| Providing good education is a dream that every | | | | at lower interest rates and have convenient |
| parent likes to cherish for his child. However, in this | | | | repayment terms. The interest rate on student loans |
| era, a good education comes at a fairly high price | | | | is not charged till the repayment starts. There are |
| that an average parent finds it difficult to bear. | | | | two important types of student loans provided by |
| At this juncture, US citizens have the opportunity to | | | | the US federal government. These include the Perkins |
| knock at the doors of the federal government for | | | | Loans and Stafford Loans. In case of a Perkins Loan, |
| help. With the objective of providing right education | | | | the school itself acts as a lender. In case of a |
| to children and making it affordable, the US federal | | | | Stafford Loan, funds are provided by the banks and |
| government has introduced a variety of financial aid | | | | other lending agencies that have been approved by |
| programs that can be availed both by students and | | | | the federal government. |
| parents. | | | | The foremost requirement for a federal student loan |
| There are different ways of raising money for the | | | | is to qualify through the FAFSA. Apart from this, |
| purpose of education. Some of these include | | | | there are also federal loans available for parents. One |
| scholarships, work-study programs, family | | | | example is the Parent Loan to Undergraduate |
| contributions and educational loans. Among these | | | | Students or the PLUS. |
| student loans are the most preferred ones. The | | | | One can consult a financial aid officer inside the |
| advantage of a student loan is that the repayment | | | | school campus to have a better understanding about |
| period starts after the student completes his | | | | different types of student loans available. |
| graduation. Apart from that, these loans are provided | | | | |