What is the Difference between Getting a Federal Student Loan and a Private Student Loan?

by: Michael Saunders
Attending college is a milestone, but can also be extremely expensive. With some options already in mind, you may want to look at the student loan alternatives that are available to a college undergraduate. Student loans can be very tricky, and are very confusing to most. In many situations, families are accepted for all different kind of loans and then are left in the dark when it is time to pay it back or fail to realize that they owe as much due to accrued interest.

With high interest rates and very unforgiving payment plans, it is best to know what options are available to you prior to being seduced by college lenders with promises of fast money.

You may already be somewhat familiar with the terms ‘Federal Student Loan’ and 'Private Student Loan'; these are the two most popular type student loans being used today. Do not let the terms deceive you, as they do not sound very different, they come with very different stipulations and payment approaches when it comes time to pay the money back. A student loan is anything that is aided to the student or their family from the government or school the student plans to attend. These loans the student will pay back with interest at a later date.
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What is the Difference between Getting a Federal Student Loan and a Private Student Loan?
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About The Author The author edits a site featuring Grants for Education and another Government Grants site providing info on every grant the federal government offers. Michael Saunders has an MBA from the Stanford Graduate School of Business.

Additional Resources

category - Education Grants

National Endowment for the Arts: Literature Translation Fellowship 2012
The National Endowment for the Arts has constituted the Literature Fellowship for Translation Projects grant. The grant provides fellowships for published translators as they translate specific works of prose, poetry or drama.

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Scalable Nanomanufacturing Grants Program
The National Science Foundation has announced the constitution of the Scalable Nanomanufacturing Grants Program wherein it intends to deepen and encourage research and education in the area of scalable nanomanufacturing, including the long-term societal implications of the largescale implementation of nanomanufacturing innovations.

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Alaska Native-Serving and Native Hawaiian-Seving Institutions Education Competitive Grants Program
The National Institute of Food and Agriculture has recently constituted the Alaska Native-Serving and Native Hawaiian-Seving Institutions Education Competitive Grants Program wherein it intends to award funds in an attempt to support education, applied research, and several other related community development programs.

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Solar Decathlon and Energy Efficiency and Renewable Energy Showcase Event
The Solar Decathlon and Energy Efficiency and Renewable Energy Showcase Event seeks to promote and encourage the outreach, education and economic benefits of energy security, as well as renewable energy and energy efficiency through the demonstration of various EERE technologies that can be utilized in the community.

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