Credit Funding

Federal student loans in the United States are an authorization of title IV of higher education act as amended. It is a tough job for students to pay the huge educational expenses these days and hence the concept of federal student loans – financial aid was developed The federal student loans- financial aid are the largest source of financial aid in the US shedding out more than $100 billion every year for education programs.

Federal student loans may be subsidized or unsubsidized and are of different types such as Stafford loans, Perkins loans,

Federal student loans offer financial help to students enrolled at college and are generally offered by private organizations under accordance from the US Department of Education through the Federal Family Education Loan Program (FFELP) and the Federal Direct Student Loan Program (FDLP). Federal student loans cover the overall school expenses, including the tuition fees and maintenance.

Types

Four major types of student loans are available to students which can be broadly classified as Stafford Loans, PLUS Loans,