There are so many different student loan lenders and retail banks. Choosing best lender from them is simple by asking few basic questions and comparing their terms.
Colleges and universities can tell about the best and preferred lender list of student loan providers on the basis of their past relation with them.
Anyhow to choose a lender that totally depends on you because legally college or university can’t impose any lender upon you.
Three Types of Student Loans Lender
We can divide student loan lenders in three types:
- The Direct Federal Loan Program from Federal Government.
- Sallie Mae and Nelnet and such as other student loan providers for the Federal Family Education Loan Program (FFELP).
- Bank of America, Chase and such retail banks that originate federal loans and sometimes-private loans.
Which Kind of Loans does the lender offer?
The federal government offers the Federal Direct Loan program so you can get only federal student loans.
