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The best education loan available is the federal Stafford Loan. There are two types of Stafford loans: subsidized and unsubsidized. You can find out more about Stafford loans and why you should use federal student loans in this previous college blog post of mine:
Types of Stafford Loans: 1  The Subsidized Stafford Loan is a need based low interest student loan that is guaranteed by the US Federal government.  The Unsubsidized Stafford Loan is not awarded on the basis of financial need and is available to many more students than the subsidized loan.