Program can help fund college costs

For 20 years the NJCLASS supplemental loan program, administered through the New Jersey Higher Education Student Assistance Authority (HESAA), has been helping students afford the cost of college. Highly rated by Moody’s and Fitch rating agencies, HESAA offered $326.5 million in tax exempt bonds recently to support the NJCLASS loan program.

“On the 20th anniversary of the NJCLASS, HESAA is pleased that this program remains a vibrant and invaluable resource for the students it serves. Thanks to the support of Gov. Chris Christie and the New Jersey Legislature, NJCLASS continues its proud history of enabling New Jersey students to attend college and realize their full potential,” said Executive Director Gabrielle Charette.

According to a press release, the program offers a low-cost alternative to financing a college education for undergraduate, graduate and medical/dental studies.

NJCLASS is available to Garden State residents attending any eligible school in or out-of-state or any out-of-state resident attending an eligible New Jersey school. Since its inception in 1991, NJCLASS has assisted almost 229,000 New Jersey students and families with more than $2.6 billion to meet college costs. This past year alone NJCLASS assisted more than 25,000 students with nearly $334 million in student aid.

NJCLASS offers a simple fixed interest rate that provides borrowers with the security of a predictable monthly payment. Loan terms are clearly disclosed and easy to understand. Avariety of repayment options are available. As a nonprofit lender, the interest rates are determined by the direct cost of the repayment option selected and not by stockholder profit demands, according to the press release.

For the 2011-12 academic year, HESAA announced interest rates starting at 6.6 percent.

Due to high demand, HESAA will again offer a 10-year repayment option with a low fixed interest rate of 6.6 percent, which is 1.3 percent less than the rate offered by the federal PLUS loan.

More information about NJCLASS can be found at www.hesaa.org/njclass.