Higher education does not come cheap. Many parents have to take out loans in order to manage tuition and upkeep expenses for their children. Higher learning student funding is available in two main categories, Federal and Private Loans.
Federal Student Aid programs are the biggest source of financial aid for students, offering billions of dollars annually under different programs. Private lending institutions such as banks, on the other hand, offer private loans that are also called alternative loans to borrowers.
Typically, it is advisable for a student to research thoroughly and compare terms and rates across the board, before taking out any loan. This is a smart way to avoid high-interest rates, stringent repayment terms and future prospects of debt. However, if you already owe the government or private institutions some money, the simplest method to make payments is by student loan consolidation.