Private College Loan and APR

Nowadays, the private college loan business is very competitive. Most lending companies are doing their best to acquire a profitable share of the private loan pie.

It is now up to the student to know how to wisely choose the most reliable lending company that can offer the private student loan that is most appropriate for him.

How does the student go about making the right choice? The best way is to compare the interest rates of the different private student loans offered by many lending companies such as banks and other financial institutions.

Where do we get this interest rate information? Request the lending company of its annual percentage rate statement or the APR. The APR contains all the important information on the student loans’ interest rates.

No two loans are alike when it comes to the repayment of private college loan. Therefore, it is best to really study and scrutinize the terms of repayment of every lender that you encounter. For example, check for the leniency of the lending companies you are considering. It is a standard for them to offer a grace period which ranges from a few months to a year at most. Of course, it will be beneficial if you would choose the loan program with the longest duration of grace period.