need to complete and email to the teacher by a certain date. These types of classes do take a lot of self discipline so if this is not your strong suit, I wouldn’t enroll in an online degree program.

Just to get an idea of how many schools offer the program you need, and what those programs cost, definitely check out this directory and feel free to visit the Financial Aid Forum where you can ask other students who have completed online degrees about their experiences with it.

04.24.09 | Grad Schools Cutting Enrollment

Posted in Program Specific Graduate Private Loans by The Wise One

This article from the Wall Street Journal explains why schools are being forced to reduce the number of students enrolling in certain graduate programs. Is anyone surprised? I am not.

So You Want to Be a Professor?
By NAOMI SCHAEFER RILEY

Late last month, the Web site Inside Higher Ed reported that several universities were shrinking the number of students admitted to their Ph.D. programs this year. Emory University is cutting its doctoral students by 40% — admitting 220 this fall, down from 360 a year before. Columbia is reducing its intake by 10%. New York University is planning a reduction, although a “very modest” one, according to school officials. And the University of South Carolina is considering a plan to have some departments admit doctoral students only every other year.

There are several reasons for this doctoral downsizing. For one thing, teaching graduate students costs universities money — at least on first glance. Ohio University economist Richard Vedder estimates that schools spend anywhere from five to 15 times as much on graduate students as on undergraduates. Grad students are taught in small classes with senior professors. And students in doctoral programs (as opposed to those who leave after taking master’s degree) are generally on some kind of fellowship. They pay no tuition and receive a school-year stipend between $10,000 and $20,000.

But graduates students also act as teaching assistants, doing a great deal of time-consuming classroom work (and grading) that professors themselves are thus not compelled to do. In all sorts of courses, especially in their freshman and sophomore years, undergraduates may find themselves being instructed more often by a 25-year-old doctoral candidate than by the university’s full-time faculty members, who, of course, already have their doctorates (and one or two books to their credit, too). It is an odd, upside-down arrangement, but it has an economic logic: By providing cheap labor, graduate students save college administrations millions of dollars each year in salary costs.

So why the cuts? Well, the calculations work out differently for different schools. For instance, universities in lower tiers might not have to do as much because they can get away with having a higher percentage of classes taught by graduate students. But some of the schools making doctoral cuts this year gave compassion as their reason. Catherine R. Stimson, the dean of Graduate School of Arts and Science at New York University, was quoted in Inside Higher Ed: Given the state of the academic job market, she asked, referring to would-be doctoral candidates: “Is it fair to bring them in?”

It sounds like a logical question, but is it really? After all, the dire academic job market is nothing new. As Peter Berkowitz recalls from his time as a graduate student and professor at Harvard and Yale in the 1980s and ’90s: “The departments knew that something like half the students they admitted to their programs wouldn’t get Ph.D.s.” And, says Mr. Berkowitz (who is now a senior fellow at the Hoover Institution), “something like half of those wouldn’t get tenure-track jobs.”

In an article called “Contingent Faculty and the New Academic Labor System” (2004), Gwen Bradley notes that an academic job shortage is rarely the result of some surprising lurch in supply-and-demand curves, since “the same institutions both manufacture and consume the Ph.D. product.” In other words, universities know very well that they are producing far more Ph.D.s than they need. Compare this situation with the medical profession. Even if medical residents are made to work long hours under difficult conditions, the vast majority of them will get jobs as doctors. The vast majority of, say, Ph.D.s in English literature will not. Given that the typical doctoral degree takes six or seven years to complete (during prime job-training and family-forming years), there is a moral problem here. It is no great exaggeration to say, as Mr. Berkowitz does: “Many lives are ruined this way.”

With more and more people going to college, one might reasonably wonder why there hasn’t actually been a shortage of Ph.D.s in recent years. Two decades ago William Bowen, a former president of Princeton University, predicted as much, claiming that there would soon be far more university teaching jobs than academics to fill them. He co-authored a study foreseeing “a real shortfall” in the humanities and social sciences starting in the late 1990s.

The shortage never materialized. Even during boom times, there was not much of an uptick in job listings for university faculty. Any increase in job demand was met by an overwhelming increase in labor supply. Universities began hiring adjunct faculty members. They typically teach courses at more than one school. (In California, they’re referred to as “freeway flyers.”) They don’t get benefits and, all told, probably earn less than minimum wage.

Not surprisingly, these adjunct faculty members are feeling exploited and getting angry. In recent years, their concerns have been taken more seriously by the American Association of University Professors, which now has committees engaged in rigorous hand-wringing over their ordeal. Marc Bousquet, the author of “How the University Works,” sees a couple of key ironies in the academic job market: Getting a Ph.D. now often means the end of an academic career rather than the beginning of one; and the American university, which claims to be an egalitarian institution, relies on people who can only afford to take badly paid adjunct teaching positions because they have another source of income, either from a spouse’s job or a second job of their own.

