State loans, including Utah student loans, often use tax exempt bond monies that are not subject to federal taxes, meaning that there is a deep savings due to the elimination of taxation that can be passed on to the borrower.

In many cases, it is not understood why people benefit greatly from participating in state-sponsored student loan programs as opposed to using private lenders. State loans, including Utah student loans, often use tax exempt bond monies that are not subject to federal taxes, meaning that there is a deep savings due to the elimination of taxation that can be passed on to the borrower.

In Utah, the Higher Education Assistance Authority (UHEAA) is charged with the responsibility of student aid and is the administrator of the low cost and low interest FFELP (Federal Family Education Loans Program) for the state. The organization also offers other information linked to state institutions, financial planning, and other informational resources (including guidance to participating lending agencies).

The UHEAA has established relationships and forged partnerships with a number of lenders within the state of Utah, allowing students who borrow through the agency the opportunity to save on the interest rate on their federal loans, as well as passing along benefits such as elimination of associated loan fees (such as origination fees). The agency can administer Stafford Loans (subsidized and unsubsidized ), Perkins Loans, and Graduate or Parent PLUS Loans. A FAFSA and an online application can get you started, aiding you in providing your personal information, showing financial need, and authorizing a credit check if necessary.

It is also common for students to receive a number of different loans to help pay for their education, leading to a variety of repayments that must be made upon completing your studies. This can be a burden in several ways � keeping up with all the payments, paying higher interest rates on some than others, and overall extending your budget beyond what you can afford to get them all paid. Utah student loans through the UHEAA also include options for consolidation loans, in which you can lower your interest rate and lump all of your loan payments into one lower payment that you can afford. Often, incentives are attached to this, including reduction in interest rates for consistent on time payment or configuring an automatic debit of your monthly payments from your bank account.