SoFi Blog

Tips and news—
for your financial moves.

Aug
07
2025

invest/active/test

By | Uncategorized | Comments Off on invest/active/test

{/* Active-Invest Redesign New Hero */}

{/* updated 1/19/23 */}


Self-Directed Investing

Become an investor—

with no commissions.1

Get up to $1,000 in stock when you fund a new account.2


Trade now

2Customer must fund their Active Invest account with at least $50 within 30 days of opening the account.
Probability of customer receiving $1,000 is 0.026%. See full terms and conditions.

Other Fees Apply†︎

  • Diversify Portfolio

    Invest in stocks, ETFs, IPOs, and alternatives3-all in one app.

  • No Commissions

    No commissions on trading stocks or ETFs. Other fees apply.1

  • Financial Planners

    Access personalized advice from a credentialed financial planner provided by SoFi Wealth.4

  • Fractional Shares

    You don’t have to go all-in. Buy a piece of your favorite stocks for as little as $5.


Trade now

2Customer must fund their Active Invest account with at least $50 within 30 days of opening the account.
Probability of customer receiving $1,000 is 0.026%. See full terms and conditions.


Based on SoFi Members. This claim may not be representative of the experience of all other customers. | Updated: 7/23/2025

The hands-on way to put your

money to work.

Active Investing with SoFi lets you quickly get started investing in stocks and ETFs.

Pay zero commission.

Buy and sell stocks with no commissions*. Plus, there are no account minimums.

Learn by doing.

Anyone can be a smarter investor with news updates and more—all in the SoFi app.

Join a community.

Connect with other SoFi members at exclusive events and experiences.

*Other fees, such as exchange fees, may apply. Please view our fee disclosure to view a full listing of fees.

The hands-on way to
put your money to work.

Active Investing with SoFi lets you quickly get started investing in stocks and ETFs.

Pay zero commission.

Buy and sell stocks with no commissions1. Plus, there are no account minimums.

Learn by doing.

Anyone can be a smarter investor with news updates and more—all in the SoFi app.

Join a community.

Connect with other SoFi members at exclusive events and experiences.

1Other fees, such as exchange fees, may apply. Please view our fee disclosure to view a full listing of fees.

{/* SOFI PLUS EXCLUSIVE module */}


SOFI PLUS EXCLUSIVE

Get a 1% match on
recurring Invest
deposits, paid in
rewards points.7

Open an account

)}
layout=”columns”
/>


{/* Alts Phase 2 Module 2/1/24 */}
{/* place above become an investor without comission- new version */}
{/* invest/active/ */}

New Feature!

Diversify your portfolio with alternative investments.

SoFi is presenting its members the potential to diversify their portfolio with alternative investment strategies. Access funds that include commodities, private credit, pre-IPO unicorns and more-all on a user-friendly platform.


Trade now

Be an investor—
without commission.

Our thought is that you shouldn’t have to pay to invest and trade your own money. That’s why you’ll pay $0 in SoFi commission on every trade, every time.1

Own a slice.

With fractional shares you can buy a piece of your favorite company without having to buy a whole share, meaning you can get started with as little as $5.

Knowledge is trading power.

Stay up—to—date with real—time investing news, curated content, and other relevant data

by creating a personal watchlist and following the stocks that matter most to you.

U.S. Stock Market Quotes →

{/* Options Module */}

COMING SOON!

We’re giving you more options when you want to trade options.

Trading options1 with SoFi means no commissions and no contract fees (other fees apply). And now our platform is opening up more possibilities for investors, to suit your experience and risk2 tolerance for options—all in the single, powerful SoFi app you already love.


Explore options


Learn more


Explore options


Learn more

1Options involve risk and are not suitable for all investors. Please read the Characteristics and Risks of Standardized Options before engaging in options trading.

2Check out the OCC Options Disclosure Document.

Increase your buying power
with margin investing.6

Margin accounts allow investors to use their current cash or securities as collateral for a loan. Borrow money from SoFi against your current investments at 10.50% to buy stocks and ETFs.1 Learn more →

Invest in what you love, even after hours.

Trade stocks of brands you know and believe in and discover new opportunities based on your interests, on your time. With SoFi Active Invest, you don’t have to wait for the market to open. Trade after hours and take advantage of market movements whenever they happen.

Do it yourself—
but not alone.

Once you start investing with SoFi, you’re in. As a member you’ll get access to rate discounts on other SoFi products and invites to exclusive experiences so you can connect with others who are also on a mission to get their money right.

Finally! An easier options trading experience.

Options are now available on SoFi.5 Trade from app or desktop on a user-friendly platform that comes with an in-app trade guide and a range of educational resources.


Get started


Learn more

5Check out the OCC Options Disclosure Document.

Increase your buying power
with margin investing.6

Margin accounts allow investors to use their current cash or securities as collateral for a loan. Borrow money from SoFi against your current investments at 10.50% to buy stocks and ETFs.1 Learn more →

Invest in what you love, even after hours.

Trade stocks of brands you know and believe in and discover new opportunities based on your interests, on your time. With SoFi Active Invest, you don’t have to wait for the market to open. Trade after hours and take advantage of market movements whenever they happen.

Do it yourself—
but not alone.

Once you start investing with SoFi, you’re in. As a member you’ll get access to rate discounts on other SoFi products and invites to exclusive experiences so you can connect with others who are also on a mission to get their money right.

Ready to go?

Start making trades the commission—free way in just two minutes


Trade now

Please review the Customer Relationship Summary (Form CRS) which contains important information about the product, services, fees, and conflicts of interests of SoFi Securities LLC.

You may also learn more about SoFi Securities LLC and its Representatives on FINRA’s BrokerCheck.

Learn more about trading stocks.





See more investing articles

FAQs



What is active share investing?


Active investing is the trading individual stocks or bonds in an attempt to beat the ‘market’. Active investing allows you to put in place a strategy that’s tailored to your preferences, goals, and risk tolerance.



What is the difference between active and passive investing?


Passive investing allows you to put your money in a group of stocks, such as an index fund or exchange-traded fund (ETF), and mostly sit back, whereas Active Investing lets you buy and sell on your own.



What are the risks of margin investing?


Utilizing a margin loan is generally considered more appropriate for experienced investors as there are additional costs and risks associated. It is possible to lose more than your initial investment when using margin.



How do I start active investing with SoFi?


Opening an account with SoFi Invest® can be a good way to start trading on your own. There are no account minimums, and no commissions for stocks and ETFs so you can get started with whatever amount you are comfortable with.




What is the minimum amount to start active investing?


SoFi does not require a minimum account balance so investors of all levels have access to the market.





What are the limitations of fractional shares?


Not all stocks are offered in fractional shares, and liquidity may not be available immediately. Fractional shares may not be available for ACAT, and voting rights may not be available for fractional shares.


See more FAQs


Read more
Aug
07
2025

Connecticut Student Loan & Scholarship Information

By | student_loan | Comments Off on Connecticut Student Loan & Scholarship Information







See all state pages

Financial Aid 101

Connecticut Student Loan & Scholarship Information




With its history, beauty, and coastal views, Connecticut is a dream spot for an East Coast education. It can come with a steep price tag, but some of those costs can be covered by scholarships, grants, student loans and forgiveness programs. That means you have plenty of options for making your Connecticut college dreams come true!

Average Student Loan Debt in Connecticut

As you’re exploring the idea of college in Connecticut, you’re likely wondering what the state’s average student loan debt is. According to a 2023 report, 57% of Connecticut college attendees have student loan debt, with an average balance of $35,853.


