2.++Bank+and+Student+Loans

** BANK and STUDENT LOANS **
Students will choose a bank to deposit their salary/wages. They will tell why they have chosen this particular bank, and they will indicate which services they will use at the bank. Also, students who plan on attending college will, most likely, have to pay back student loans. The student should speak with their parents and estimate what they think they will be asked to pay for these loans. If this number cannot be determined, then the student should determine the national average for student loans and set up a payment plan in their budget. There are a few websites below that will be helpful in determining a student loan repayment plan. Remember to consider you profession’s national average if this information can be determined (SOL. GOVT. 15a, 16c, 17)

· Include information on a checking account, online banking services, a savings account, an ATM card, and credit cards.
· List fees for services, interest rates, overdraft protection, and limits on accounts. · Complete a sample application from a bank. Any pamphlets/advertisement containing information on the financial application will be accepted! (completed by student) · Name the college attending (if necessary) and tell the total tuition costs. · The student should, then, estimate how they will finance schooling through parent contributions, work study, inheritance, etc. Once they have done this, they should have a reasonable idea of how much student loans they will need to repay. If the student plans on going to graduate, medical, law, or any other type of professional school they should consider this when determining the above information. (For example, consider the following information from the American Medical Association in their 2007 Graduation Questionnaire): Student debt statistics

§ $139,517 – According to the Association of American Medical Colleges, the average educational debt of indebted graduates of the class of 2007. The average debt of graduating medical students increased in 2007 by 6.9 percent over the previous year. § 75.5 percent of graduates have debt of at least $100,000 § 87.6 percent of graduating medical students carry outstanding loans NOTE: If the student claims that their parents will contribute to college expenses then the parents MUST complete and sign the following statement. Signed: ___ ||
 * “I __(name)__ intend to contribute $ __(total cost)__ over _(length of time)_ for my child’s education following high school.”

· Set up a monthly payment plan for paying back student loans. Use the following website (if you wish) to determine interest rates for various student loans: []

Resources:

 * SallieMae
 * Bankrate
 * FinAid: The Smart Student Guide to Financial Aid
 * College Board
 * Chase Student Loan Calculator
 * CNNMoney.com

Students are NOT to claim that scholarships will pay for their education unless they already have written documentation from the organization giving scholarships.