Even though college loans are harder to secure following the financial crisis, students aren't completely out of luck. In fact, federal Stafford and Plus loans are still widely available. Picking up some of the slack left by lenders that exited the market, the Department of Education increased the amount students could borrow in Direct Loans (Stafford and Plus loans).

Here's where students can turn for financing help:

Financial Aid and Scholarships

Why pay for something when you can get it for free? Between financial aid, work-study programs and scholarships, you may not even need much help from loans.

Just make sure to submit the Free Application for Federal Student Aid (FAFSA) form as soon as possible. Financial aid officers use this form to determine a student's eligibility for federal aid, including Stafford and Plus loans and work-study programs. Go to the FAFSA web site for a list of filing deadlines across the country.

Once you've chosen a school, speak with its financial aid office. "The largest chunk of the support that the students will receive will come from the school that they're enrolled in," says Rod Bugarin, a former financial aid officer at Columbia University and Brown University. "Give your financial aid officer a call and really build that relationship." Make sure to touch base in the summer, he adds. It's an ideal time to ask about the need- and merit-based scholarships that the college provides.

Also, don't forget about scholarship opportunities close to home. "The biggest source of untapped funds comes from community groups, such as churches [and] Lions Clubs," says Bugarin. If you're graduating from high school, speak with a guidance counselor about scholarships that pertain to your accomplishments and activities.

Employed graduate students should ask their employers if they offer a tuition assistance program, which pays for a set number of classes or credits at an accredited university. Parents with dependent undergraduate children can sometimes use such programs to help pay their child's tuition as well.

Federal Loans

Stafford Loans

With the DOE's recent decision to make federal student loans more readily available, Stafford loans are now one of the easiest ways to secure financing for college. Not only are these loans available at most schools, but they also make a lot of financial sense.

Compared with the interest rates on private loans, rates on Stafford loans are much more reasonable and predictable. For the 2011-2012 academic year, subsidized Stafford loans, which are given to students who demonstrate financial need on their FAFSA form, carry a fixed interest rate of 3.4%. Unsubsidized Stafford loans, which are available to students regardless of their financial status, carry a 6.8% interest rate. (The Stafford loan interest rate for graduate students is 6.8%.)

Source: FinAid.org

Plus Loans: Plus loans are available to parents of dependent undergraduate students and graduate students. Plus loans that are secured through the Direct Loan Program carry a fixed interest rate of 7.9%.

The drawback for Plus loans: They're only available to those who have stellar credit and stay on top of their mortgage payments, says Kantrowitz. The Ensuring Continued Access to Student Loans Act of 2008 limits Plus loans to borrowers who have not been late on his or her mortgage payments for more than 180 days; previously it was just 90 days.

Peer-to-Peer Lenders

In the wake of the subprime meltdown, a new type of student financing has emerged: peer-to-peer lending.

Here's how it works: students seeking loans turn to web sites like fynanz.com where they fill out a form stating, among other things, their school, their major and the loan amount that they're requesting. Family, friends or investors then visit the site and decide whether or not to provide the funds. When someone agrees to do so, the site then formalizes the arrangement with a binding contract.

Loan terms vary, and interest rates range from around 6% to more than 10%, according to Kantrowitz. The higher the borrower's credit score, the lower the interest rate will be on the loan. While many of these rates fall in the ballpark of federal and private student loans, peer-to-peer loan rates are not fixed and can increase."Over the long run, federal loans will be cheaper," says Kantrowitz.

Borrowers should proceed with caution. Read our story for more on the pros and cons of peer-to-peer lending.

Private Lenders

The private lenders that remain in the market are making it increasingly difficult for students to secure private loans. Last year, borrowers needed a credit score of at least 620 to qualify for a private loan, says Kantrowitz. Now, a borrower's score needs to hit a minimum of 650 or, at certain lenders, 700 to qualify.

Most students, however, won't fit the bill. "Students tend to have very limited credit, or if they have a credit score, it's low," says Kantrowitz. Their best bet: ask a parent to cosign on the loan as long as he or she has good credit, that is.

Overall though, peer-to-peer and private loans should serve as a last resort, says Kantrowitz. It may put a damper on the summer vacation, but students should explore all other options first.

Updated 7/20/2011