Typical Types of Borrowing Tools that Students Use Typical Types of Borrowing Tools that Students Use Short Term Loans Use short term loans to pay for school related expenses, when you have money coming from home, a paycheck or other sources, but it won't arrive in time to pay your tuition bill or to buy books.
Interest rates are usually lower than commercial loans.
Remember, these loans are for relatively short periods of time, one to twelve months, and must be repaid in full on the due date. Apply for other short term loans at the Financial Aid Department Loan Office on the second floor of the Pavilion. Interest rates vary for different types of loans, so be sure and always ask for the lowest cost loans. Long Term Loans Use long term loans such as federal Perkins, Stafford, Parent and Plus loans whenever you need long term assistance to pay your educationally related expenses. Interest rates can be very low, depending on the program.