Student Loans For Community College

We often get asked about student loans for community college, and if student loans for community college are any different than student loans for four year schools? The simple answer is “no”, there is virtually no difference in applying for student loans for community college and receiving student loans for community college. With the rising price of (four year) college, community college is a becoming a wise alternative to to save money. Even if you plan on receiving a Bachelors degree from a four year private or state university, a community college can be a great way to complete your first two (or more) years of credits before transferring to a four year school. Lets take a look at the process for obtaining student loans for community college…

Before Student Loans for Community College:
Just as with students planning on attending four year colleges, students planing on attending community college should first look at their “free money” options for college before looking at student loans for community college. Unlike student loans for community college, “free money” options such as scholarships, grants, and other loan alternatives will not have to be paid back. Finding and applying for scholarships and grants may not be as “easy” as applying for student loans for community college, but if you can graduate college with very minimal student loan debt, think about how nice that would be!

Federal Student Loans for Community College:
If you have applied for all the scholarships and grants you are eligible for, next you can move on to applying for federal student loans for community college. Applying for federal student loans is done the same way for all college students (regardless if they are attending a community college or a four year college), you need to file the FAFSA (Free Application for Federal Student Aid). FAFSA is your direct link to obtaining student loans for community college. For some reason many community college students think that they can not file the FAFSA, or that they are not eligible for federal student loans because they are attending community college, and this is large misconception. Any community college student who is attending college pat-time (half-time) needs to file a FAFSA because chances are you are eligible for some type of federal student loans for community college.

Since federal student loans for community college are less expensive than private student loans for community college, you do not want to miss out on your opportunity to secure federal student loans for community college if you are eligible for them. Do not miss the FAFSA application deadline or you will “short-change” yourself on being able to obtain the best kind of loans for community college, which are federal student loans. Along with filing the FAFSA for federal student financial aid, you may want to view our State Financial Aid Directory, to see if your state offers any specific aid or student loans for community college. If you would like to learn more about federal student loans for community college and the different types of federal student loans for community college, please visit our Federal Student Loan Section.

Private Student Loans for Community College:
When funding your community college education, the last possible type of student loans for community college you want to obtain are private student loans for community college. Since private student loans for community college are not regulated in the same way federal student loans for community college are, they should be last on your list because they are the most “expensive” type of student loan. What makes private student loans for community college more expensive then federal student loans? (we’re glad you asked!):

1. Private student loans for community college typically have much higher interest rates.
2. Private student loans for community college have variable interest rates.
3. Private student loans for community college do not offer as flexible of repayment options (compared to federal loans).
4. Private student loans for community college are based on credit history.

It is not that private student loans for community college are awful, it’s just that because of the reasons above they should be a last resort to pay for college. If you do find yourself in need of a private student loan to help pay for community college, you need to know that all private student loans for community college are not created equal, so it is very important to do your research and understand all the terms and conditions before locking into any private student loan for community college. Since private student loans for community college are based on credit history, if you have poor credit history (or little to no credit history) securing private student loans for community college may not be possible without the help of a credit worth cosigner. You should be leery of any lender who is suggesting they will provide you with a “bad credit” private student loan without a cosigner. If you would like to learn more about private student loans for community college, please visit our Private Student Loans Section.