They are called loan sharks.
It depends on a few things like which loan you get (federal, private, subsidized, unsubsidized) and what your financial situation is, esp. credit report and score. Federal loans offer the lowest rate. subsidized federal loans (stafford) have their interest paid by the Gov't. unsubsidized federal loans do not, but the interest you pay is very low (6-7%) and you don't have to make any payments until 1 year after you graduate. Private loans have much higher interest rates and you must pay the interest regularly while you are in school. Private loans are especially dependent on your credit, so if your rockin' a 750, you should be ok...450, well, consider community college...its way cheaper!
If you can, pay interest during your grace period or periods of deferment/forbearance to avoid having interest capitalized (added to your principal) on unsubsidized loans, PLUS loans, and subsidized loans that have lost interest subsidy. Outstanding Balance1: $26,830 Interest Rate: 6.8 %
Installment loans are loans on which the interest is paid first and the borrower receives the proceeds.
All of the money into home loans of course.
Discount rate
Earnings of the Federal Reserve System are primarilyderived from the interest the Federal Reserve Banks receive from their holdings of securities acquired from their open market operations along with interest from loans made to member banks.
Federal Reserve Board
The agency responsible for setting interest rates on loans is the Federal Reserve Board. The interest rate on loans is tied into the rate of inflation and the GNP or Gross National Product.
Federal Funds Rate
Banks base their interest rates on the prime rate, which is the rate at which the Federal reserve gives for loans to financial institutions.
discount rate
the three tools the Federal Reserve uses to enact monetary policy are setting the interest rate charged to commercial banks on loans from the Federal Reserve. Setting the reserve rate. The buying and selling of Treasury bonds and other government-backed securities
No, federal usually have lower interest rates.
The maximum interest rate for consolidating FEDERAL student loans is 8.25%. If your student loans are not federal loans, though, there is no maximum interest rate.
The Federal Reserve, which is a part of the federal government, sets the Prime Rate, which is a rate which banks loan to each other and also the rate at which banks can borrow from the federal government. This prime rate, in turn, affects the interest rates which consumers pay for loans.
Federal