Federal Perkins Loan – These are loans that are given out by colleges and use government money each year to supply them. While this is a Federal loan, it is not available to all students because only a certain amount is allotted to colleges each year. You should apply early if you need this type of loan assistance. In order to qualify for a Federal Perkins loan, you need to be a US or naturalized citizen, have a high school diploma or GED, not have any default student loans, and you must be enrolled at least part-time. These loans are subsidized so you will not have to pay off the interest on the loan while you are in school. Ask about Perkins loans when you speak with a financial aid advisor. They will be able to tell you the best times to apply and what to expect. Many times colleges do not have enough funds for everyone, so you should not count on these loans when applying to college. Private Loans – You can apply for a student loan at your bank or other lending institution. You do not have to report it when applying for other types of aid because you will be paying it back while you are in school. These loans can have high interest rates and could take many years to pay back. If you cannot afford to pay back a loan while you are in college, this should be your last resort. These are your loan options when you are trying to find a way to pay for college. Your financial aid advisor will be able to provide you with more information. You can also visit www.fafsa.ed.gov for more information about applying for school loans, the types of school loans, and paying off your school loans. You need to be informed when it comes to your loans.
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