57%

of Connecticut college
attendees have student
loan debt.


SoFi offers simple student loans that work for you.



Connecticut Student Loans

Federal Student Loans

Federal student loans are provided by the U.S. Department of Education’s Direct Loan Program. If you take out a federal loan, the DOE is your lender. All federal student loans have fixed interest rates — which are generally lower than private loans’ — and carry fees between 1.057% and 4.228% that are deducted from the loan amount before disbursement.

To see which type of loans you may qualify for, you’ll need to fill out the Free Application for Federal Student Aid (FAFSA®) to apply for financial aid for college or grad school. Be aware of your state’s deadline as well as the federal FAFSA deadline.

You should also review the deadlines for each college to which you are applying, as one college may define their deadline as the date you submit your FAFSA form, while another considers it to be the date on which your FAFSA is actually processed. FAFSA will then offer you a financial aid package, dependent on your college, that may include grants, work-study opportunities, and federal student loan options. It is important to note that not every student will qualify to receive federal aid.

Recommended: FAFSA Guide

Direct Subsidized Loans: These are for eligible undergraduate students who demonstrate financial need, and they help cover the costs of higher education at a college or career school. The federal government pays the interest on Direct Subsidized Loans while a student is in school at least half-time. Interest starts accruing on these loans after a six-month grace period once students graduate or if they drop below half-time enrollment.

Direct Unsubsidized Loans: Eligible undergraduate, graduate, and professional students may qualify for these loans. Eligibility is not based on financial need. The interest on these loans begins accruing immediately after funds are disbursed (meaning paid out).

Direct PLUS Loans: These loans are for parents of dependent undergraduate students who need help paying for education expenses not covered by other financial aid. Eligibility for this loan is not based on financial need, but it does require a credit check.

PLUS loans for graduate and professional students are being phased out. Only borrowers who already received these loans before June 30, 2026, can continue to borrow under their current terms through the 2028-29 academic year.

Recommended: Types of Federal Student Loans

Private Student Loans

Private loans are funded by private organizations such as banks, online lenders, credit unions, some schools, and state-based or state-affiliated organizations. A key point to note: Private lenders follow a different set of regulations than federal loans, so their interest rates can vary widely. What’s more, private loans have variable or fixed interest rates that may be higher than federal loan interest rates, which are always fixed.

Private lenders may require you to make payments on your loans while you are still in school. On the other hand, you don’t have to start paying back federal student loans until after you graduate, leave school, or change your enrollment status to less than half-time.

Unlike federal loans which can only be applied for within certain deadlines (once a year, and states have their own deadlines), private loans can be applied for on an as-needed basis. Even if you suspect you may need to take out a private loan, it’s still a smart move to submit your FAFSA before applying. That way, you can see what federal aid you may qualify for first.

If you’ve missed the FAFSA deadline and you’re struggling to pay for school throughout the year, private loans can potentially help you make your education payments. Just keep in mind that you will need enough lead time for your loan to process and for your lender to send money to your school.

Recommended:

Private Student Loans 101

Private Students Loans vs Federal Student Loans



Scholarships & Grants

Who doesn’t love a gift? You may sometimes hear grants and scholarships referred to as gift aid. That’s because while grants or scholarships may have certain academic or other requirements to keep them, you usually don’t have to pay them back as you would with a loan. Whether you call that a gift, a windfall, or free money, it’s a huge help when it comes time to pay for higher education.

There are a few instances where you may have to pay back grant money, but typically only if certain requirements aren’t met. Generally, grants are need-based (meaning they are distributed due to your financial need), while scholarships are awarded based on merit (such as academic, athletic, or artistic achievement).

There is no one-size-fits-all grant or scholarship amount or requirements, and both scholarships and grants can come from a variety of entities (including private organizations and federal or state governments).

Some scholarships or grants can be for a small amount that may help you pay for your books or research supplies, but others can cover the entire cost of your education. That means tuition, room and board, and the extras. Which is a very good thing. Who knew parking passes could be so expensive?

Connecticut Scholarships & Grants

There are plenty of college scholarships and grants Connecticut students can apply for. That way you can spend more time hitting the books and less time worrying about your expenses. Here are some options to check out.

Roberta B. Willis Need-Based Grant Program

Connecticut residents who attend public or non-profit private colleges in Connecticut may qualify for up to $4,500 in grant awards through this program as long as they have a federal Expected Family Contribution (EFC) within the allowable range.


Learn more

Roberta B. Willis Need-Merit Scholarship Program

High school seniors or graduates in Connecticut who meet select academic performance benchmarks may receive up to $5,250 a year in funding for a four-year program of study or up to $4,650 for a two-year program of study at a public or non-profit private college in Connecticut.


Learn more

CHESLA Scholarship

Undergraduate students who are Connecticut residents attending a qualifying college in the state can apply for this scholarship if they are eligible for a Federal Pell Grant and have a minimum cumulative GPA of at least 2.5. Full-time students may receive up to $3,000, depending on financial need.


Learn more

BBB’s Student Ethics Scholarship

Connecticut high school seniors who are college-bound and personify high ethics through leadership, community service, overall integrity, and academic standing are encouraged to apply for this scholarship. The recipient will receive a $2,500 scholarship to an accredited college or university of their choice.


Learn more

Connecticut Community Foundation Scholarships

Every year, hundreds of Connecticut students receive college scholarships through the Connecticut Community Foundation, which offers multiple scholarship opportunities, from general scholarships to “special scholarships” with distinct criteria. Applicants must reside in one of the 21 towns in the Greater Waterbury and Litchfield Hills region, have at least a B- cumulative academic average, plan to attend an accredited college in the U.S., and meet a certain FAFSA Student Aid Index. Award amounts vary.


Learn more

Connecticut Independent College Student Grant Program

Resident students attending an approved independent college or university in Connecticut may receive up to $7,875 in financial assistance per year. In order to qualify, students must apply through their college’s or university’s office of financial aid. Award amounts are determined by financial need.


Learn more

Recommended: SoFi Scholarship Search Tool


Get low-rate in-school loans that work for you.



Connecticut Student Loan Repayment & Forgiveness Programs

If you’ve taken out student loans to attend a school in Connecticut, it is never too early to start thinking about your repayment plan. And guess what? You have a few repayment options at your disposal.

Under the 2025 domestic policy bill, the standard student loan repayment term is between 10 and 25 years, based on the loan amount. Federal student loan interest rates vary based on what year you receive the loan.

For the 2025-2026 school year, the federal student loan interest rate is 6.39% for Direct Subsidized and Unsubsidized Loans for undergraduates, 7.94% for Direct Unsubsidized Loans for graduate and professional students, and 8.94% for Direct PLUS loans for parents and graduate or professional students.

For private loans, terms and conditions such as interest rates are set by the lender and vary due to many factors. Federal student loans typically offer the lowest interest rates and more flexible repayment options as compared to private student loans.

10-30

Years

New federal student loan repayment terms,
depending on the loan amount,
beginning July 2026.

Federal Student Loan Repayment Options

The U.S. domestic policy bill that was passed in July 2025 eliminates a number of federal repayment plans. Because current borrowers may remain in the plans, we are including them here. But for borrowers taking out their first loans on or after July 1, 2026, there will be only two repayment options: The Standard and an income-driven plan. You can learn more about your repayment options for federal student loans here.

Standard Repayment Plan

This plan will continue to be available in a modified form. Most borrowers were eligible for the original plan, which had a 10-year repayment period. Borrowers often paid less over time than with other plans because the loan term was shorter. (Typically, less interest accrues over shorter loan terms than longer ones if payments are made in full and on-time.) For loans taken out on or after July 1, 2026, the repayment term will range from 10 to 25 years based on the loan amount.