One response may be: So what? Is there any compelling reason that universities — as self-interested as any institution — should reconsider their employment policies? Why not staff classes with adjunct labor? Why not give customers the same product at a lower cost?

The last question points to a bigger problem, though: Is it the same product? Who knows? Higher education has gone so far off the rails in recent years that parents and students hardly know what they are supposed to have learned in a freshman composition course or in Sociology 101. And as long as there is a degree waiting at the other end, they hardly care.

Ms. Riley is the Journal’s deputy Taste editor.
Article link here

04.20.09 | One Stop Shop for Federal Loans in ‘10?

Monday Morning Rant…

President Obama’s recent plan to eliminate private lenders from the private student loan market would be damaging to students and take away a students right to choose.

At present there are two primary lending options for students; the government’s in-house program and private lenders such as Sallie Mae, Suntrust, Discover Student Loans, Wells Fargo, Bank of America, and Citigroup to name a few. Obama’s plan would move all federal loans such as the Grad Plus and Graduate and Undergrad Stafford loans over to the government’s in-house program leaving private lenders out in the cold.

The private sector has been supplying funding for students for years and now, by 2010, the government could pull the rug out from underneath them if Congress gives the O.K. This would have a crippling effect on the public sector costing thousands their job.

Having options is what makes this nation so great. If we didn’t have Burger King and Wendy’s than McDonald’s could charge $6 bucks for a cheeseburger with no competition. What kinds of fees will the government be attaching to these loans? What type of borrower benefits would exist? Private lenders help the student loan industry, not hurt it.

I don’t know about you, but I don’t want any one entity monopolizing the federal student loan industry. As a consumer I want options.

09.17.07 | Where Is My Student Loan Money?

You filled out your applications on time. You have submitted and signed your documentation. You have dotted your i’s and crossed your t’s so what in the world is taking so long with your loan disbursement

There are a number of reasons student loan processing is going a bit slower than in previous years. Scandals in the student loan industry have made many students leery of their school’s preferred lender lists and have prompted them to seek their own lenders, mostly online. On the other hand, schools have had to scramble to get new processes in place, update website and financial aid collateral to reflect the changes in the industry and inform borrowers of their right to choose a lender. Schools, lenders and guarantors have had to certify those loans in various different ways. Historically, schools have had processes in place that while expediting the process, limited borrower choice. The result has been longer than expected processing times and later than usual disbursement dates.

If you are waiting for loan funds to come in, here are some tips to expediting the process:

1) The best way to get information on your loan is to speak with the lender you applied with. Your lender will be able to tell you if your loan is complete and if a certification request was sent to your school.
2) Be sure you have completed all of your loan documentation. Don’t just assume that you are done. Ensure that if you have signed and returned your Master Promissory Note and that it has been sent to your school for certification.
3) Double check with your school to verify they have received a certification request from your lender or guarantor.
4) If your school states that they have not received a certification request and your lender and or guarantor states that one was sent, verify the date and how the certification was requested. Then ask your school’s financial aid office to contact your lender to get the certification processed. If your lender states that the certification request was faxed, verify the fax number with the lender and the school. This will help speed up the process of getting your funds.
5) Lastly, double check your school’s preferred disbursement date. Your loan may be ready to be disbursed but your school ultimately decides when the funds are to be credited to your account. Knowing when your disbursement date is helpful especially if you are expecting a refund from your school.

It is a challenging year for everyone in the student loan industry but we are all committed to ensuring borrowers have choice and ease of process. For more information on the student loan process, please visit our website at www.GradLoans.com.

10.30.06 | Other specialty Graduate level loans

Posted in Program Specific Graduate Private Loans by The Wise One

In a previous post, we talked about Bar Exam loans for Law School students who have finished their courses but still need some money while studying for a Bar Exam. During this time, we understand how busy things are – you study study study and have no income yet you still need some money to pay for expenses such as living, books and more. In fact, taking the bar itself costs a few hundred dollars (depending on what state you are taking it in.) Along the lines of this Law school bar exam loan, GradLoans.com also offers verious residency loans for Medical. Residencies, again, are a lot of time and work with not a lot of cash flow coming in. For this GradLoans.com offers these residency loans – up to $15,000 and it can even help to cover relocation costs. This residency loan applies to dental and osteopathic medicine students, also. I was talking with a recent dental school graduate who had no idea this type of loan even existed – she indicated that during residency, she was low on funds and that this would have been a great option for her. Check out loans for medical, dental, and law school students!