Total Federal Allocation for Students?

[Anonymous]

Hello forum, 

I am new here and enjoy all the learning one can do on sites such as these!  

My question is, I saw that someone said they used up all of the assistance money for student loans from the federal gov't and that they were considering taking a private loan (bank, etc..) to help pay for some extra schooling.  What is the limit allowed?  What is the limit based on?  This information will help me much, as I am considering options for Post-Graduate schooling.  Thank you and I look forward to your responses! 

[Anonymous]

I do not know what the limit is, but private loans are credit-driven, unlike Federal loans, so that probably has some determination in the amount you'll be able to borrow.  Try to take out as little as possible in private loans, even if it means cutting back your expenses drastically and scrimping for a while. 

Private loans are not guaranteed by the Federal Government, and depending on your credit, you may need a co-signer.  If you ever fall behind or default, they will be much quicker to pursue collections or sue you.  Also, they cannot be rehabbed (at least, not that I am aware of), so if you ever do default, it'll be on your credit report (and your co-signer's!) for a long, long time.

Message Edited by Mike14 on 01-20-2009 03:37 PM

[Anonymous]

Thanks, Mike,

I will not be taking any private loans for educational purposes.  I simply wondered when the "stream runs dry" for federal loans for education!  I do believe that there is a limit there somewhere, just not sure where.  Nor do I think I am near that point!  I have $22,000 in student loans and am going to graduate in less than a year.  Thanks again! 

[Anonymous]

Sorry for the misunderstanding.  Try http://www.finaid.org/loans/studentloan.phtml for a chart of loan limits.