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Stafford Loans

Overview of Stafford Student Loans

By Justin Pritchard, About.com

Stafford Loans are available through US Department of Education funding programs. This page covers the basics of Stafford Loans. A unique characteristic of Stafford Loans is that they're easy to qualify for in most cases.

Stafford Loan Eligibility

Stafford loans are available to students who are any of the following:

  • Full-time
  • Part-time
  • Graduate
  • Undergraduate

You must be a US citizen, national, permanent resident, or have other special status. In addition, you must be enrolled at least half-time at an eligible institution.

Stafford Loan Highlights

Borrowers who use Stafford Loans may enjoy:

Details on Stafford Loans

If you’ll use a Stafford Loan, be aware of the following:

  • You pay a fee (but it may be covered by your lender)
  • You must repay the loan
  • Loans issued after July 2006 have a fixed 6.8% APR
  • Interest may be subsidized if you can demonstrate need
  • Interest may be capitalized (added to the back of the loan) if you decide not to pay while in school

How to Get a Stafford Loan

To get the ball rolling, you’ll need to:

  • Complete the FAFSA process
  • Choose a lender – ask your Financial Aid office for suggestions

How Much Can I Borrow?

The maximum loan depends on your status and can range from $2625 to $18500. Ask your Financial Aid office for details. In general “independent” (or self-supporting) students and graduate students can borrow the most.

For Additional Information

Your Financial Aid office is really the best place to go with questions. You can also visit:

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