Federal loans help students to a great extent to pay for their graduate school. Loans such as Federal Perkins Loans and Stafford Loans are offered at highly affordable rates of interest and deferment options and do not require a credit check.
In order to access the Federal Perkins Loan or Stafford Loan, it is first necessary to complete the FAFSA form and also sign a promissory note. This is a legal document in which you state that based on the terms specified in the note you are willing to pay the loan back.

Stafford graduate student loans
Stafford graduate loans are offered to graduate students based on a few eligibility factors –

• Student must be a citizen of America or a non-citizen who is eligible
• Student must be enrolled in a degree program that is accredited at least in a half time course
• Student must not have a default record on any other student loans
• Student must have a GED certification or a high school diploma
• Student must be a professional, graduate or undergraduate

Stafford student loans are offered as unsubsidized or subsidized loans and provided by the Federal government directly as the Federal Direct Student Loan Program or FDSLP. This loan is disbursed through loan and savings associations, credit unions and banks.
Unsubsidized loans require students to pay interest right from the day loans are disbursed. However it is possible to defer payments till graduation. Subsidized Stafford loans for graduates are offered based on the student’s financial need.
As the interest is paid by the government during the period of education and for at least six months grace period after you leave school, this loan does not require a credit check. It is also possible to combine subsidized and unsubsidized loans for maximum benefit.

Federal Perkins Loan:
Eligibility requirements for Federal Perkins Loan include –

• Student must be a citizen of America or a non-citizen who is eligible\
• Student must be either a graduate or undergraduate
• Must be enrolled in educational programs that are accredited at least half time
• Must not have defaulted with other student loans
• Must be GED certified or hold a high school diploma

Federal Perkins Loans are disbursed by the government directly to the schools. As this loan is subsidized, the interest is paid by the government till you complete your education. No additional fee is involved in this loan that usually charges a 5% interest rate. Amount awarded depends on the graduate student’s financial need. Usually a graduate student eligible for the Perkins loan is awarded an amount of $6000 annually.

Private Graduate Loans
Private loans are opted for by graduate students usually if they are not eligible for the Federal loans or to bridge the budget gap. These loans are offered by banks and other private financial institutions. Based on the student’s level of education, different types of private loans are on offer. As compared to the Federal loans, private loans are very expensive.

Consolidated Loans
With the help of consolidation loans, students are offered the opportunity to combine various Federal loans into one big loan. This makes it easy for them to make their monthly repayments without default. Consolidation loans offer the benefit of repaying loans over a longer period of time and lower monthly instalments.