Student Loan Calculator

Types of Student Loans

There are two main types of student loans:

• Federal Student Loans: Offered by the government, typically have lower interest rates and more flexible repayment options.
• Private Student Loans: Provided by banks and financial institutions, may have higher interest rates but can cover funding gaps.

Important Terms to Know

• Principal: The initial amount borrowed
• Interest Rate: The cost of borrowing, expressed as a percentage
• Loan Term: The time period for repaying the loan
• Grace Period: Time after graduation before payments begin