Personal Student Loans For Bad Credit

Stafford loans are, in all probability, the most common type of student loan made by the Federal Government. Stafford loans are made on either a subsidized or unsubsidized basis. In subsidized loans, the government makes the interest payment while the student is registered in school. In unsubsidized loans, the student is responsible for the payment of the interest. As a general rule, the students who have the most financial need receive loans that are subsidized. These loans usually have a six month grace period before the principle of the loan must be paid on.

Aside from subsidized Stafford loans, the students with the greatest financial need can often be awarded Perkins loans. Perkins loans usually amount to $1,000 – $4,000 per year. The student is allowed to obtain a total of $20,000 of Perkins loans.

The Federal Government recognizes that students with the greatest financial need often, even with Perkins and Stafford loans, can not afford college. Pell Grants are offered by the Federal Government to these students which are simply awards of money to allow the student to attend college.