The Federal Subsidized Stafford Loan Program offers low interest loans that are available to students who are enrolled at least half time (6 hours or more). Students who have earned at least 60 hours with demonstrated need may borrow up to $5,500. The total amount that a student can receive as an undergraduate is $23,000. The government pays the interest while the student is enrolled at least half time. Repayment on principal and interest begins six months after a student ceases to be enrolled at least half time or graduates. The loans are made by banks, savings and loan associations, credit unions, and private nonprofit agencies guaranteed by State Assistance Authorities. The loans are insured by the Federal Government.
The Federal Unsubsidized Stafford Loan Program is the same as the Federal Subsidized Loan except it is not based on financial need. The student is responsible for interest while in college. A FAFSA is required.
Federal Parent Loans for undergraduate students are available to parents of dependent undergraduate students who are enrolled at least half-time (6 hours or more). The maximum amount a parent may borrow is the cost of education minus any estimated financial aid. The borrower (parent) must meet established credit criteria. If a parent is denied a Plus loan, the student may borrow an Unsubsidized Stafford Loan for an amount up to $4,000-$5,000 depending on their eligibility and grade level.
Alternative Loans are available to students to borrow as much as the cost of attendance less other financial aid received. A Co-borrower may be required if the student has no credit or has credit problems. Interest rates and repayment terms will vary with lender and applicant. Contact the financial aid office for more information on Alternative loans.