| p>When a student runs out of federal funding for | | | | education. Books and supplies will not be included in |
| college education, they can turn to alternative | | | | this type of a loan. |
| sources for their educational needs. Banks and | | | | Below is a current list of institutions that give private |
| Financial Institutions offer private student loans to | | | | student loans. |
| help cover unexpected, or extra costs associated | | | | -GMAC |
| with attending college. When considering alternative | | | | -Citibank |
| private student loans to federal loans, remember to | | | | -Wells Fargo |
| shop around. | | | | -U.S. Bank |
| You want to shop around because unlike Federal | | | | -Sallie Mae |
| Loans, private education loans often have higher | | | | -Regions Bank |
| interest rates, and overhead costs associated with | | | | This is not a complete list of all institutions that offer |
| them. Current rates are often based on the LIBOR | | | | financial aid, nor is it meant to promote these |
| index, as well as your credit score. If you don't have | | | | institutions. When looking for an institution to carry |
| good credit, or even a long enough credit history, this | | | | your student loan, find one that is willing to offer no |
| can raise interest rates significantly. | | | | fees and low interest rates. |
| One loan available to medical students is called the | | | | More fees mean less money for your education. It |
| med-CAP loan. Usually offered through private | | | | also means that you will spend more time paying it |
| financial institutions. This loan will help medical students | | | | back. Also, look closely at lenders terms to make |
| cover the extra costs associated with school, since | | | | sure they are not wrapping the fees into your |
| tuition is normally way above and beyond what | | | | contract, or that they are not giving you the interest |
| regular federal loans allow. | | | | rate they promised. Sometimes an interest rate is |
| Many times financial institutions will cap the annual | | | | advertised, but it only applies to those with really |
| loan amount at cost of education (COA-aid) minus aid | | | | good credit. |
| received. Basically this means that If you already | | | | Above all know what you are agreeing to, and |
| have a loan for $4,000.00 and you need $3,000.00 | | | | understand that you are taking out a loan that can |
| more, that is exactly what the loan will be for. So | | | | either help or hurt your credit. It all depends on you. |
| you will only get the amount of money you need for | | | | |