by Gayle Parks

Created on: May 06, 2008   Last Updated: May 20, 2008

Paying for an education is certainly a big expense but it need not be an impossible one. There are many financial aid sources available including federal loans, state benefits and scholarships. As my grandmother always said; where there's a will, there's a way. All it takes is determination and a little research.

Your best bet in the research department is the financial aid office of the school you want to attend. Here you will find people who can help you find appropriate financial aid and also help you fill out any forms that are required. But before you go to the financial aid office it's best to know what's available. What kinds of financial aid is out there? How much can you expect to receive and when and how will you be required to pay the money back?

There are many types of financial aid available ranging from grants to loans. The difference being that a grant does not have to be paid back, but a loan does. Grants are almost always income based, meaning that unless you have a very small income or lots of dependents you probably will not be eligible for a grant, however, there are exceptions so be sure to ask about grants while at the financial aid office. Loans, however, are relatively easy to get, especially if the loan in question is a federal government loan.

There are several types of government loans but the two most popular are PLUS and Stafford loans. PLUS loans (Parent Loan for Undergraduate Students) as the name suggests are loans parents can get through the federal government to pay for a child's college. These loans have an interest rate of around 7.5 to 8.5 %, are usually no more than $6,000 per year and must be repaid by monthly payments beginning as soon as the money is accepted. Of course, if you are an independent adult this loan would not be an option for you. Your best option, as far as loans go, would be a Stafford loan or a private loan.

Stafford loans are the most popular education loan. These loans offer interest rates as low as 6.8% as well as very flexible repayment options. Repayment on Stafford loans does not begin until 6 months after graduation and may be deferred longer in some cases. The typical amount you can get with a Stafford loan is between $3, 500 and $5,500 per year depending on the school you attend and the number of classes you are taking. It is important to remember that you must be enrolled at least half time to be eligible for financial aid. At most schools this would be two classes worth 3 credit hours each. If

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