Just like the other types of financial aid, the loan process starts with filling
out the FAFSA. This form must be completed if you want to be considered for any
type of federal financial aid; including grants, work-study and student loans.
After you have submitted your completed form, contact the financial aid office at
the college(s) you are considering to discuss your financial aid options. Make sure
you have all the right paperwork.
Five Things to Remember When Applying
for a Student Loan
- Make sure you have fully examined other options for aid. Visit our resource links
and talk with your Guidance Counselor. Ask your prospective college's financial
aid office about grants and work study.
- Know your rights and options:
You can choose the lender you would like to use, so investigate different lenders
and find the best option for you. Talk to the college's financial aid department.
Look at their preferred lender list. Then head out on the web. Remember: when attending
a Direct Loan School, the Government is your lender.
- Just because you may be allowed to borrow extra doesn't mean you should. After all,
you have to pay this back! Why not use only what you need - and save not only on
the money you didn't borrow, but the interest on that money as well!
- Plan Ahead! Make sure you have all the paperwork filled out early. Don't miss out
because you needed to make changes and ran up against a deadline you couldn't satisfy.
- Be Organized! Don't just sign the loan form and forget about it. Keep all your loan
information together; you'll need it when you get out of college. Plus you will
have everything handy if a problem arises.
Loan Types
There are many loans available to both students and parents. Below is a brief description
of each FFELP loan program to assist you in choosing the best loan for you. This
page and the left side navigation have a link to the application.
Subsidized Stafford Loan
Federal Subsidized Stafford Loans are available to undergraduate and graduate students
attending a participating Title IV school. Eligibility is determined by the school,
based on a federal formula which considers family income, school expenses and other
financial aid awards. The interest on subsidized loans is paid by the government
during any in-school, grace and/or deferment period.
Unsubsidized Stafford Loan
Federal Unsubsidized Stafford Loans are available on the same terms as subsidized
loans. However, the interest on an unsubsidized loan is always the borrower's responsibility
regardless of status.
Parent PLUS Loan
Federal PLUS Loans are available to credit worthy parents of dependent undergraduate
students in amounts up to the total cost of education, less other aid. PLUS borrowers
are responsible for all interest accrual on the PLUS loan.
GradPLUS Loan
Federal GradPLUS Loans are available to credit worthy graduate and professional
students who have remaining needs that are not covered by Stafford Loans. You may
ask your loan provider to place this type loan on an immediate in-school deferment
to postpone repayment until graduation. The interest on a GradPLUS loan is the responsibility
of the borrower from disbursement through payoff regardless of status.
Federal Student Loan Eligibility
To be eligible for Stafford Loans, the student must meet the following criteria:
- A US citizen or eligible non-citizen
- At least a half-time student
- Making satisfactory academic progress
- Have a valid social security number
- Have completed the Free Application for Federal Student Aid (FASFA)
- Have not defaulted on other federal obligations