Loans are available for students to help pay for the cost of college. Federal loans are supported by the federal government and must be repaid with interest. They have low interest rates and repayment terms. A private loan is a non-federal loan issued by a lender such as a bank or credit union. Private loans often require a credit check and possibly a co-signer. Many private loan lenders are available through the internet, but be careful to familiarize yourself with all the terms in the fine print that they offer. Also, be sure to check with the Better Business Bureau to make sure you select a reputable lending firm.
To obtain a federal loan you will have to complete a FREE APPLICATION FOR STUDENT AID (fafsa.ed.gov). If the amount of the loan you qualify for does not cover the full cost of your tuition and ancillary expenses, then you may want to consider a private loan to supplement your costs.
Check with your local financial aid officer at your university to get the best advice regarding what type of loans you need to seek.
