FASTChoice Stafford Loan Comparison Tool
Important 2008-2009 Update:
Recently, Congress passed the "Ensuring Access to Student Loans Act." This means that undergraduate students may have access to a $2,000 increase in the annual Unsubsidized Stafford Loan.
The Financial Aid Office will be revising your 08/09 Award Letter to include the additional $2,000 Unsubsidized Stafford Loan. (As a result, your PLUS or Private/Alternative Education Loan eligibility will be reduced by $2,000.) When this revision is done, we will email you a link to access Your Electronic Award (YEA).
By logging into YEA, you may "accept" the entire $2,000 Unsubsidized Stafford Loan, or only a portion of it by selecting "modify." If you are not interested in borrowing the Unsubsidized Stafford Loan, select "decline."
Loan Limits Under HR 5715
Subsidized Stafford Loans
Available for degree or certificate seeking students attending at least ½ time and maintaining satisfactory academic progress (SAP)
Student must be registered for classes and file necessary financial aid applications including FAFSA
Eligibility is based on financial need.
$3,500 Maximum eligibility for first year undergraduate student (as of July 1, 2007).
$4,500 Maximum eligibility for second year undergraduate student (as of July 1, 2007).
$5,500 Maximum eligibility for third, fourth or fifth year undergraduate student.
Total maximum undergraduate borrowing through Federal Stafford Loan is $23,000.
Graduate students may borrow up to $8,500.
Cumulative borrowing for undergraduate and graduate students cannot exceed $65,500.
First year undergraduate students may receive payments 30 days after the first day of classes.
Entrance Interviews are required of all first time loan borrowers.
Repayment begins 6 months after a student graduates, withdraws, or drops below ½ time status.
Borrowers may take up to 10 years to repay the loan.
An origination fee of up to 1% and a default fee of up to 1% may be deducted from each loan prior to disbursement.
As of July 1, 2008, the interest rate for undergraduate students is capped at 6% and the interest rate for graduate students is capped at 6.8%.
The subsideized interest is paid by the federal government while the student is in school and during the six month grace period.
Unsubsidized Stafford Loans
Meets all terms of Federal Subsidized Stafford Loan except:
This loan is not need-based.
The federal government does not pay the interest on your behalf.
The Stafford Loan Interest rate is currently 6.8%.
Click here for more details on Federal Stafford Loans
(from the U.S. Department of Education)
Great Lakes Master Promissory Note (MPN)
Sallie Mae Master Promissory Note (MPN)
275 Eastland Rd.