What does it mean to be subsidized?

It’s simple:

• Subsidized Loans – Government pays the interest on the loan while you are a student
• Unsubsidized Loans – You pay the interest on the loan while you are a student

Obviously, having the government pay the interest while you are a student does relieve some stress in the life of a student.  And heaven knows that students don’t need more stress:)

But don’t forget that you have to pick up the interest once you graduate from school.  And I highly recommend paying off the loans as fast as possible so that you don’t feel burdened for years.  One way to make extra money to help pay down the loan quicker is by taking 10 minutes a day taking free online paid surveys.

Good luck in your student loan endeavors.