Learn more

Repayment Assistance Program

This new program is similar to previous income-driven plans, which tied payments to income levels and household size. Payments range from 1% to 10% of adjusted gross income over a term up to 30 years. At that point, any remaining debt will be forgiven. If your monthly payment doesn’t cover the interest owed, the interest will be cancelled.


Learn more

Graduated Repayment Plan

This plan will be closed to new loans made on or after July 1, 2026. Most borrowers were eligible for this plan, which allowed them to pay their loans off over 10 years. Payments started relatively low, then increased over time (usually every two years). Current borrowers in this plan will continue to make payments according to the plan’s graduated structure.


Learn more

Extended Repayment Plan

This plan will be closed to new loans made on or after July 1, 2026. To qualify for this plan, you must have had more than $30,000 in outstanding Direct or FFEL loans. Monthly payments on the Extended Repayment Plan were typically lower than under the 10-year Standard Plan or the Graduated Repayment Plan, because borrowers had a longer period to pay them off (and therefore made more interest payments). Current borrowers in this plan will continue to make payments according to the plan’s extended term.


Learn more

Saving on a Valuable Education (SAVE)

This plan is scheduled to be eliminated by June 30, 2028. Most student borrowers were eligible for this plan. The SAVE Plan lowered payments for almost all borrowers compared to other income-driven plans because payments were based on a smaller portion of your adjusted gross income (AGI). In addition, any remaining balance would be forgiven after 20 years. Current borrowers in this plan may transition into the new Standard Repayment Plan or Repayment Assistance Program (RAP) beginning July 1, 2026.


Learn more

Income-Based Repayment (IBR)

IBR is available to anyone currently in an income-driven plan that’s scheduled to close. It was designed for borrowers who have a high debt relative to their income. Monthly payments were never higher than the 10-year Standard Plan amount. Generally, however, borrowers paid more over time than under the Standard Plan.


Learn more

Still not sure which payment plan is right for you?

For more information on repayment plans, check out our Student Loan Repayment Options article to help add some clarity.

Granted, it’s not always easy to pay loans back on time. When it comes to student loan default, 10% to 20% of student loans are typically in default. To help you avoid being among those who default on your student loans, let’s take a look at refinancing options.


Student Loan Refinancing

One option to potentially help accelerate student loan repayment is to refinance your student loans with a private lender. Some private lenders, like SoFi, will let you consolidate and refinance both your federal and private student loans into one loan and a single interest rate. It’s a great way to streamline your bill paying and financial life in general.

Consolidating your loans (aka combining them) under one lender gives you the opportunity to refinance your loan and get a new term and interest rate. If you have an improved financial profile compared to when you took out your original loan, you may be able to lower your interest rate when you refinance, or shorten your term to pay off your loan more quickly.

But it is important to remember that if you refinance federal student loans with a private lender, you will lose access to federal programs such as the income-driven repayment plans mentioned above, as well as student loan forgiveness and forbearance options.


Student Loan Forgiveness

At first glance, student loan forgiveness looks appealing, but it is not easily attainable. That being said, there are state-specific and federal Public Service Loan Forgiveness programs that certain student loan borrowers may be eligible for.

Before you review your options, it’s important to know that the terms forgiveness, cancellation, and discharge essentially mean the same thing when it comes to federal student loans, but are applied in different scenarios. For example, if you are no longer required to make loan payments due to your job, that could fall under forgiveness or cancellation.

Or, if the school you received your loans at closed before you graduated, this situation would generally be called a discharge.

Even if you don’t complete your education, can’t find a job, or are unhappy with the quality of your education, you must repay your loans. But there are circumstances that may lead to federal student loans being forgiven, canceled, or discharged. Here are some of those options:

Public Service Loan Forgiveness (PSLF)

The PSLF Program may forgive the remaining balance on eligible Direct Loans, after 120 qualified monthly payments are made under a repayment plan (and working with a qualifying employer).


Learn more

Teacher Loan Forgiveness

Those who teach full-time for five complete and consecutive academic years in a low-income school or educational service agency may be eligible for forgiveness of up to $17,500 on select federal loans.


Learn more

Perkins Loan Cancellation

Cancellation for this specific loan is based on eligible employment or volunteer service and length of service, among other factors.


Learn more

Total and Permanent Disability Discharge

Qualification may relieve eligible borrowers from repaying a qualifying Direct Loan, a Federal Family Education Loan (FFEL) Program loan, and/or a Federal Perkins Loan or a TEACH Grant service obligation.


Learn more

Death Discharge

Due to the death of the borrower or of the student on whose behalf a PLUS loan was taken out, federal student loans may be discharged.


Learn more

Bankruptcy Discharge

Certain eligible borrowers may have federal student loans discharged if they file a separate action during bankruptcy, known as an “adversary proceeding.”


Learn more

Closed School Discharge

Borrowers who were unable to complete an academic program because their school closed might be eligible for a discharge of Direct Loans, Federal Family Education Loan (FFEL) Program loans, or Federal Perkins Loans.


Learn more

Connecticut Specific Student Loan Forgiveness Programs

Federal loan forgiveness programs are a logical place to start, but it can be smart to also consider other student loan forgiveness programs. There are forgiveness programs tailored to loan borrowers who live in certain locations, or have an in-demand and service-based vocation.

Connecticut Green Technology, Life Science, and Health Information Technology Loan Reimbursement Program

Federal and state loan holders may receive up to $2,500 per year or 5% of loans (whichever is less) for up to four years if they have a bachelor’s degree program in the fields of Green Technology, Life Science or Health Information Technology. In order to qualify, you must have graduated after May 1, 2010, have been employed in Connecticut for at least two years, and meet a certain adjusted gross income limit.


Learn more

Engineering Connecticut Loan Reimbursement Grant Program

This program provides student loan reimbursement grants to qualifying individuals who graduated with degrees in engineering and are employed in Connecticut as engineers.


Learn more

Information Technology Loan Reimbursement Pilot Program

This pilot program provides student loan reimbursement grants to qualifying applicants who majored in an information technology related field and attended a Connecticut college or university. Recipients must also be newly employed by a Connecticut company in an information technology-related position.


Learn more

Minority Teacher Incentive Program and Educator Loan Reimbursement Grant Program

This program provides up to 10 years of student loan reimbursement grants to minority teachers and administrators for up to 10% of their student loans, not to exceed $5,000 a year.


Learn more

Nursing Education Loan Forgiveness Program

Connecticut residents enrolled in nursing education in the state may qualify for loan forgiveness through this program if they remain in the nursing field in Connecticut for five years.


Learn more

You Belong Loan Reimbursement Grant Program

Doctoral program graduates that are employed in Connecticut in economically valuable fields may receive student loan reimbursements through this program. Qualifying recipients must be employed in Connecticut at a qualifying company or take part in research at a higher education institution in an economically-valuable field.


Learn more

Recommended: SoFi College Finder Tool



SoFi Private Student Loans

In the spirit of transparency, we want you to know that you should exhaust all of your federal grant and loan options before you consider a SoFi private student loan.

We believe that it is in each student’s best interest to look at federal financing options first in order to find the right financial aid package for them.

If you do decide a private student loan is the right fit for your educational needs, we’re happy to help! SoFi’s private student loan application process is easy and fast. We offer flexible payment options and terms, and there are no origination or late fees.



