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Loladiamonduk Members-Only Content Refresh #792

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What's the best advice to give to a student who says When determining how much money you will need to borrow in loans for each year of your higher education, you will need to take into account the amount of money you will still need after subtracting scholarships, grants, work study, and personal and family contributions. It's easy to determine which school is more affordable

Just look at how much financial aid they give you! The amount that you should borrow in student loans depends on what you can afford based on your income, savings, scholarships and grants. When deciding how much you should borrow in student loans, it helps to start with a budget for not only the school year but for your total expected time in school

For each additional year that you are in school and take out student loans, your total debt will continue to increase.

How much money should you borrow First, figure out how much college will cost and how much you can contribute, like scholarships, savings, and federal student loans. Understand the problem<br />the problem is asking us to determine the amount of money a student needs to borrow in loans for each year of higher education. The short answer—only as much as you truly need for each academic year

Since borrowing limits are determined annually based on your school’s cost of attendance minus other financial aid, you can’t take out one large loan for all four years upfront. A good rule of thumb is to borrow about 125% of the difference between your net college costs and the amount of income and savings you can devote to paying those costs, rounded up to the nearest $1,000. Your college financial aid adviser can provide you with information specific to your loans to determine the yearly and aggregate limits that pertain to you You may not borrow more than the total cost of your attendance, less any any other financial aid you have secured.

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