Subsidized Federal Direct Stafford Loan
Borrower: Undergraduate students who demonstrate financial need (must be enrolled at least half-time, which is 6 credits).
Lender: Federal government.
Loan amount: Up to $3,500 per academic year for freshman grade level, $4,500 for sophomore grade level, and $5,500 for junior and senior grade levels.
Application Process: Complete the FAFSA annually. Accept the Federal Direct Loan offer in your eSIS. Complete online Entrance Counseling and/or the Master Promissory Note on the Stafford Loan Processing page.
Interest Rates and Loan Origination Fees: For current rates and fees please visit the Federal Student Aid website.
Repayment: Repayment begins six months after graduation or after you cease to be enrolled at least half-time, which is 6 credits. Each year while you are in repayment, you are required to pay at least $600 or the unpaid balance (which ever is less). Standard repayment is over a 10 year period; however, several repayment options are available that may extend the length of repayment. There is no penalty for early repayment. In order to assist you with your planning, the U.S. Department of Education provides very helpful budget and repayment calculators.
Unsubsidized Federal Direct Stafford Loan
Borrower: Undergraduate and Graduate students regardless of financial need (must be enrolled at least half-time, which is 6 credits for Undergraduates and 4 credits for Graduates).
Lender: Federal government.
Loan Amount: Undergraduates can receive up to $5,500 per academic year for freshman grade level, $6,500 for sophomore grade level, and $7,500 for junior and senior grade levels. Amounts are higher for independent students.
Application Process: Complete the FAFSA annually. Accept the Federal Direct Loan in eSIS. Complete online Entrance Counseling and/or the Master Promissory Note on the Stafford Loan Processing page.
Interest Rates and Loan Origination Fees: For current rates and fees please visit the Federal Student Aid website.
Repayment: Repayment begins six months after graduation or after you cease to be enrolled at least half-time, which is 6 credits for Undergraduates and 4 credits for Graduates. Each year while you are in repayment, you are required to pay at least $600 or the unpaid balance (which ever is less). Standard repayment is over a 10 year period; however, several repayment options are available that may extend the length of repayment. There is no penalty for early repayment. In order to assist you with your planning, the U.S. Department of Education provides very helpful budget and repayment calculators.
Federal Parent PLUS Loan
Borrower: Parents of dependent undergraduate students.
Lender: Federal government.
Loan Amount: Up to the cost of attendance, minus any other aid the student has received. Note that an origination fee will be deducted from each loan disbursement.
Application Process: The student must have a FAFSA on file with UW-River Falls. The parent borrower must have a FSA ID from the U.S. Department of Education (the same FSA ID used to electronically sign the FAFSA). A stepparent may apply for a PLUS if the stepparent's information is included on the FAFSA. To apply, complete the Federal Direct Parent PLUS Loan Request and sign the Master Promissory Note on the Parent PLUS Loan Processing page.
Interest Rate and Loan Origination Fees: For current rates and fees please visit the Federal Student Aid website.
Repayment: Repayment of interest and principal begins within 60 days after the loan is fully disbursed. Standard repayment is over a 10 year period; however, several repayment options are available that may extend the length of repayment. The parent may choose to postpone repayment until six months after the student graduates or ceases to be enrolled at least half-time, but interest will continue to accrue while repayment is postponed.
Federal Stafford and Perkins Loans allow for cancellations of all or part of the loan in return for certain types of teaching or public service. Please visit Student Aid on the Web for detailed information.
Federal Direct Loan Limits (Annual)
Dependent | Independent | |
---|---|---|
Freshman0-29 credits |
$5,500 (with a max of $3,500 subsidized) |
$9,500 (with a max of $3,500 subsidized) |
Sophomore30-59 credits |
$6,500 (with a max of $4,500 subsidized) |
$10,500 (with a max of $4,500 subsidized) |
Junior60-89 credits |
$7,500 (with a max of $5,500 subsidized) |
$12,500 (with a max of $5,500 subsidized) |
Senior90+ credits |
$7,500 (with a max of $5,500 subsidized) |
$12,500 (with a max of $5,500 subsidized) |
Graduate |
$20,500 |
Federal Direct Loan Limits (Lifetime)
Dependent | Independent | |
---|---|---|
Undergraduate |
$31,000 (with a max of $23,000 Subsidized) |
$57,500 (with a max of $23,000 Subsidized) |
Graduate |
$138,500 |