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Student loans emerged towards the end of the 20th century. It was designed to aid students, to offer them a wide range of opportunity to continue their studies and drive the economic force in the US. Since the loan seemed feasible for the government administration, private student loans applied and the number of chances increased for affordable loans. It is almost crucial for every student to be paid for their academic activity. There are several types of private loans, and what makes private student loans attractive is their terms and conditions. They are different from Federal loans with requiring a cosigner, one responsible person to pay instead of you, in case you avoid to pay in the future. Choosing of cosigner happens in two stages. First, they should be a financially secure and close person to you, parent or relative.

Do you need to take a private student loan?

private student loans

 

Students with undergraduate and graduate degree need to finance their degrees. The scholarships provided by the university or self-benefitted companies are scarce, and not everybody is eligible for those options. In addition, if you have a project that you think will be helpful to society, but you do not have money you can benefit from loans. Entrepreneurs, for example, want to introduce “breakthrough” ideas and build a business. There are social funding opportunities around, but if your state or self- representation ability is weaker than others, you will not be selected. Here, private student loans come into play.

Types of private student loans

  • Credible

It is not a lender itself, instead, it is a platform to meet lenders and undergraduate and graduate students. First, you enter your data to the system. It checks your eligibility in accordance with lenders criteria. If they can find lenders that suits with your priority, then they send you a list. Your information is in secure hands, and it is not shared with lenders. In the next stage, you receive names of lenders and see their requirements. One great characteristic of the Credible is that via Credible you can apply for 8 different lenders for saving up money and time. Famous lenders provided by Credible are Citizens Bank, College Ave, Sallie Mae, EDvestinU, and many more prestigious companies. The lowest interest rate is 3.47 percent.

Moreover, the companies which provide money for your studies can wait for the money for up to 20 years. Lowest payback time is 5 years which is I think enough for average American who has a secure job.  The company named ELFI introduce the lowest interest rate  2.8%, in case you agreed to pay with flexible terms. The company draws a roadmap for you to track your payment history.

source: https://studentloansresolved.com/2019/03/21/best-private-student-loans-2019/