Student loan question?

Question:What is the difference between a private student loan and a federal student loan? I know on the private loan that the check is sent directly to me but is one loan better than the other? How will i know what my interest rate will be? Is it a fixed rate? I'm new to this, thanks!! Any other info would be appreciated.

Answers:
The difference between the loans is that the federal loans have stricter regulations that lenders must adhere to. Generally the federal loans are "better" because there is a cap on how high the interest can be and the loans will cost you less.

You'll be told about the interest rate before you have to sign anything and the loans may or may not be fixed.

You'll also here about subsidized and unsubsidized loans. Subsidized means that while you're in school the government pays the interest on your loans. Make sure to max out on subsidized loans before you get any unsubsidized loans.

Lastly, the important thing to remember if you have multiple loans is to consolidate your loans as soon as you graduate. This means you get one big loan with one bank. The end result is that you'll pay less by doing this.

Check with your financial aid office for more details. You may qualify for scholarships or grants which might only require you to ask before they give you the money.

Oh, one other thing is work-study. If you qualify for this it basically means you can get a job that the government helps pay for. Work-study jobs are often very easy jobs where you can do your homework and/or study while getting paid.

Good Luck!
I'm geussing a private loan - a private entity pays for, a federal loan the federal goverment pays for.


http://www.zeromillion.com/financial-ser...
You can go to
www.fafsa.ed.gov
or
www.estudentloans.biz
it's about student loans information. Good luck

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