For many students looking to attend a post-secondary institution, the mountainous costs of attendance and tuition can seem to be insurmountable obstacles; however, due to federal and state loan programs, students can borrow easy, affordable money. One such program initiated by William D. Ford called the Direct Stafford Loan was created for the sole purpose of providing students with affordable, low-interest loans to facilitate attendance to an institution of higher education. Direct Stafford Loans can be either subsidized or unsubsidized.
Direct Subsidized Loans are primarily for students with a need for financial assistance, which the school reviews by looking at the Free Application for Federal Student Aid (FAFSA). Subsidized loans do no accumulate interest while in school, and there is a generous grace and deferment periods after leaving or graduating from school.
Direct Unsubsidized Loans, on the other hand, are not given in conjunction with financial need, and interest accrues during school and periods of grace, deferment, and forbearance. Students can choose to pay off this interest during school, or allow it be capitalizedor added to the total loan amountwhich will increase the total amount needed to be paid.
To apply for Direct Stafford Loans, students must complete the FAFSA, which can be found online at www.fafsa.ed.gov, as soon as possible. Schools will then look at a student's eligibility on an individual basis. Although Stafford Loans are issued by the U.S. Department of Education, not all institutions accept them.
For dependent undergraduate students, the maximum amount that can be borrowed from the Stafford Loan Program for four years is $31,000; for independent students, this number is raised to $57,500. Graduate students may borrow a total of $138,500. For undergraduate students borrowing between July 2011 and June 2012, the interest rates are fixed at 3.4%, compared to 6.8% for graduate students.
Rising debt for graduates has risen drastically, leaving many people unable to repay these loans. Although students should make sure they need a loan before accepting it, Direct Stafford Loans are much more affordable than other outside, private loans, and should be chosen as a first option if loans are a necessity for paying for college.
Yes, you need to pay back federal Stafford loans.
Direct Subsidized Stafford Loan
"They are loans from the U.S government commonly used for education loans. They are normally available in 2 types, Perkins (low income, many benefits) and Stafford (standard, unsubsized)."
Federal Stafford loans are fixed-rate student loans for undergraduate and graduate students attending college at least half-time. Stafford loans are the alternative vis private banks
The federal government
Yes, you need to pay back federal Stafford loans.
Direct Subsidized Stafford Loan
the federal government
"They are loans from the U.S government commonly used for education loans. They are normally available in 2 types, Perkins (low income, many benefits) and Stafford (standard, unsubsized)."
Federal Stafford loans are fixed-rate student loans for undergraduate and graduate students attending college at least half-time. Stafford loans are the alternative vis private banks
Complete the fafsa
You can get loans by serving the US Military, tax benefits, and student loans and grants from the Federal Government depending on the college you're attending.
There are different types of student loans available to college students for college: # Federal Subsidized Stafford Loans # Federal Unsubsidized Stafford Loans # Federal Perkins Loans # Federal PLUS Loans # Private/Alternative Student Loans Other sources of financial aid are: * Scholarships * Grants * Work-Study
The federal government
It is possible to get federal direct loans at banks and institutions which offer them. Citizen's Bank is one of the banks at which one can get these direct loans, but there are many others.
Here's a site that can tell you whether you're eligible for one or not if you read it carefully! http://www.direct-loans-servicing.com/federal-Stafford-loans/
Federal Stafford loans are fixed-rate student loans for undergraduate and graduate students attending college at least half-time. Stafford loans are the most common and one of the lowest-cost ways to pay for school.