The most desirable student loan for most college students is the Subsidized Stafford loan. With this government loan you can defer payments and interest until after you graduate from school. The interest rate on a Subsidized Stafford loan is usually lower than any other loan you can get to pay for school. The lending limits for all Stafford loans sometimes change, so be sure to check the government's student loan website regularly for updates (link in Resources section). If your school participates in the Federal Family Education Loan (FFEL) program, then you have to choose a lender to act as an intermediary. You will then receive the Subsidized Stafford loan funds from that lender.
The Unsubsidized Stafford loan is also a school loan issued by the government. A student can elect to receive an unsubsidized loan if she needs additional funds for college; eligibility for this loan is also dependent on family need. You do not have to repay an unsubsidized student loan while in school, but interest does accrues regardless. It's a good idea to pay the interest while you are in school.
In the case that your parents cannot pay their share of the estimated family contribution (the amount that is determined based on your FAFSA application) toward your college education out of pocket, they can apply for what is called a Federal PLUS loan. The PLUS loan is a low interest student loan that is guaranteed by the government to parents who have good credit. The loan must be used to fund the student's education and expenses related to school.
The Federal Perkins loan is a special school loan in which your school is your lender. This type of loan is only granted to students who are in extreme financial straits. If you are granted a Federal Perkins loan you have to repay the loan within ten years, depending on your school's terms. Not all colleges participate in the Perkins loan program so you have to inquire at your school's financial aid office.
Many financial experts refer to school loans as "good debt" because they are an investment in something that can potentially make you money in the future--an education. Applying for college financial aid can be a whirlwind experience, and the lure of a financial aid refund can be tempting, but it's important to remember that these obligations must be repaid at some point in the future. Only sign for loans that you absolutely need in order to start and finish college.