Published: 2026-08-15
This article provides general information for reference purposes only and does not constitute professional legal, tax, medical, or financial advice. Rules and programs may change. Always verify current details with official sources or consult a qualified professional.
What is the difference between federal and private student loans?
Federal student loans are funded by the government and offer fixed interest rates, income-driven repayment plans, and forgiveness options. Private student loans are offered by banks and credit unions, with rates based on your credit. Federal loans generally offer more protections.
Which should I choose?
Maximize federal loans first, as they offer more flexible repayment and forgiveness options. Use private loans only if you need additional funding after exhausting federal options. Compare rates and terms carefully.
How do I apply for federal loans?
Complete the Free Application for Federal Student Aid (FAFSA) to determine your eligibility for federal loans, grants, and work-study. Your school will use the FAFSA to create a financial aid package.