Federal Direct Stafford Loan Overview (Undergraduate Students)

The Federal Direct Stafford Loan Program is available to students who are enrolled at least half time (six to eleven credit hours per semester) in an eligible program.

There are two types of Federal Direct Stafford loans:

Subsidized loans are based upon demonstrated financial need. Students are not charged any interest before repayment or during deferment periods. The federal government subsidizes the interest. The interest rate for Federal Subsidized Loans for the 2013-2014 academic year is schedule to increase to 6.8% on July 1st, if Congress does not approve extending the current interest rate of 3.4%. 

Unsubsidized loans are not awarded on the basis of financial need. The loan accrues interest from the time it it is disbursed until it is paid in full. If you allow the interest to accrue while you are in school or during repayment periods, this interest will be capitalized. Interest that is capitalized will be added to the principal amount of your loan, and additional interest will be based on the higher amount. The interest rate for Federal Unsubsidized Loans for the 2013-2014 academic year is 6.8%. Note: Students can pay the interest on their unsubsidized Stafford loan while in school.  Students interested in making payments should contact their lender directly.

Federal Stafford Loan Fees:

For loans made during the 2013-2014 academic year, a 1.051% loan fee will be deducted from each loan disbursement. 

Annual Stafford Loan Limits

Dependent Undergraduate Student

Independent Undergraduate Student