The Stafford and Perkins loans are provided by the federal government and are based on a student's financial need. Perkins loans are available to those in more dire financial circumstances. These loans are offered at low interest rates and allow a grace period for repayment after graduation.
A Parent PLUS loan is available to parents who want to pay for their child's education. This loan is also offered by the federal government at a low interest rate. The PLUS loan has some requirements, including the student being a dependent and under the age of 24. The parent getting the loan must be biological or adoptive, or in some cases a step parent. In order to initiate PLUS loan paperwork, parents must contact the university's financial aid office. Once the full loan is disbursed, the parent must begin paying it back within 60 days.
If a household makes too much money to get a Perkins, Stafford or PLUS loan, Signature Student Loans are another option. These loans are offered by Sallie Mae and are based on student credit scores. However, because entering college students have not usually established much credit, parents can cosign for the loan.
Career Training Loans are available to those going to a trade or technical school. These loans can be used for expenses besides education, like room and board, and the money can also be used for online courses. In order to repay these loans the student or parent sends a small amount of money, say $25 a month, while in school and for six months after graduating, then pays a higher monthly payment. Career Training Loans are given based on credit score and provide various incentives, for example, a lower rate if a student has payments debited automatically from her account.