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Federal Subsidized Stafford Loans

What is a Federal Subsidized Stafford Loan?

The federal subsidized Stafford loan is the most widely available loan program.  A bank loan insured by the federal government, subsidized Stafford loans feature a low interest rate that is fixed over the repayment period.  During enrollment, the federal government pays any accrued interest.  Repayment of the principal is not due until six months after graduation or after you drop below half-time enrollment.

Who is Eligible for a Subsidized Loan?

U.S. Citizens, nationals or permanent residents who are enrolled as a regular student in an eligible program.  Student must demonstrate financial need.

How do I Apply and are there any Deadlines?

You will need to complete the Free Application for Federal Student Aid (FAFSA) form to determine eligibility. The FAFSA filing priority deadline is March 1st to the academic year for which you are applying.

Students who file after March 1st priority deadline may not be considered for certain limited institutional and/or federal campus based fund.

Annual and Aggregate Limits

  Base Amount Aggregate Limit
Medical Students $8,500 $65,500
Graduate Students $8,500 $65,500
Undergraduate Students    
    • Freshman $3,500 $23,000
    • Sophomore $4,500 $23,000
    • Junior $5,500 $23,000
    • Senior $5,500 $23,000

The current rate for a subsidized loan is 6.0% fixed. The interest rate is adjusted annually and capped at 8.25%.