Alternative Student Loans
College has never been more important for those seeking professional careers, and yet it has never been more expensive to earn a degree. For many families, the available financial aid resources are not enough. Federal student loans often fall short of covering the whole cost of attendance, as well. When presented with these financial challenges, alternative school funding provides a great opportunity to help pay for school.
There are several channels through which you can pursue alternative school funding options. After you have exhausted all scholarships, grants, and other ‘free money’ opportunities, you should pursue federal student aid. In order to receive alternative school funding options from the federal government, you must file the Free Application for Federal Student Aid, also known as the FAFSA. The federal government and the institution you attend will use the information you provide on your FAFSA to evaluate your financial need and ultimately determine your financial aid package. Those who receive financial aid packages may also receive scholarships and grants, but any aid package will most likely include federal school loans.
If you still need money for college after exhausting federal loans, private alternative school loans are a good option. Students can also apply for private school loans directly from banks and private lenders. To find the alternative school loan that is best for you, just use our Loan Comparison Tool above: it lets you search for and compare many different options from a variety of top lenders, and if you see the whats right for you, you can apply for it right through the tool.
Alternative student loans are basically private loans. They’re mostly opted for when federal aid is no longer an option for students, or if federal aid doesn’t cover tuition expenses. There are a number of private loan companies and banks that specialize in alternative student loans, and these loans may have fixed or variable interest rates which are normally higher than interest rates on federal loans. Alternative loans also have strict eligibility requirements and may require a co-signer.