Ten points, For my sophomore year student loan- how do I know I'll be approved again? Living expenses?

Question

I have been approved for the whole first year. My loans are through Sallie Mae. From your experience/knowledge, will I be approved for the rest of college? Any idea what my chances are? I'm not sure this isn't a silly question, I just never thought to ask until now... What set me to wondering is that when I tried to take out an extra loan to help me with living expenses I was denied (to any critics, yes I work full time as a vet's receptionist, no I do not eat out or get highlights, and I still need help!) :-) I'm nervous that I won't get approved for next year's school... Also, will my chances next year be any better for taking out a loan for living expenses so I can move out of my parents house? Thank you for reading this; any information is greatly appreciated! -Laura To clarify: my questions are 1) Will I be approved for next year's loans, and 2) will my chances of being approved for a 'living expenses' loan be improved next time around?

Answer 1

The only way you could really find out would be to apply again next year, but if you don't get approved for the whole amount, you could get a credit-worthy cosigner and get much more money at a lower interest rate. So if you're worried about that, maybe find someone to cosign now in case it's necessary later.

Answer 2

Your stafford and/ or perkins loans are not credit based, so assuming you do well in school and meet your schools satisfactory academic progress standards, you will be eligible for loans again. You do need to complete a new FAFSA each year, if you have not done it already do it today!! www.fafsa.ed.gov As for an additional educational loan, your chances are probably the same as last time, because they are based on your credit and income (or income potential). You might want to find a cosigner if you really need a loan.

However consider that you will be paying these loans back for at least the first 10 years, possible as much as 20 years after school. They may impact your ability to buy your first home or car. Is living at home so bad that you can't stave off some debt and stick it out? You could spend more time at school if you need to get out... Just think about which you want more, to move out now or to be able to have that extra money to buy your first home?