Read more
Aug
07
2025

Kentucky Student Loan & Scholarship Information

By | student_loan | Comments Off on Kentucky Student Loan & Scholarship Information







See all state pages

Financial Aid 101

Kentucky Student Loan & Scholarship Information




With the Ohio River in the north and the Appalachian Mountains in the east, there is no shortage of great nature to enjoy in Kentucky. Along with hitting the hiking trails, the state can also be a great place to hit the books — it’s home to dozens of colleges. But getting your degree in the Bluegrass State can be expensive. Fortunately, there are student loans, scholarships, and grants to help cover the costs. Read on to learn about options to make your Kentucky education more affordable.

Average Student Loan Debt in Kentucky

Prospective Kentucky students may be wondering about the state’s average student loan debt. According to a 2023 report, 61% of Kentucky college attendees have student loan debt, with an average balance of $28,356.


61%

of Kentucky college
attendees have
student loan debt.


SoFi offers simple student loans that work for you.



Kentucky Student Loans

Federal Student Loans

Federal student loans are provided by the U.S. Department of Education’s Direct Loan Program. If you take out a federal loan, the DOE is your lender. All federal student loans have fixed interest rates — which are generally lower than private loans’ — and carry fees between 1.057% and 4.228% that are deducted from the loan amount before disbursement.

To see which type of loans you may qualify for, you’ll need to fill out the Free Application for Federal Student Aid (FAFSA®) to apply for financial aid for college or grad school. Be aware of your state’s deadline as well as the federal FAFSA deadline.

You should also review the deadlines for each college to which you are applying, as one college may define their deadline as the date you submit your FAFSA form, while another considers it to be the date on which your FAFSA is actually processed. FAFSA will then offer you a financial aid package, dependent on your college, that may include grants, work-study opportunities, and federal student loan options. It is important to note that not every student will qualify to receive federal aid.

Recommended: FAFSA Guide

Direct Subsidized Loans: These are for eligible undergraduate students who demonstrate financial need, and they help cover the costs of higher education at a college or career school. The federal government pays the interest on Direct Subsidized Loans while a student is in school at least half-time. Interest starts accruing on these loans after a six-month grace period once students graduate or if they drop below half-time enrollment.

Direct Unsubsidized Loans: Eligible undergraduate, graduate, and professional students may qualify for these loans. Eligibility is not based on financial need. The interest on these loans begins accruing immediately after funds are disbursed (meaning paid out).

Direct PLUS Loans: These loans are for parents of dependent undergraduate students who need help paying for education expenses not covered by other financial aid. Eligibility for this loan is not based on financial need, but it does require a credit check.

PLUS loans for graduate and professional students are being phased out. Only borrowers who already received these loans before June 30, 2026, can continue to borrow under their current terms through the 2028-29 academic year.

Recommended: Types of Federal Student Loans

Private Student Loans

Private loans are funded by private organizations such as banks, online lenders, credit unions, some schools, and state-based or state-affiliated organizations. A key point to note: Private lenders follow a different set of regulations than federal loans, so their interest rates can vary widely. What’s more, private loans have variable or fixed interest rates that may be higher than federal loan interest rates, which are always fixed.

Private lenders may require you to make payments on your loans while you are still in school. On the other hand, you don’t have to start paying back federal student loans until after you graduate, leave school, or change your enrollment status to less than half-time.

Unlike federal loans which can only be applied for within certain deadlines (once a year, and states have their own deadlines), private loans can be applied for on an as-needed basis. Even if you suspect you may need to take out a private loan, it’s still a smart move to submit your FAFSA before applying. That way, you can see what federal aid you may qualify for first.

If you’ve missed the FAFSA deadline and you’re struggling to pay for school throughout the year, private loans can potentially help you make your education payments. Just keep in mind that you will need enough lead time for your loan to process and for your lender to send money to your school.

Recommended:

Private Student Loans 101

Private Students Loans vs Federal Student Loans



Scholarships & Grants

Who doesn’t love a gift? You may sometimes hear grants and scholarships referred to as gift aid. That’s because while grants or scholarships may have certain academic or other requirements to keep them, you usually don’t have to pay them back as you would with a loan. Whether you call that a gift, a windfall, or free money, it’s a huge help when it comes time to pay for higher education.

There are a few instances where you may have to pay back grant money, but typically only if certain requirements aren’t met. Generally, grants are need-based (meaning they are distributed due to your financial need), while scholarships are awarded based on merit (such as academic, athletic, or artistic achievement).

There is no one-size-fits-all grant or scholarship amount or requirements, and both scholarships and grants can come from a variety of entities (including private organizations and federal or state governments).

Some scholarships or grants can be for a small amount that may help you pay for your books or research supplies, but others can cover the entire cost of your education. That means tuition, room and board, and the extras. Which is a very good thing. Who knew parking passes could be so expensive?

Kentucky Scholarships & Grants

There are some awesome scholarships and grants for Kentucky students that can help fund educational costs. Here are some you may qualify for.

Kentucky Educational Excellence Scholarship (KEES)

These scholarships are for high school grads attending the University of Kentucky and they are available for eight academic terms. All state residents admitted to the university are eligible to be considered for the award, and award amounts for those who qualify are based on GPA.


Learn more

College Access Program Grant

In order to qualify for this grant, you must be a Kentucky resident, have financial need, attend an eligible college, and have no past due financial obligations to the Kentucky Higher Education Assistance Authority (KHEAA) or to any Title IV program. Recipients must be enrolled at least half-time in a program that is at a minimum two years in length. Award amounts go as high as $2,500 for those attending two-year institutions, and up to $5,300 for students at a four-year institution.


Learn more

Kentucky Tuition Grant

Kentucky residents who are enrolled full-time in an associate’s or bachelor’s degree program at eligible Kentucky private colleges or universities may qualify for this grant if they have financial need. Award amounts vary, but cap out at $3,300 for the 2024-2025 academic year.


Learn more

Early Childhood Development Scholarship

Students who are enrolled in a qualifying program of study, employed at least 20 hours a week in a participating early childhood facility or as a preschool associate teacher in a state‐funded pre‐school program, and agree to a service commitment, may qualify for this scholarship. Award amounts may cover up to full tuition and fees at participating institutions but cannot exceed $6,751 per semester for the 2024-2025 academic year.


Learn more

Teacher Scholarship Program

This program provides aid to eligible Kentucky students who pursue teacher certification at select Kentucky colleges. Recipients must be Kentucky residents and demonstrate financial need. They must also agree to teach one semester at a qualifying Kentucky school for each semester of scholarship received. The award amount is $3,000 per semester.


Learn more

Dual Credit Scholarship Program

Both Kentucky high school students and home school students may qualify for this scholarship program if they take dual-credit classes at a participating Kentucky college or university. Students may receive scholarship awards equal to the dual credit tuition amount for up to two classes.


Learn more

Recommended: SoFi Scholarship Search Tool


Get low-rate in-school loans that work for you.



Kentucky Student Loan Repayment & Forgiveness Programs

If you’ve taken out student loans to attend a school in Kentucky, it is never too early to start thinking about your repayment plan. And guess what? You have a few repayment options at your disposal.

Under the 2025 domestic policy bill, the standard student loan repayment term is between 10 and 25 years, based on the loan amount. Federal student loan interest rates vary based on what year you receive the loan.

For the 2025-2026 school year, the federal student loan interest rate is 6.39% for Direct Subsidized and Unsubsidized Loans for undergraduates, 7.94% for Direct Unsubsidized Loans for graduate and professional students, and 8.94% for Direct PLUS loans for parents and graduate or professional students.

