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How to get student education loan?

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These days education cost has gone so up that even though parents have secured some money for their children’s education it is not sufficient. In such cases the talent can not be wasted for the reason of non availability of sources. Student loan is an option in such cases. In United States, the government gives education loans to all the students. It is called as federal grants or federal loans. These loans have lower interest rates and have many benefits also. To get these loans the students do not need good credit history or a cosigner. However these loans are very less and can not accomplish the entire need of education. In such instances private education student loans are very useful.

Private loans one needs to have a cosigner who can repay the loan amount in case if the student is not in a position to repay the loan. If he cosigner is not possible then the student should have a good credit history to apply for the loans. The private education student loans have higher interest rates and shorter repayment period.

Sometimes students need money for emergency situations. For that fast student loans are available. They can be received in 24 to 48 hours. For these loans the repayment period is very short may be 30 days and the interest rate is very high. Say for 100 dollars loan one has to pay 15 to 30 dollars for a month depending on the bank the loan is taken. Total amount has to be paid on the day of maturation of the loan say 30 days. There are no installments for fast loans. It is possible to extend the repayment but at still higher rates. To further extend the repayment a co signer is required.

Al types of education student loans can be consolidated. Consolidation is the repayment of all small loans by taking one big loan. This big loan is generally for longer time which has lower interest rates than the short period loans. This makes the loan repayment amount smaller. The interest rate for the consolidation loan is lower and it is fixed. The benefits of consolidation loan are lower interest rates, extended repayment period, fixed interest rate, single and smaller monthly installment and all the loans come under one policy. Generally it is better to consolidate private student loans by taking another private consolidation loan. And the federal loans should be consolidated by federal consolidation loan which has lower interest rate than the private loans and carries many benefits.

For the consolidation of private loans if the student has completed the education and has a good job then the interest rates lowers further. The consolidation of loans can be done during education also. There is no need to wait till the completion of the education. However in all cases it is best to save money in student life, use old books can be done to save money and not go for expensive lifestyle.