Descriptions
Federal Direct Stafford Loan
A low-interest student loan from the federal government. The amount you are eligible to borrow appears on your financial aid award letter (see chart below).
Repayment begins six months after the borrower graduates, leaves school or drops below half-time enrollment.
Annual Federal Stafford Loan Limits
| Grade | Dependent Students | Independent Students |
|---|---|---|
| Freshman (0-31 credits) |
$5,500 | $9,500 |
| Sophomore (32-63 credits) |
$6,500 | $10,500 |
| Junior/Senior (64+ credits) |
$7,500 | $12,500 |
Note: A 0.5% origination fee will be deducted from each disbursement of Stafford Loan funds. The difference will be reflected on your tuition bill. Loan limits include both subsidized and unsubsidized amounts and cannot exceed your cost of attendance minus other financial aid.
Subsidized Stafford Loan
Students who demonstrate financial need are eligible for the Subsidized Stafford Loan. The federal government pays the interest, fixed at 3.4% during the 2011-2012 academic year, while the student is enrolled at least half time and during grace and deferment periods.
Unsubsidized Stafford Loan
Students who do not demonstrate financial need are eligible to borrow the Unsubsidized Stafford Loan. Interest, fixed at 6.8%, begins accruing at the time of disbursement and is deferred while the student is enrolled at least half time and during grace and deferment periods. Accrued interest capitalizes or borrowers may pay interest before entering repayment.
