What are the Different Types of Student Loans for College?
Those seeking student loans for college have two basic options, federal or private loans. Federal loans are guaranteed by the federal government, and therefore generally offer the best interest rates and repayment options. Private loans are granted by private banks, and usually have a bit higher interest rates than federal loans. They are popular, however, for providing additional funds when federal loan limits are reached. There are four types of federal student loans for college. Stafford loans are the most popular, followed by Perkins, and two types of PLUS loans. Each has have their own purpose. Stafford loans offer a low, fixed interest rate for undergraduate students. The school being attended must be accredited, and the student must be enrolled at least half time. There are limits to the amount that can be borrowed, raging from $5,500 US Dollars (USD) for first year dependent students to $20,500 USD for independent graduate students. Federal Perkins loans are very low interest s
