What is one benefit of privately issued student loans? a. they are issued in cooperation with the students University to reduce cost and paperwork
B. they have lower interest rates and can be paid back with a lower out of pocket cost
C. they are backed by the US government to ensure greater Financial Security
D. they are available to any student who meets lending standards regardless of financial need

D. They are available to any student who meets learning standards regardless of financial need.

Explanation:

Private student loan is an option for financing which is meant for higher studies from college or bank for student education. This type of loan is available to any student who meets learning standards but do not allow for income-driven repayment plans. There is also no student loan forgiveness. Credit check is required in this type of loan financing so as to know whether the student has loan elsewhere and whether he is up to date in terms of repayment.

Once the loan has been taken, one can start paying up but there is a grace period of six months within which repayment must be fully made. The loan can be refinanced, no borrowing rates, have variable interest rate, hence no interest ceiling.

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