Fed Financial

How much private student loans should I take out for 2 years?

My husband and I are starting similar college programs in a few months, and I'm not sure the amount of loans I should take out. We do not qualify for financial aid, so the majority will be private loans. Should I take out a large private loan for cover the full two years (living expenses, tuition, etc) or should I take out enough for one year and take out another loan for the next year? Which would be more beneficial? I've never used private loans before. Also for private loans I am considering Wachovia, Citibank.... and possibly Wells Fargo. Thank you

Public Comments

1. I have not dealt with private loans, but your smartest decision would be to find out what type of interest rate you will recieve. The Bush Admin has put into effect a bill that is going to reduce the interest rates on loans over the next few years, but I do not think it applies to private loans. If you can find a large loan with a low interest rate, that would be your best bet.