For private loans, terms and conditions such as interest rates are set by the lender and vary due to many factors. Federal student loans typically offer the lowest interest rates and more flexible repayment options as compared to private student loans.

10-30

Years

New federal student loan repayment terms,
depending on the loan amount,
beginning July 2026.

Federal Student Loan Repayment Options

The U.S. domestic policy bill that was passed in July 2025 eliminates a number of federal repayment plans. Because current borrowers may remain in the plans, we are including them here. But for borrowers taking out their first loans on or after July 1, 2026, there will be only two repayment options: The Standard and an income-driven plan. You can learn more about your repayment options for federal student loans here.

Standard Repayment Plan

This plan will continue to be available in a modified form. Most borrowers were eligible for the original plan, which had a 10-year repayment period. Borrowers often paid less over time than with other plans because the loan term was shorter. (Typically, less interest accrues over shorter loan terms than longer ones if payments are made in full and on-time.) For loans taken out on or after July 1, 2026, the repayment term will range from 10 to 25 years based on the loan amount.


Learn more

Repayment Assistance Program

This new program is similar to previous income-driven plans, which tied payments to income levels and household size. Payments range from 1% to 10% of adjusted gross income over a term up to 30 years. At that point, any remaining debt will be forgiven. If your monthly payment doesn’t cover the interest owed, the interest will be cancelled.


Learn more

Graduated Repayment Plan

This plan will be closed to new loans made on or after July 1, 2026. Most borrowers were eligible for this plan, which allowed them to pay their loans off over 10 years. Payments started relatively low, then increased over time (usually every two years). Current borrowers in this plan will continue to make payments according to the plan’s graduated structure.


Learn more

Extended Repayment Plan

This plan will be closed to new loans made on or after July 1, 2026. To qualify for this plan, you must have had more than $30,000 in outstanding Direct or FFEL loans. Monthly payments on the Extended Repayment Plan were typically lower than under the 10-year Standard Plan or the Graduated Repayment Plan, because borrowers had a longer period to pay them off (and therefore made more interest payments). Current borrowers in this plan will continue to make payments according to the plan’s extended term.


Learn more

Saving on a Valuable Education (SAVE)

This plan is scheduled to be eliminated by June 30, 2028. Most student borrowers were eligible for this plan. The SAVE Plan lowered payments for almost all borrowers compared to other income-driven plans because payments were based on a smaller portion of your adjusted gross income (AGI). In addition, any remaining balance would be forgiven after 20 years. Current borrowers in this plan may transition into the new Standard Repayment Plan or Repayment Assistance Program (RAP) beginning July 1, 2026.


Learn more

Income-Based Repayment (IBR)

IBR is available to anyone currently in an income-driven plan that’s scheduled to close. It was designed for borrowers who have a high debt relative to their income. Monthly payments were never higher than the 10-year Standard Plan amount. Generally, however, borrowers paid more over time than under the Standard Plan.


Learn more

Still not sure which payment plan is right for you?

For more information on repayment plans, check out our Student Loan Repayment Options article to help add some clarity.

Granted, it’s not always easy to pay loans back on time. When it comes to student loan default, 10% to 20% of student loans are typically in default. To help you avoid being among those who default on your student loans, let’s take a look at refinancing options.


Student Loan Refinancing

One option to potentially help accelerate student loan repayment is to refinance your student loans with a private lender. Some private lenders, like SoFi, will let you consolidate and refinance both your federal and private student loans into one loan and a single interest rate. It’s a great way to streamline your bill paying and financial life in general.

Consolidating your loans (aka combining them) under one lender gives you the opportunity to refinance your loan and get a new term and interest rate. If you have an improved financial profile compared to when you took out your original loan, you may be able to lower your interest rate when you refinance, or shorten your term to pay off your loan more quickly.

But it is important to remember that if you refinance federal student loans with a private lender, you will lose access to federal programs such as the income-driven repayment plans mentioned above, as well as student loan forgiveness and forbearance options.


Student Loan Forgiveness

At first glance, student loan forgiveness looks appealing, but it is not easily attainable. That being said, there are state-specific and federal Public Service Loan Forgiveness programs that certain student loan borrowers may be eligible for.

Before you review your options, it’s important to know that the terms forgiveness, cancellation, and discharge essentially mean the same thing when it comes to federal student loans, but are applied in different scenarios. For example, if you are no longer required to make loan payments due to your job, that could fall under forgiveness or cancellation.

Or, if the school you received your loans at closed before you graduated, this situation would generally be called a discharge.

Even if you don’t complete your education, can’t find a job, or are unhappy with the quality of your education, you must repay your loans. But there are circumstances that may lead to federal student loans being forgiven, canceled, or discharged. Here are some of those options:

Public Service Loan Forgiveness (PSLF)

The PSLF Program may forgive the remaining balance on eligible Direct Loans, after 120 qualified monthly payments are made under a repayment plan (and working with a qualifying employer).


Learn more

Teacher Loan Forgiveness

Those who teach full-time for five complete and consecutive academic years in a low-income school or educational service agency may be eligible for forgiveness of up to $17,500 on select federal loans.


Learn more

Perkins Loan Cancellation

Cancellation for this specific loan is based on eligible employment or volunteer service and length of service, among other factors.


Learn more

Total and Permanent Disability Discharge

Qualification may relieve eligible borrowers from repaying a qualifying Direct Loan, a Federal Family Education Loan (FFEL) Program loan, and/or a Federal Perkins Loan or a TEACH Grant service obligation.


Learn more

Death Discharge

Due to the death of the borrower or of the student on whose behalf a PLUS loan was taken out, federal student loans may be discharged.


Learn more

Bankruptcy Discharge

Certain eligible borrowers may have federal student loans discharged if they file a separate action during bankruptcy, known as an “adversary proceeding.”


Learn more

Closed School Discharge

Borrowers who were unable to complete an academic program because their school closed might be eligible for a discharge of Direct Loans, Federal Family Education Loan (FFEL) Program loans, or Federal Perkins Loans.


Learn more

Kentucky Specific Student Loan Forgiveness Programs

Federal loan forgiveness programs are a logical place to start, but it can be smart to also consider other student loan forgiveness programs. There are forgiveness programs tailored to loan borrowers who live in certain locations, or have an in-demand and service-based vocation.

Kentucky State Loan Repayment Program

This loan repayment program is for eligible licensed healthcare practitioners who agree to work full-time for at least two years in a Health Professional Shortage Area in Kentucky. Funding varies based on a variety of factors — maximum award amounts range from $100,000 for qualifying physicians, dentists and pharmacists to $40,000 for registered nurses, registered dental hygienists, and substance use disorder counselors.


Learn more

Recommended: SoFi College Finder Tool



SoFi Private Student Loans

In the spirit of transparency, we want you to know that you should exhaust all of your federal grant and loan options before you consider a SoFi private student loan.

We believe that it is in each student’s best interest to look at federal financing options first in order to find the right financial aid package for them.

If you do decide a private student loan is the right fit for your educational needs, we’re happy to help! SoFi’s private student loan application process is easy and fast. We offer flexible payment options and terms, and there are no origination or late fees.



Read more
Aug
07
2025

Mississippi Student Loan & Scholarship Information

By | student_loan | Comments Off on Mississippi Student Loan & Scholarship Information







See all state pages

Financial Aid 101

Mississippi Student Loan & Scholarship Information




If you dream of attending college in the south, why not consider the beautiful state of Mississippi? The beautiful Magnolia State has plenty of great colleges to choose from, and there are Mississippi scholarships and grants as well as student loans to help pay for college. Read on for the details.

