admin
02-14-2009, 08:41 AM
Stafford Loan : Stafford Loan is a federal educational loan that is provided by the government. It provides financial support for educational expenses on books, study material and hostel charges. There are two types of Stafford Loans, those financed by a private lender or directly through the US government.
The federal family education loan : Under this program the funds come directly from the federal government. The funds come from a bank, credit union or the lenders who participate in the program.
The terms and condition of both the lending programs are almost similar. Same amount can be borrowed from Direct Stafford Loan or a FEFL Stafford. The only difference between the two programs is the source of finance and the repayment provisions.
For both types of loans, a Federal Student Aid Application (FAFSA). The form is reviewed by the school authority and you are informed about the loan eligibility. After this you need to sign a promissory note.
The federal family education loan : Under this program the funds come directly from the federal government. The funds come from a bank, credit union or the lenders who participate in the program.
The terms and condition of both the lending programs are almost similar. Same amount can be borrowed from Direct Stafford Loan or a FEFL Stafford. The only difference between the two programs is the source of finance and the repayment provisions.
For both types of loans, a Federal Student Aid Application (FAFSA). The form is reviewed by the school authority and you are informed about the loan eligibility. After this you need to sign a promissory note.