Federal vs. Private Student Loans: What To Know

If you're looking for additional funds to pay for college, you may be looking at Federal vs. private student loans.

After you're admitted to college, you’ll receive a financial aid package that breaks down your cost of attendance minus any grants, scholarships, or other sources of financial aid you’re eligible for. This financial aid package includes federal student loans.

Many students choose to cover their college expenses with Federal student loans, but it's not the only way (or you may need to borrow more than Federal loans offer). You can also use private student loans. There are pros and cons to consider before going the private route, but it might be the right decision depending on your financial situation.

We explore the differences between federal vs. private student loans and what you should consider before signing on the dotted line.