Community College Student Loans

Q: For students who plan on attending a community college, or a two year college instead of a four year university, what are their student loan options? Are there community college student loans, or is the financial aid processes similar to what it is for students attending four year colleges?

A: Community colleges are becoming increasingly popular, and are an excellent option for students looking to cut down on college costs (since most community colleges offer transferable credits to a four year school at a reduced cost). The financial aid process for students attending a community college is typically the same as it is for students attending a four year college or university. Some private lenders may offer private “community college student loan” products, directed towards that specific demographic, but in general there are no special “community college student loans.”

Free money for college options (such as scholarships and grants) are available to students attending community colleges. Scholarships and grants will provide the student with money for college that will not have to be repaid. It is always highly recommended that students apply for all the scholarships and grants that they are qualified and eligible for.

Community college students will also want to take advantage of federal financial aid programs, such as federal student loans and grants. To apply for federal financial aid for college, visit www.fafsa.gov and file a FAFSA (Free Application For Federal Student Aid). Federal student loans offer some of the lowest interest rates and most flexible repayment terms, so it is important to exhaust all of your federal student loan options before looking into private student loans for college.

If your community college costs are not met by scholarships, grants, and/or federal student loans, you may then consider a private student loan for college. Private student loans are based on credit, so the borrower will need to have good credit and pass a credit check in order to secure the loan. If you have poor or little credit history and are in need of private community college student loans, please view: No Credit Check Student Loans and Student Loans for People with Bad Credit.