College Loans > Federal Stafford Loans

Why choose a Stafford Loan?

• Stafford loans are available to most students, and no credit checkLenders contact Credit Bureaus (Equifax, Experian, TransUnion) who have tracked your credit history (e.g. credit cards, loans) to determine whether you have been diligent in your repayment of debts. is required
• Stafford loans have lower interest rates than PLUS loans and have more repayment options than private loans

What are the loan terms?

• Fixed interest rates – 5.6% (subsidizedBased on financial need, the government agrees to cover the cost of the loan interest while the student is in school. loans) or 6.8% (unsubsidizedThe student, as opposed to the government, is fully responsible for paying the loan interest, though payment can be deferred until after graduation. loans)
• 0.5% federal origination fee
• 1% federal default fee (waived if paid by guarantor)
• Deferred payments – No payments due until 6 months after you graduate or enroll in school less than half-time
• Flexible repayment options – 10-year standard repayment term (may be extended up to 25 years)
• 0.25% Auto Debit Reward – 0.25% interest rate reduction during repayment, when payments are set up for automatic debit from a bank account

How much can you borrow?

• Annual loan limits depend on your year in school and whether you are dependent or independent

• We suggest borrowing up to your annual loan limit with a Federal Stafford Loan
• If you need more money, consider Federal Parent PLUS Loans or Certified Private Loans to cover any remaining costs

Who is eligible?

• Students who are US citizens or eligible non-citizens Non-citizens Eligible for Federal Stafford Loans and Federal PLUS Loans:
  • US permanent residents with an I-151, I-151C, or I-551 card
  • Victims of human trafficking with a T visa (T-2, T-3, or T-4, etc.)
  • Holders of an I-94 Arrived-Departure Record from US Citizenship & Immigration Services (USCIS) with any of the following designations: "Asylum Granted," "Conditional Entrant" (if issued before April 1, 1980), "Cuban-Haitian Entrant," "Status Pending," "Refugee," "Parolee" (if paroled in the US for at least 1 year with the intention to become a US citizen or permanent resident and evidence not in the US for temporary purposes)
  Non-citizens Ineligible for Federal Stafford Loans and Federal PLUS Loans:
  • Recipients of Notice of Approval to Apply for Permanent Residence (I-171 or I-464)
  • Holders of a student visa (F1 or F2) or exchange visitor visa (J1 or J2)
  • Members of international organizations with G visas

  Please refer to the Federal Student Aid Web site for the most current information:

  http://studentaid.ed.gov/PORTALSWebApp/students/english/
  aideligibility.jsp

• Students who are enrolled at least half-time at an eligible schoolWe offer Federal loans at all schools that participate in the Federal Family Education Loan Program (FFELP) – participating schools will display Federal Stafford Loan as an option in the first step of our online application.
• No credit check and no cosigner required