Federal student loans are made by the U.S. Department of Education, with terms and conditions set by law, and generally offer better terms and more repayment plans. In contrast, private loans are made by private organizations such as banks, credit unions, and state-affiliated organizations, with terms and conditions set by the lender, and are generally more expensive. We recommend that students exhaust their loan opportunities in this order:
Find more information at IowaCollegeAid.gov/BorrowedMoney.