Like every other aspect of lending, student loans have been dramatically affected by the credit crisis. But don’t believe rumors that you can’t get loans for education anymore. They’re still available — and you still need to be careful about how much debt you take on.
Federal student loans are an even better deal than before. Rates are fixed now, rather than variable, and students with the most need will see rates as low as 3.4% in the future. Limits on how much you can borrow have been raised a bit, and parents who take out parental student loans now can defer payments while their kids are still in school. Although some lenders have exited the federal student loan market, the U.S. government has stepped in to make sure the remaining lenders had access to cash to make loans. Read the rest of this entry »
