What are student loans
Education loans help students and parents cover the cost of higher education. Unlike scholarships and grants, loans must be paid back, with interest. There are many different types of federal and private education loans offered to students and parents. American Student Assistance administers the Federal Stafford Loan for students and the Federal PLUS Loan for parents and graduate students. Education loans may be awarded based on financial need, a good credit history, or other criteria. Some loans have limits on how much you can borrow. In general, federal loans offer lower interest rates and more flexible repayment plans. You should talk to the financial aid office at your institution about your loan options.
