VSAC Borrower Benefits for Graduate/Professional Students
2008-2009 Academic Year*
Easy to Get; Easy to Keep
Borrow a VSAC Stafford or Grad PLUS loan and automatically qualify for VSAC's great borrower benefits.
SAVE ON FEES*
VSAC pays fees on your behalf!
No Fee Stafford Loans
VSAC Stafford loans are not charged any federal origination or default fees.
Reduced Fee Grad PLUS Loans
VSAC Grad PLUS loans, approved on or after 5/19/08, are not charged a federal default fee.
INTEREST RATE REDUCTION*
VSAC Stafford & Grad PLUS loans automatically receive a 1% interest rate reduction upon entering repayment.
VSAC Makes It Easy…- Keep the lower interest rate as long as you make your payments within 21 days of your due date.
- If you make a late payment; get the lower interest rate back by making 12 consecutive on-time payments.
- You won’t lose your interest rate reduction during periods of deferment and forbearance.
- Make your payments online; VSAC provides an online payment service which allows you to avoid postal delays.
SAVINGS**
Check out how VSAC’s borrower benefits reduce your overall cost of borrowing.
| Loan Type | Total Borrowed |
Total Cost without VSAC Benefits |
Total Cost with VSAC Benefits |
Total Savings with VSAC Benefits |
|---|---|---|---|---|
| Subsidized Stafford | $17,000 | $23,800 | $22,090 | $1,710 |
| $41,000 | $57,435 | $53,301 | $4,134 | |
| Unsubsidized Stafford | $17,000 | $26,326 | $24,467 | $1,858 |
| $41,000 | $63,509 | $59,022 | $4,487 | |
| Grad PLUS | $17,000 | $27,800 | $25,916 | $1,884 |
| $41,000 | $67,027 | $62,489 | $4,538 |
Calculation Assumptions:
Stafford: Two loans of equal amounts are borrowed over a two year period. The loans enter repayment after two years, plus a six month grace period. The repayment term is 10 years. Unsubsidized Stafford loans begin to accrue interest at disbursement. The interest is added to principal when the loans enter repayment.
Grad PLUS: Total Borrowed is from one loan. The loan enters repayment once fully disbursed and then is deferred for two years. The repayment term is 10 years. Interest begins to accrue at disbursement. The interest is added to principal at the end of the two year deferment period.
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* Borrower benefits described are for Stafford and Grad PLUS loans with a first disbursement on or after 7/1/08, unless otherwise noted. VSAC evaluates borrower benefits each academic year and reserves the right to modify, terminate, or discontinue them at any time, at its sole discretion.
**Estimated savings based on loan type, loan terms as of 7/01/08, and 10-year repayment period.
