Federal Stafford Loans
Need-based: The subsidized Stafford Loan is need-based, while the unsubsidized loan is non-need-based.
Per Year Maximum: Undergraduate $3,500 - $10,500; Graduate/Professional $18,500
Dependent Students:
First Year: $5,500
Second Year: $6,500
Third Year and Up: $7,500
Independent Students:
First Year: $9,500
Second Year: $10,500
Third Year and Up: $12,500
Graduate/Professional: $20,500
Cumulative Maximum: $31,000 for dependent undergraduate students; $57,500 for independent undergraduate students; $138,500 for graduate/professional
Origination Fee: 2%
Interest Rate: The in-school interest rate for subsidized Stafford loans vary depending on the year. For 2008-09, the interest rate is 6%. For 2009-10, the interest rate is 5.6% The interest rate on unsubsidized Stafford loans is set at 6.8%. The federal government pays the interest for subsidized loans. Students are responsible for paying the interest on unsubsidized amounts.
Repayment: Repayment begins six months after leaving school. There is a $50 minimum payment with a maximum length of 10 years.
Who is Eligible: All students may apply for a Federal Stafford Loan. Your remaining financial need will determine whether you qualify for the subsidized and/or the unsubsidized Stafford Loan.
How to Apply: In order to be considered for a Stafford Loan, students must complete the FAFSA. You will automatically be considered for the Stafford loans once the FAFSAd has been received and your eligibility for the Stafford Loan will be included in your award letter. For 2009-10, it is necessary for you to accept the Stafford Loan before the Financial Aid Office will process it.
When to Apply: For 2009-10, we recommend that you complete the online Promissory note and entrance counseling between April 1 and June 30.
First-Time Borrower: If you are a first-time borrower, you will be required to complete an online Promissory note and an entrance counseling session before funds can be disbursed. You must have a PIN from the Department of Education to electronically sign the Master Promissory Note.
Repeat Borrower: If you have been awarded a Stafford Loan, for the first time in 2009-10, you will need to accept your Stafford Loan before it will be processed. Further information will be given to you with your award letter.
Loans