Average Student Loan Debt in Mississippi

As you’re thinking about college in Mississippi, you’re probably wondering about the state’s average student loan debt. According to a 2023 report, 58% of Mississippi college attendees have student loan debt, with an average balance of $29,714.


58%

of Mississippi
college attendees
have student debt.


SoFi offers simple student loans that work for you.



Mississippi Student Loans

Federal Student Loans

Federal student loans are provided by the U.S. Department of Education’s Direct Loan Program. If you take out a federal loan, the DOE is your lender. All federal student loans have fixed interest rates — which are generally lower than private loans’ — and carry fees between 1.057% and 4.228% that are deducted from the loan amount before disbursement.

To see which type of loans you may qualify for, you’ll need to fill out the Free Application for Federal Student Aid (FAFSA®) to apply for financial aid for college or grad school. Be aware of your state’s deadline as well as the federal FAFSA deadline.

You should also review the deadlines for each college to which you are applying, as one college may define their deadline as the date you submit your FAFSA form, while another considers it to be the date on which your FAFSA is actually processed. FAFSA will then offer you a financial aid package, dependent on your college, that may include grants, work-study opportunities, and federal student loan options. It is important to note that not every student will qualify to receive federal aid.

Recommended: FAFSA Guide

Direct Subsidized Loans: These are for eligible undergraduate students who demonstrate financial need, and they help cover the costs of higher education at a college or career school. The federal government pays the interest on Direct Subsidized Loans while a student is in school at least half-time. Interest starts accruing on these loans after a six-month grace period once students graduate or if they drop below half-time enrollment.

Direct Unsubsidized Loans: Eligible undergraduate, graduate, and professional students may qualify for these loans. Eligibility is not based on financial need. The interest on these loans begins accruing immediately after funds are disbursed (meaning paid out).

Direct PLUS Loans: These loans are for parents of dependent undergraduate students who need help paying for education expenses not covered by other financial aid. Eligibility for this loan is not based on financial need, but it does require a credit check.

PLUS loans for graduate and professional students are being phased out. Only borrowers who already received these loans before June 30, 2026, can continue to borrow under their current terms through the 2028-29 academic year.

Recommended: Types of Federal Student Loans

Private Student Loans

Private loans are funded by private organizations such as banks, online lenders, credit unions, some schools, and state-based or state-affiliated organizations. A key point to note: Private lenders follow a different set of regulations than federal loans, so their interest rates can vary widely. What’s more, private loans have variable or fixed interest rates that may be higher than federal loan interest rates, which are always fixed.

Private lenders may require you to make payments on your loans while you are still in school. On the other hand, you don’t have to start paying back federal student loans until after you graduate, leave school, or change your enrollment status to less than half-time.

Unlike federal loans which can only be applied for within certain deadlines (once a year, and states have their own deadlines), private loans can be applied for on an as-needed basis. Even if you suspect you may need to take out a private loan, it’s still a smart move to submit your FAFSA before applying. That way, you can see what federal aid you may qualify for first.

If you’ve missed the FAFSA deadline and you’re struggling to pay for school throughout the year, private loans can potentially help you make your education payments. Just keep in mind that you will need enough lead time for your loan to process and for your lender to send money to your school.

Recommended:

Private Student Loans 101

Private Students Loans vs Federal Student Loans



Scholarships & Grants

Who doesn’t love a gift? You may sometimes hear grants and scholarships referred to as gift aid. That’s because while grants or scholarships may have certain academic or other requirements to keep them, you usually don’t have to pay them back as you would with a loan. Whether you call that a gift, a windfall, or free money, it’s a huge help when it comes time to pay for higher education.

There are a few instances where you may have to pay back grant money, but typically only if certain requirements aren’t met. Generally, grants are need-based (meaning they are distributed due to your financial need), while scholarships are awarded based on merit (such as academic, athletic, or artistic achievement).

There is no one-size-fits-all grant or scholarship amount or requirements, and both scholarships and grants can come from a variety of entities (including private organizations and federal or state governments).

Some scholarships or grants can be for a small amount that may help you pay for your books or research supplies, but others can cover the entire cost of your education. That means tuition, room and board, and the extras. Which is a very good thing. Who knew parking passes could be so expensive?

Mississippi Scholarships & Grants

Before you fund your entire education on your own, consider applying for some scholarships and grants for Mississippi students to help cover the cost of college.

Higher Education Legislative Plan for Needy Students

This program provides full tuition for up to four years to qualified students who are residents of Mississippi and have financial need that won’t be met with gift aid from other sources. To be eligible, applicants must have a cumulative high school GPA of at least 2.5.


Learn more

Mississippi Tuition Assistance Grant (MTAG)

This is a financial assistance grant for eligible Mississippi residents attending state approved public and private not-for-profit colleges and universities who do not already benefit from federal need-based aid. The award amounts are up to $500 per year for freshman and sophomores and up to $1,000 a year for juniors and seniors. To be eligible, applicants must have a cumulative high school GPA of at least 2.5


Learn more

Mississippi Eminent Scholars Grant (MESG)

This grant provides financial assistance to high-achieving Mississippi high school students who attend eligible Mississippi public and private universities and colleges. Applicants must have a cumulative high school GPA of 3.5 or higher. The award amount is up to $2,500 a year.


Learn more

Mississippi Law Enforcement Officers & Firemen Scholarship

Through this scholarship, financial assistance is provided to eligible dependent children and spouses of any Mississippi law enforcement officer, full-time firefighter, or volunteer firefighter who has incurred fatal injuries, wounds, or is permanently and totally disabled due to performing their professional duties. Recipients receive enough funding to cover tuition and room expenses for eight semesters at any state college or university in Mississippi.


Learn more

Nissan Scholarship

Nissan North America, Inc. offers scholarship funds for eligible students who attend a public two-year or four-year college in Mississippi. Award amounts vary and cover the full cost of tuition and required fees plus a book allowance.


Learn more

Young Farmers & Ranchers Foundation Scholarship

These scholarships are for Farm Bureau member students who are pursuing studies in an agricultural field. Four scholarships of $3,000 are typically awarded each year.


Learn more


Get low-rate in-school loans that work for you.



Mississippi Student Loan Repayment & Forgiveness Programs

If you’ve taken out student loans to attend a school in Mississippi, it is never too early to start thinking about your repayment plan. And guess what? You have a few repayment options at your disposal.

Under the 2025 domestic policy bill, the standard student loan repayment term is between 10 and 25 years, based on the loan amount. Federal student loan interest rates vary based on what year you receive the loan.

For the 2025-2026 school year, the federal student loan interest rate is 6.39% for Direct Subsidized and Unsubsidized Loans for undergraduates, 7.94% for Direct Unsubsidized Loans for graduate and professional students, and 8.94% for Direct PLUS loans for parents and graduate or professional students.

For private loans, terms and conditions such as interest rates are set by the lender and vary due to many factors. Federal student loans typically offer the lowest interest rates and more flexible repayment options as compared to private student loans.

10-30

Years

New federal student loan repayment terms,
depending on the loan amount,
beginning July 2026.

Federal Student Loan Repayment Options

The U.S. domestic policy bill that was passed in July 2025 eliminates a number of federal repayment plans. Because current borrowers may remain in the plans, we are including them here. But for borrowers taking out their first loans on or after July 1, 2026, there will be only two repayment options: The Standard and an income-driven plan. You can learn more about your repayment options for federal student loans here.

Standard Repayment Plan

This plan will continue to be available in a modified form. Most borrowers were eligible for the original plan, which had a 10-year repayment period. Borrowers often paid less over time than with other plans because the loan term was shorter. (Typically, less interest accrues over shorter loan terms than longer ones if payments are made in full and on-time.) For loans taken out on or after July 1, 2026, the repayment term will range from 10 to 25 years based on the loan amount.


