Federal Stafford Loan

Two Types of Federal Direct Stafford Loans

  1. Subsidized Federal Stafford Loan
    A Subsidized Stafford Loan is award based on financial need. While the borrower remains in school, the interest on the loan is paid by the federal government.
  2. Unsubsidized Federal Stafford Loan
    An Unsubsidized Stafford Loan is not awarded based on financial need. Interest accrues from the date of disbursement until the final payment. The borrower can choose to pay the interest monthly or quarterly while in school and during the grace period or can have the interest capitalized and added to the principal amount of the loan.

Application Process

  1. FAFSA – Required for any type of federal loan.
  2. Entrance Counseling – Required if you are a first time borrower at Bryan College.
  3. Master Promissory Note – Must have U.S. Department of Education PIN.

Repayment

  • Begins 6 months after dropping below half-time status
  • Ten year repayment term
  • 3.86% fixed interest rate for Subsidized Stafford Loans
  • 3.86% fixed interest rate for Unsubsidized Stafford Loans
  • .25% interest rate reduction for auto debit
  • Provisions available for extended repayment, deferment and cancellation
  • No penalties or extra fees for early repayment
  • Loan Calculator

Stafford Loan Origination Fees

The net origination fee of 1.072% is deducted proportionately from each loan disbursement.
 

Annual Amounts*
 

Dependent Students

Number of Credits

Base Amount**

Additional Unsubsidized Amount

0-26

$3,500

$2,000

27-55

$4,500

$2,000

56-84

$5,500

$2,000

85+

$5,500

$2,000

 

Independent Undergraduate Students and Dependent Students Whose Parents Are Denied a PLUS Loan

Number of Credits

Base Amount**

Additional Unsubsidized Amount

0-26

$3,500

$6,000

27-55

$4,500

$6,000

56-84

$5,500

$7,000

85+

$5,500

$7,000

 

Graduate Students

Maximum Unsubsidized Amount

$20,500

 *The amounts below are the maximum amounts available and could be less depending upon the student’s actual cost of attendance.

**The base amount may be Subsidized, Unsubsidized or a combination of both.