Borrow Smart!

Borrow smart. If you or your family must borrow to pay the bills, stick with government-sponsored Stafford loans for students and PLUS loans for parents (or a home-equity line of credit, if you qualify). Current interest rates on government loans are 6.8% for students (lower if you’re eligible for financial subsidies) and 7.9% for new PLUS loans (for more information on student loans, go to StudentLoans.gov). With that combination, you shouldn’t have to resort to more-expensive private loans. Remember, though, that a subsidized student loan can be a two-edged sword, encouraging kids to borrow more than they should.
Read more at http://www.kiplinger.com/article/college/T042-C002-S001-7-strategies-to-avoid-the-student-debt-trap.html#ut5FL0M11oqaOCx3.99