Learn more

Repayment Assistance Program

This new program is similar to previous income-driven plans, which tied payments to income levels and household size. Payments range from 1% to 10% of adjusted gross income over a term up to 30 years. At that point, any remaining debt will be forgiven. If your monthly payment doesn’t cover the interest owed, the interest will be cancelled.


Learn more

Graduated Repayment Plan

This plan will be closed to new loans made on or after July 1, 2026. Most borrowers were eligible for this plan, which allowed them to pay their loans off over 10 years. Payments started relatively low, then increased over time (usually every two years). Current borrowers in this plan will continue to make payments according to the plan’s graduated structure.


Learn more

Extended Repayment Plan

This plan will be closed to new loans made on or after July 1, 2026. To qualify for this plan, you must have had more than $30,000 in outstanding Direct or FFEL loans. Monthly payments on the Extended Repayment Plan were typically lower than under the 10-year Standard Plan or the Graduated Repayment Plan, because borrowers had a longer period to pay them off (and therefore made more interest payments). Current borrowers in this plan will continue to make payments according to the plan’s extended term.


Learn more

Saving on a Valuable Education (SAVE)

This plan is scheduled to be eliminated by June 30, 2028. Most student borrowers were eligible for this plan. The SAVE Plan lowered payments for almost all borrowers compared to other income-driven plans because payments were based on a smaller portion of your adjusted gross income (AGI). In addition, any remaining balance would be forgiven after 20 years. Current borrowers in this plan may transition into the new Standard Repayment Plan or Repayment Assistance Program (RAP) beginning July 1, 2026.


Learn more

Income-Based Repayment (IBR)

IBR is available to anyone currently in an income-driven plan that’s scheduled to close. It was designed for borrowers who have a high debt relative to their income. Monthly payments were never higher than the 10-year Standard Plan amount. Generally, however, borrowers paid more over time than under the Standard Plan.


Learn more

Still not sure which payment plan is right for you?

For more information on repayment plans, check out our Student Loan Repayment Options article to help add some clarity.

Granted, it’s not always easy to pay loans back on time. When it comes to student loan default, 10% to 20% of student loans are typically in default. To help you avoid being among those who default on your student loans, let’s take a look at refinancing options.


Student Loan Refinancing

One option to potentially help accelerate student loan repayment is to refinance your student loans with a private lender. Some private lenders, like SoFi, will let you consolidate and refinance both your federal and private student loans into one loan and a single interest rate. It’s a great way to streamline your bill paying and financial life in general.

Consolidating your loans (aka combining them) under one lender gives you the opportunity to refinance your loan and get a new term and interest rate. If you have an improved financial profile compared to when you took out your original loan, you may be able to lower your interest rate when you refinance, or shorten your term to pay off your loan more quickly.

But it is important to remember that if you refinance federal student loans with a private lender, you will lose access to federal programs such as the income-driven repayment plans mentioned above, as well as student loan forgiveness and forbearance options.


Student Loan Forgiveness

At first glance, student loan forgiveness looks appealing, but it is not easily attainable. That being said, there are state-specific and federal Public Service Loan Forgiveness programs that certain student loan borrowers may be eligible for.

Before you review your options, it’s important to know that the terms forgiveness, cancellation, and discharge essentially mean the same thing when it comes to federal student loans, but are applied in different scenarios. For example, if you are no longer required to make loan payments due to your job, that could fall under forgiveness or cancellation.

Or, if the school you received your loans at closed before you graduated, this situation would generally be called a discharge.

Even if you don’t complete your education, can’t find a job, or are unhappy with the quality of your education, you must repay your loans. But there are circumstances that may lead to federal student loans being forgiven, canceled, or discharged. Here are some of those options:

Public Service Loan Forgiveness (PSLF)

The PSLF Program may forgive the remaining balance on eligible Direct Loans, after 120 qualified monthly payments are made under a repayment plan (and working with a qualifying employer).


Learn more

Teacher Loan Forgiveness

Those who teach full-time for five complete and consecutive academic years in a low-income school or educational service agency may be eligible for forgiveness of up to $17,500 on select federal loans.


Learn more

Perkins Loan Cancellation

Cancellation for this specific loan is based on eligible employment or volunteer service and length of service, among other factors.


Learn more

Total and Permanent Disability Discharge

Qualification may relieve eligible borrowers from repaying a qualifying Direct Loan, a Federal Family Education Loan (FFEL) Program loan, and/or a Federal Perkins Loan or a TEACH Grant service obligation.


Learn more

Death Discharge

Due to the death of the borrower or of the student on whose behalf a PLUS loan was taken out, federal student loans may be discharged.


Learn more

Bankruptcy Discharge

Certain eligible borrowers may have federal student loans discharged if they file a separate action during bankruptcy, known as an “adversary proceeding.”


Learn more

Closed School Discharge

Borrowers who were unable to complete an academic program because their school closed might be eligible for a discharge of Direct Loans, Federal Family Education Loan (FFEL) Program loans, or Federal Perkins Loans.


Learn more

Mississippi Specific Student Loan Forgiveness Programs

Federal loan forgiveness programs are a logical place to start, but it can be smart to also consider other student loan forgiveness programs. There are forgiveness programs tailored to loan borrowers who live in certain locations, or have an in-demand and service-based vocation.

Winter-Reed Teacher Loan Repayment Program

Teachers with a five-year Mississippi educator’s license who are working full-time as a teacher or librarian in a Mississippi public school district are eligible to apply for up to three annual student loan repayment awards. Amounts vary by year, ranging from up to $4,000 for the first year, up to $5,000 for the second year, and up to $6,000 for the third year for those teaching in a critical shortage area. Recipients in non-critical shortage areas will receive up to $1,500 in the first year, up to $2,500 in the second year, and up to $3,500 in the third year.


Learn more



SoFi Private Student Loans

In the spirit of transparency, we want you to know that you should exhaust all of your federal grant and loan options before you consider a SoFi private student loan.

We believe that it is in each student’s best interest to look at federal financing options first in order to find the right financial aid package for them.

If you do decide a private student loan is the right fit for your educational needs, we’re happy to help! SoFi’s private student loan application process is easy and fast. We offer flexible payment options and terms, and there are no origination or late fees.



Read more
Aug
07
2025

FAFSA Guide

By | student_loan | Comments Off on FAFSA Guide


FAFSA Guide

Welcome to SoFi’s FAFSA Guide




This information is subject to change and does not constitute legal or financial advice; it’s educational in nature and may not cover all situations. We recommend you contact the financial aid office of the school(s) you are interested in attending or visit studentaid.gov for more information. SoFi Lending Corp. or an affiliate does not offer federal student loans and this resource is not affiliated with the Department of Education.
FAFSA is a registered service mark of the US Department of Education. CSS Profile is a trademark registered by the College Board, which is not affiliated with and does not endorse SoFi.

The first step to applying for federal financial aid (grants, need-based scholarships, federal student loans, and work-study jobs) is filling out your FAFSA®. Some states and schools also require it for their grants, merit-based scholarships, and loans. We’re here to help make the application process easier with FAQs, step-by-step instructions, explainers, and more.

What Is the FAFSA?

FAFSA stands for Free Application for Federal Student Aid and must be submitted every year a student hopes to receive federal financial aid. Many states and schools also require FAFSA information for their funding and scholarships.

