MOHELA: Student Loan Provider


What is MOHELA?

MOHELA or Missouri Higher Educational Loan Authority is one of the reputed financial organizations of USA that specializes in providing student loan to the needy students. MOHELA has been providing student loan for the past 20 years. A large number of lenders and institution rely on this company to provide them with the student loan. MOHELA works in conjugation with Missouri Department of Higher Education. With its vast experience and devotion to work, MOHELA has made higher education which is very costly accessible to all the needy students who opt for MOHELA student loan.

What are the various Federal loans offered?

MOHELA offers various kinds of loan to bear the expenses of the educational costs. One such type of loan is Federal Loan. The willing students can opt for various kinds of Federal loan like Stafford, Perkins, Graduate plus etc from MOHELA. This loan covers all the basic educational expenses like tuition costs, living expenses etc. This loan is approved by the government of US and the loan is very cheap and affordable with its low and fixed rate of interest. The rate of interest is around 6 percent and the repayment period varies according to the type of loan that you have opted for. The repayment begins after 6 months and the loan can be repaid latest by 10 years.

What is Private Student Loan offered by MOHELA?

Alternatively if you think that the your educational expenses would not be covered completely under the Federal Loan, you can then go for the Private Student Loan offered by MOHELA. This loan is not government approved and is available at slightly more interest rate as compared to federal loan. This loan is made available to students hailing from any stream and even the bad credit people can avail this loan. The best thing about this loan is that it covers all your educational expenses right from tuition fees to transportation expenses. The maximum amount of loan that you can take in this Private Student Loan is the total cost of attendance minus the financial aid that you receive.

What are the different programs started by MOHELA?

Apart from providing student loan, MOHELA provides many unique programs to reduce the rate of interest charged on the student loan. One such is “Public Service Reward Program”. Under this program, discount is offered on the interest charged on student loan to public service personnel who are working in the state of Missouri. “Rate Relief” program is designed for the Missouri students to lower their interest rate by 2 – 3 percent on Stafford and Perkins loan.

What are the important points to note before applying for the student loan from MOHELA?

In order to apply for the loan, you need to be the citizen of USA and your age should not be below than 18 years. Along with the application form, you need to submit identity proof, address proof and age proof. You can apply either by online or the paper method. In order to apply for the Federal Loan, you would have to fill the FAFSA form. Also you would need to give details about your bank account to transfer the loan amount to your account after sanctioning.

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