Types of Student Loans

There are basically 2 broad types of student loans- federally guaranteed loans and non-governmental private loans.
  • Federally Guaranteed Loans offer flexible options for repayment and often provide the lowest rates available for students.
  • Private Student Loans are offered by various lenders where the loan rates are higher and terms are stricter compared to federally guaranteed loans.
When applying for student loans, it is a good idea to apply early as there may be unforeseen complications in the application process which delays the approval.