ome in many guises: Stafford loans, Perkins loans, Federal Family Education Loans, Ford Direct Student Loans. Each one is a bit different and targeted towards a different type of student, so it's a good idea to do some research and find out which one is the most beneficial to you.
Private students address the weakness of federal loans by offering higher limits, but also higher interest rates rates. While more significant than the interest rates charged by federal loans, they are nonetheless still lower than a nonspecific loan. Unlike federal loans, credit history does matter, and many private loans will require the student to fill out a FAFSA or some other application that provides the lender with financial information. Because of this reliance on the borrower's financial situation, many students who choose to take out a private loan will cosign with their parents in order to reap the benefits of their credit score and the subsequent lower interest rate. Depending on your family's situation, this could be a good option to consider!
Following in the footsteps of federal student loans, many private loans also offer a similar grace period, which can extend to up to twelve months in some cases (though six is far more common).
Because they don't carry the federal government's guarantee, there are far more private student loans out there than federal ones. Each lender will have their own qualifications, rates, terms, and schedules. If you plan on applying for private loans, watch out for hidden fees and terms that can trip you. Choose carefully, and the best private loans will provide you with a significant monetary boost so that you can study in your dream art school without worrying about funds.
LOAN RESOURCE SITES
Loans are a great, solid source of educational funding. They are available to almost everyone and are a time-proven asset to any student who won't allow financial difficulties become an obstacle to attaining a good education in the arts. Though we've listed pros and cons to both federal and private loans here, we reiterate again that a mix of both types can create a strong, balanced aid plan.