What is the Difference between Getting a Federal Student Loan and a Private Student Loan?

by: Michael Saunders
Attending college is a milestone, but can also be extremely expensive. With some options already in mind, you may want to look at the student loan alternatives that are available to a college undergraduate. Student loans can be very tricky, and are very confusing to most. In many situations, families are accepted for all different kind of loans and then are left in the dark when it is time to pay it back or fail to realize that they owe as much due to accrued interest.

With high interest rates and very unforgiving payment plans, it is best to know what options are available to you prior to being seduced by college lenders with promises of fast money.

You may already be somewhat familiar with the terms ‘Federal Student Loan’ and 'Private Student Loan'; these are the two most popular type student loans being used today. Do not let the terms deceive you, as they do not sound very different, they come with very different stipulations and payment approaches when it comes time to pay the money back. A student loan is anything that is aided to the student or their family from the government or school the student plans to attend. These loans the student will pay back with interest at a later date.
  (continued...)

What is the Difference between Getting a Federal Student Loan and a Private Student Loan?
  Page 2

About The Author The author edits a site featuring Grants for Education and another Government Grants site providing info on every grant the federal government offers. Michael Saunders has an MBA from the Stanford Graduate School of Business.

Additional Resources

category - Education Grants

SMART Grants - Educational Grants for the Student of Math, Science and Languages
National Science and Mathematics Access to Retain Talent (SMART) Grants assist those undergraduate postsecondary students that major in foreign languages or certain designated technical fields. Financial grant assistance is provided on need-basis to help these students meet their educational expenses.

---

National Institutes of Health: Expanding the Encyclopedia of DNA Elements in Human and Model Organisms
The National Institutes of Health, in cooperation with the National Human Genome Research Institute, has established a funding opportunity to support the Expanding the Encyclopedia of DNA Elements in Human and Model Organisms project.

---

The Role of Private Enterprise in Putting Man into Space
Has NASA, the monolithic space agency, failed in it's quest to put man out into the cosmos? Will profit coupled with man's need to explore be the driving engine which sends man into the cosmos? Think...

---

Government Grants Within The United States Education Sector
The United States of America prides itself as having one of the top countries with the most efficient and functional educational systems. The US has been consistently working towards the improvement of the country's education-related initiatives.

---