Student loans may be necessary to help you, or your child, further an education. Education costs are heavy. When managed well, student loans can be a tool. But according to a recent article by U.S. News and World Report, it is imperative to be informed before you make decisions regarding student loans.
“If you’re a student taking out a loan for your education, you know that every penny counts. You want to borrow what you need, and not a dollar more, for the least amount of interest.
After all, the interest rate on your student loan could have a substantial impact on your total cost of borrowing and your monthly payment. Even a 2 percent interest rate difference on $30,000 worth of debt, which is less than the average student loan debt load for 2016 graduates, could save (or cost) you more than $3,500 over the lifetime of the loan.”
The article outlines various interest rates for student loan categories, and who is the ideal candidate for each of those loan categories. U.S. News and World Report also gives other pertinent information, to help you be in-the-know.
Visit the U.S. News and World Report site here to read the full article, and see the loan categories.