The form is available online at Studentaid.gov/h/apply-for-aid/fafsa . You can also print out the application and mail it in. The form asks questions about the income and finances of the student (and spouse if married) and the student’s parents, plus questions about the student’s education plans. According to StudentAid.gov, it takes most people one to two hours to fill out the FAFSA form.

For the next academic year (2026-27), the form will be released to everyone by October 1, 2025. Generally, the federal deadline is June 30 (before the academic year starts), but states and schools may have earlier deadlines. Also, keep in mind that funding is limited and often given out on a first-come, first-served basis.


Want to Learn More?

Here are some articles that go into more depth covering FAFSA basics:


How Do Student Loans Work?

Whether you’re starting college or going back for another degree, keeping the different loan types straight in your head is not easy. There are two types of loans — federal student loans and private student loans. Federal student loans are given by the U.S. Department of Education, whereas private student loans are given through a private lender and do not require you to complete the FAFSA.

Federal loans have amount limits and eligibility requirements, including financial need for certain loans. Private loans generally require a credit check, proof of income, and/or a cosigner.

Here’s a guide to the different types of federal student loans available.

Federal Student Loans

Direct Subsidized Loan

Direct Subsidized Loans are for undergraduate students who have financial need. The “subsidized” part means the government pays your interest while you’re in school and for a six-month grace period after graduation.


Learn More

Direct Unsubsidized Loan

Direct Unsubsidized Loans are offered to undergraduate, graduate, and professional degree-seeking students, and financial need is not required.


Learn More

Direct PLUS Loan

Direct PLUS Loans are offered to parents paying for their dependent child’s undergraduate education and to graduate or professional degree-seeking students.


Learn More

Private Student Loans

An additional source for education funding are private lenders, including banks, credit unions, and online lenders. Private student loans do not require a FAFSA application and are often used as a supplement to federal aid.


Private Student Loans 101

It can sometimes be difficult to determine which loan option will work best for you. These comparison articles may help you choose from federal, private, or both.



What Are the Requirements for Federal
Student Loans?

Below, we outline the basic requirements (set by law) to receive federal student loans and other federal aid.

Financial Need

To qualify for many federal student aid programs, you must demonstrate that you have a financial need. Your financial need is determined by calculating the difference between the cost of attending a school (COA) and your Student Aid Index (SAI). Your COA will vary, of course, depending on the school, but your SAI will remain the same. A completed FAFSA is required to determine a student’s SAI.

Citizenship

You must be either a U.S. citizen or an eligible non-citizen to apply for federal aid. Eligible non-citizens include U.S. nationals, U.S. permanent residents, or individuals with certain designations from the U.S. Citizenship and Immigration services.


Learn More

Social Security Number

It is required that applicants possess a valid Social Security number. There are exceptions for students from the Republic of the Marshall Islands, Federated States of Micronesia, and the Republic of Palau.

Selective Service

Previously, most male students wishing to apply for federal student aid had to be registered with Selective Service. But with the passage of the FAFSA Simplification Act in late 2020, this is no longer the case (having a drug-related conviction also no longer affects eligibility). With the 2023-24 FAFSA, the question asking males if they wanted to register for the Selective Service was removed, as well, and will continue to no longer appear on the FAFSA.

Enrollment Specifications

To receive federal aid, students must either be enrolled, or accepted for enrollment, in an eligible degree or certificate program. You must be enrolled as a “regular student,” meaning you have been accepted at the institution in order to obtain a degree, certificate, or other recognized education credential. Students must also be enrolled at least half-time to be eligible for Direct Loan Program funds.

Certification Statement

Part of the FAFSA includes signing a certification statement. This states that you do not have any federal student loans in default and you do not owe money on a federal grant. Signing this statement certifies that you will use any federal student aid you receive for educational purposes only.

Proof of Education

Students must prove that they are qualified to obtain a college education by showing they have a high school diploma, General Education Development (GED) certificate, completed high school education by a homeschool approved under state law, or are enrolled in an eligible career pathway program.


Learn More



Other Types of Student Aid

In addition to loans, student aid can also come in the form of grants, scholarships, and work-study jobs.



Important FAFSA Deadlines To Know

Now that you know the basics, let’s go through some important deadlines for the student aid process.


Important FAFSA Deadlines to Know

October 1

This is the date the FAFSA normally becomes available for the following school year. The 2026-2027 FAFSA will be available to all students by October 1, 2025. It is recommended that you fill out your FAFSA as soon as possible to give you a chance to access all available funds. Need-based aid is awarded on a first-come, first-served basis, so it is in your best interest to apply before some of the funds run out.

June 30

This is the deadline to submit the FAFSA for the school year beginning that fall. You can still make corrections and updates until early September. For the 2024-2025 school year, the deadline is Sept. 14, 2025.

Deadlines by State

Each state has its own deadline for submitting the FAFSA form, and some state-specific grants have their own deadlines for submission, as well. To find the deadline for your state, check the official FAFSA website.


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Deadlines by College

In addition to state deadlines, colleges may also have other deadlines that vary by school. Check with the schools that you are interested in attending to ensure you submit your FAFSA on time.


Paying Back Student Loans

Once you have a student loan, here’s how you go about paying it back.


More Info on Financial Aid

When it comes to financial aid, there are many topics to cover. Here are some additional resources that can make the process easier.




SoFi Private Student Loans

Sometimes the cost of college can exceed the amount of federal aid you receive. That’s when you might consider a private student loan with SoFi. SoFi offers no-fee student loans with no fees required and an easy application that can be done entirely online.

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SoFi Daily

Stay up to date on the latest business news and stock market happenings.

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Terms and Conditions Apply. SOFI RESERVES THE RIGHT TO MODIFY OR DISCONTINUE PRODUCTS AND BENEFITS AT ANY TIME WITHOUT NOTICE. To qualify, a borrower must be a U.S. citizen or other eligible status and meet SoFi's underwriting requirements. Not all borrowers receive the lowest rate. Lowest rates reserved for the most creditworthy borrowers. If approved, your actual rate will be within the range of rates listed above and will depend on a variety of factors, including term of loan, evaluation of your creditworthiness, years of professional experience, income, and a variety of other factors. Rates and Terms are subject to change at anytime without notice and are subject to state restrictions. SoFi refinance loans are private loans and do not have the same repayment options that the federal loan program offers, or may become available, such as Income Based Repayment or Income Contingent Repayment or PAYE. Licensed by the Department of Financial Protection and Innovation under the California Financing Law License No. 6054612. SoFi loans are originated by SoFi Lending Corp. or an affiliate, NMLS # 696891. (www.nmlsconsumeraccess.org)

✝︎ To check the rates and terms you qualify for, SoFi conducts a soft credit pull that will not affect your credit score. However, if you choose a product and continue your application, we will request your full credit report from one or more consumer reporting agencies, which is considered a hard credit pull and may affect your credit.

INVESTMENTS: NOT FDIC INSURED • HAVE NO GUARANTEE • MAY LOSE VALUE. Investing in securities involves risks, and there is always the potential of losing money when you invest in securities. The SoFi Wealth platform is operated and maintained by SoFi Wealth LLC, an SEC Registered Investment Advisor. Brokerage services are provided to clients of SoFi Wealth LLC by SoFi Securities LLC, an affiliated broker-dealer registered with the Securities and Exchange Commission and a member of FINRA /SIPC . Clearing and custody of all securities are provided by APEX Clearing Corporation. For more information, please see SoFi Wealth LLC’s Form ADV Part 2 by clicking here for SoFi's Wealth Form ADV Part 2 A&B or by visiting www.adviserinfo.sec.gov .
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