Understanding student loan types

Federal Student Loans

Federal student loans are the largest source of education loans. You and your family can get these loans through their education institute or a private financial institution such as Citibank, Bank of America, or Sallie Mae

These loans have more favorable terms than private loans. So, get all the federal loans you can before looking into private loans.

 

Private Student Loans

Private loans provide additional funding after a borrower has maximized his or her federal loan eligibility. You can get them from your school or from private financial institutions.

Depending on the lender, private loan (alternative loan) terms can vary considerably based on your credit history.

  • Signature Student Loan

  • Tuition Answer Loan

  • Community College Loan

  • Continuing Education Loan

  • Career Training Loan

 

Consolidation Loans

Student loan consolidation may save you money, if you're already paying back student loans or are in your grace period.

Loan consolidation refinances multiple loans into one new loan with a new repayment term, monthly payments, and interest rate.