Student Loans for Students with Bad Credit

So, you’re ready to go to college. It’s an exciting time, until you realize just how much it’s going to cost. If your parents prove unable or unprepared to pay for your college education, you will be left to do it yourself. Moreover, no matter how you look at it, your student loan is just like any other loan for a car, a mortgage, or any other major purchase. Even though you can wait to begin paying it back after you’ve graduated, it will still be there waiting for you. Student loans will never go away until repaid, and you cannot discharge the items through bankruptcy either. If you are like most beginning college students, you fall into the category of seeking student loans for students with bad credit, mostly because young college students have already obtained credit cards and may have hurt their credit by misusing the privilege or simply do not have any credit records in your name. If this describes you, you are not alone and there is a solution.

Do you need student loans for students with bad credit?
Apply for student loans for students with bad credit today.

Two types of student loans for students with bad credit exist: federal student loans and private student loans. To boil these loans down to their basic parts, federal student loans are guaranteed by the federal government. Federal student loans impose limits on how much you can borrow. Private student loans, on the other hand, are generally offered by banks or other financial institutions, and when it comes to student loans for students with bad credit prove even more difficult to obtain due to stringent credit inspections.

Current interest rates on student loans for students with bad credit include:

• Direct Perkins Loans – 5.0% for 2008 academic year
• Direct Stafford Loans – 6.8% for 2008 academic year
• Direct Graduate PLUS Loans – 7.9% for 20008 academic year
• Personal loans – varies depending on lender
• Online peer-to-peer loans – varies depending on lender
• Credit card loans – varies, approximately 20 % to 30% for students with bad credit
• Company sponsored – generally none, but requires contract commitments

Take into account the fact that financial aid offices of colleges have students’ best interests at heart, when it comes to assisting the student with making the right decisions about financing their college education. Sometimes, however, being able to utilize the optimally rated loans is not feasible, and in these cases, guidance and financial aid counselors will direct students to costlier, but all around just as effective methods of financing collegiate educations.

Student loans for students with bad credit must be paid back regardless of personal bankruptcy filings, and failing to repay student loans can lead to wages being garnish and credit being completely tarnished. In addition, interest on all loans accrues over time, and the final repayment amount loans are vastly larger than the principle loan award. Students can utilize the financial aid calculator to ascertain an accurate picture of their monthly, as well as cumulative, repayments needed to rectify borrowed loans. Student loans for students with bad credit often charge more interest than for students with good credit, or even with no credit at all, so look at the loan from end to end before making borrowing decisions. If the entire spectrum of the student lending process is overwhelming, please do not hesitate to contact for further assistance locating student loans for students with bad credit.

Do you need student loans for students with bad credit?
Apply for student loans for students with bad credit today.