List of Low-Interest Student Loans

Answer 1

Students are graduating with over $25,000 in student loan debt, according to CNN. This figure demonstrates how important the right funding can be to get an associate's, bachelor's, or master's degree. The following student loans are just some of the financial awards that can help students pay for college and continue on to a rewarding career.

Loans for High Financial Need

Perkins Loans are low-interest government funds that are given to students with extreme financial need. Students can borrow up to $5,500 per year for undergraduate courses and up to $8,000 per year for graduate work.

Subsidized and Unsubsidized Loans

When the cost of tuition and fees outweighs a student's grants and scholarships, loans can bridge the gap. Subsidized Direct Stafford Loans are aimed at students with excess financial need, but Unsubsidized Direct Stafford Loans are available to any undergraduate or graduate student, regardless of financial need. With subsidized loans, the American government pays accruing interest while a student is in school. With unsubsidized loans, the interest accumulates and the student must repay it after graduating or leaving school. Maximum loan amounts vary based on a person's academic year and financial aid status.

Student Loans for Graduates and Professionals

Students entering a master's, doctoral, or professional degree program can take out Direct PLUS Loans. These loans offer fixed interest rates, but the rates are typically higher than other federal loan products. Parents can also take advantage of these loans to help their dependent undergraduate students.

Private Loans

Even individuals who do not qualify for federal aid can apply for private loans, or Alternative Education Loans. Banks, credit unions, professional organizations, and independent colleges all offer gap loans for education.

Access to Low-Cost Loans

Students and parents interested in a list of student loans should review the Federal Student Aid portal or visit the college's financial aid office. To access federal student loan funds, borrowers must complete the Free Application for Federal Student Aid, FAFSA. Private lenders require their own loan applications.