What Is A Student Loan?

A student loan is money you borrow from the Federal government or from your school to finance your education. Students in Utah can borrow under three Federal loan programs: the Federal Perkins Loan (if your school participates in this program), the Federal Subsidized Stafford Loan, and the Federal Unsubsidized Stafford Loan. Parents of undergraduate students can also borrow under the Federal PLUS loan program.

How much should I borrow?

Financing a college education can be very challenging. Because loans need to be paid back with interest, they should be a last resort. Other sources of financing include part-time or summer work, assistance from parents or relatives, grants, and scholarships.

Scholarships and grants are awarded directly to students by numerous organizations and companies. While not easy to get, scholarships and grants need not be repaid, so it is worth checking with your employer or your parents' employer to see if there is a scholarship you might qualify for. The Financial Aid Office will automatically consider your eligibility for a Pell grant before it determines your eligibility for a loan.