An education loan is a type of financial aid that must be repaid with interest. Education loans consist of three basic types: student loans, parent loans, and private loans.

Responsibility for financing a college education rests primarily with the student. Therefore, students who choose to take out loans must understand that acceptance of a loan includes the responsibility of full, timely repayment. Defaulting on a loan adversely affects both a student’s financial aid eligibility and his/her credit history.

For McDaniel College’s Code of Conduct for Educational Loans, please click here.

Types of Loans

Federal Perkins Loan
Federal Direct Loan (Subsidized and Unsubsidized)
Federal Direct Parent Loans for Undergraduate Students (PLUS)
Private and Alternative Loans