College Student Loan
College Student Loan
Need a college student loan? There are plenty to choose from. The U.S. Department of Education alone offers four popular student loans for undergraduate and graduate students. Outside federally backed programs, there are virtually thousands of private lenders willing to award you a college student loan.
A college student loan is a loan that, unlike grants and scholarships, requires repayment from the borrower. These loans are granted to students under an array of situations and circumstances. They are used to pay for expenses related to school including tuition, fees, room and board, textbooks, transportation fees, school supplies, and even day care expenses.
The U.S. Department of Education offers four major college student loan programs – Federal Perkins, Direct Stafford, Federal Stafford, and PLUS.
Federal Perkins – Loans awarded by the federal government but made possible through participating schools that essentially lend the money to the student.
Direct Stafford – Also known as the William Dr. Ford Federal Direct Student Loan, the Direct Stafford is funded through the U.S. Department of Education. This college student loan comes in both subsidized and unsubsidized forms.
Federal Stafford – Another U.S. Department of Education loan that also can be subsidized. Also known as the Federal Family Education Loan.
PLUS Loan – Designed mainly for parents, the PLUS loan can be taken out to pay for a dependent’s education expenses. The dependent must be an undergraduate. The loan is facilitated under the Stafford loan programs. Graduate students seeking an advanced degree can also utilize the PLUS loan program.
Along with the federal college student loan programs, private lenders offer attractive loan programs for borrowers. These loans are similar to federal loans but do require credit checks. Interest rates, unlike the fixed rates of federal loans, vary dependent upon the current prime rate and a borrower’s credit history.
To learn more about private college student loan programs, start at the homepage of Student Loans .Net