Private loans bridge the gap between college costs and other student aid
Most college students are eligible for financial aid to help pay for their education, such as federal and state grants, scholarships, and federal loans. But some students may find that these programs don’t cover all college costs, according to KHEAA. Others may not be eligible for state and federal aid because they attend school less than halftime.
Since interest rates on private loans depend on the borrower’s credit rating, students may have to pay higher rates than they would for federal student loans. Additionally, many lenders require students to have a co-signer, and most require the college to certify that the student needs the loan.
Students and parents should compare private loans offered by various lenders to find the best deal possible. And, they should definitely check out the Advantage Education Loan at www.advantageeducationloan.com
KHEAA is a non-profit public agency established in 1966 to improve student access to university. It provides financial aid and financial literacy information at no cost to students and parents.