Stafford Student Loans for Undergraduate and Graduate Students

With low interest rates, flexible repayment plans, and no application fees or credit checks, Federal Stafford Loans offer both undergraduate and graduate students an affordable self-help option for financing the costs of your degree. Repayment on your Stafford student loans can be postponed while you’re in school, so you won’t have to worry about making payments as long as you’re still enrolled at least half time. Stafford loans are awarded to eligible students both with and without consideration of financial need, which means you can qualify regardless of your or your parents’ financial situation.

Stafford loans come with several student-friendly benefits:

• Low, fixed 6.8% interest rate
• No credit check and no co-signer required
• No payments due while you’re in school at least half time
• Flexible repayment options that could help lower your monthly payment
• Eligible for student loan consolidation, which could give you up to 30 years to repay

What’s the difference between subsidized and unsubsidized Stafford loans?

• Subsidized Stafford loans are awarded on the basis of financial need. Any interest that accrues on your subsidized Stafford loans while you’re in school, in deferment, or in a grace period, is paid by the government.

• Unsubsidized Stafford loans are non–need-based, so eligible students can qualify for unsubsidized Stafford aid regardless of their own income or their parents’ income. Interest will accrue on your unsubsidized Stafford loans even when you’re not making payments (while you’re in school, in deferment, in forbearance, or in a grace period), and you’ll be responsible for paying that interest once repayment begins.

What are my repayment options?

The standard repayment term for a Stafford loan, either subsidized or unsubsidized, is 10 years. After you graduate or drop below half-time enrollment, you’ll have a six-month grace period before you need to begin repaying your Stafford loans.

Once you’ve left school, your Stafford loans will also be eligible for student loan consolidation, which could give you up to 20 more years to repay and which could cut your monthly payments nearly in half.

How much can I borrow in Stafford loans?

Graduate students can take out up to $20,500 in Stafford loans each year (only $8,500 of this amount can be subsidized), up to a maximum of $138,500 in cumulative Stafford loan debt, which includes any undergraduate Stafford loans you may have received.

Undergraduates qualify for different Stafford loan amounts each year, depending on your year in school and on whether you’re classified as a dependent or independent undergraduate.

How do I apply for a Stafford student loan?

You can apply online—it’s fast, easy and secure. Or give one of our NextStudent Education Finance Advisors a call at (800) 299-4639.