Deferment – The ability to postpone payment of a loan for a period of time
Direct Loan – Loans made by the U.S. Department of Education
FAFSA – The U.S. Department of Education’s Free Application for Federal Student Aid
Interest – A loan expense charged to a borrower for the use of borrowed money
Fixed Interest Rate – A loan expense charged to a borrower that does not change over time
Variable Interest Rate – A loan expense charged to a borrower that can change over time
Grant – A form of financial aid or monetary assistance that does not have to be repaid and is usually based on need.
Perkins Loans – Loans awarded to undergraduate and graduate students with exceptional financial need.
PLUS Loans (Parent Loan for Undergraduate Students) – Low-interest federally backed loans that parents can take out on behalf of their undergraduate children
Scholarship – These are monetary awards that do not have to be repaid
Stafford Loans – Fixed-rate, federally-backed loans available to undergraduate and graduate students
Home Equity Loan
Community or Junior College