do we have to pay interest for education loan while studying in USA.
By Dharmesh Patel
Dec 17, 2022
Whether or not you have to pay interest on your education loan while studying in the US will depend on the type of loan you have.
Federal student loans, which are offered by the US Department of Education, typically have a grace period during which you are not required to make payments.
During this period, interest will not accrue on Direct Subsidized Loans and Direct Unsubsidized Loans.
However, interest will accrue on Direct PLUS Loans during the grace period and while you are in school.
Private student loans, which are offered by banks and other financial institutions, may have different terms, depending on the lender and the loan.
Some private student loans may have a grace period during which you are not required to make payments, while others may require you to begin making payments while you are in school.
It's important to carefully review the terms and conditions of your loan before borrowing to understand your repayment obligations.
It's also worth noting that you may be able to pay the interest on your loan while you are in school to avoid having it accrue and increase the overall cost of your loan.
This can help you save money in the long run.