<p>In a financial aid package from a college, it estimated that I would receive about 2,456 dollars in Stafford Loans (whatever that is?). However, the total amount of financial aid amounted to only about 11,000 dollars--which is not enough to cover the total cost of the tuition, housing, etc. As a result, I would need to take out more loans. Now, my question is: what's the difference between the financial aid package loan and the loan from a standard Fleet bank? We still have to pay them back, don't we? And also, is there a limit on how much we can get in loans? Thank for the help.</p>
<p>Stafford loans are a government sponsored loan program. These loans are going to be the cheapest (lowest interest rates) any student will be able to have in their name. Unsubsidized Stafford (the most common) have no payments until after graduation, but interest does accumulate. Subsidized Staffords have no interest, no payment until after graduation.</p>
<p>Loans you get from somewhere like Fleet Bank are going to be interest and fee sensitive based upon credit history. If you are a typical college student with no credit history, you will need a credit-worthy cosigner such as your parents.</p>
<p>The limits on loans from sources such as Fleet are your Cost of Attendance minus the FA from the school plus a small percentage.</p>