Iowa Student Loan Information

Want some money for school?  Live in Iowa or going to school there?  A student loan may be an option to consider.

What is an Iowa student loan?  Well, like many other loan products, the name can be a little confusing.  Basically, the name refers to an organization that manages federal student loans in addition to offering a few loan products of its own.  Following is an overview of the organization from the Iowa Student Loan website

Iowa Student Loan was established in 1979 as a private, nonprofit corporation with a mission to help students and parents obtain the financial resources needed to fund postsecondary education. Since then, Iowa Student Loan has helped more than 260,000 students pay for college.  The company is based in West Des Moines, Iowa, and employs 370 employees. Today, Iowa Student Loan has managed $3.7 billion in student loans.

Who is eligible for an Iowa Student Loan?

The answer is “it depends”.  The organization manages federal student loans such as the Federal Stafford Loans, Federal PLUS Loans and Federal Grad PLUS Loans. Students need to fill out the Free Application for Federal Student Aid (FAFSA Form) to find out if they are eligible for federal loans.

In addition, the Iowa Student loan organization offers private loans that are state-specific, such as the Partnership loan. 

Eligibility criteria depend upon the type of loan for which you are applying.  These loans are designed specifically to help those individuals who have already exhausted their other sources of income and are in need of additional assistance to complete their education

Are there any special programs?

The Iowa Student Loan organization has been a leader in providing special services to certain groups very much in need of assistance.  For example:

• The Iowa Student Loan Nursing Education Loan Forgiveness Program, which offers loan forgiveness rebates totaling between $5,000 and $20,000 over a four-year period, was created to provide recruitment and retention incentives to reduce the shortage of nursing educators and nurses in Iowa.
• The Iowa Student Loan Teacher Education Loan Forgiveness Program is designed to aid recruitment and retention of teachers in state-designated shortage areas, with loan forgiveness up to $9,000.
• In 2007, Iowa Student Loan created the Armed Forces Interest Reduction Program offering 0% interest on private student loans for service members who have served, or are serving their country during wartime efforts since Sept. 11, 2001.

Where can I learn more?

The first place to stop for more information about Iowa Student Loans is their website at www.studentloan.org.  Here you will find a wealth of resources, including:

• Frequently asked questions about students loans and the Iowa student loan approach
• Forms / applications and step-by-step instructions for applying
• Tips and techniques for managing your loans, including budgeting advice and how to sign up for automatic payments
• Calculators to determine what your payments might be under certain loan scenarios

With so many options for financing a post high-school degree, there’s no excuse for not plunging into the world of higher education – especially in Iowa.