Subsidized and Unsubsidized - Am I Eligible?

How do I find out if I am eligible for a Stafford Loan?  Complete the FASFA!

There are two types of Stafford Student Loans – Subsidized and Unsubsidized

	SUBSIDIZED	UNSUBSIDIZED
FAFSA Required	Yes & student must meet financial needs test	Yes, but student does not have to demonstrate financial need
Minimum Enrollment	Half-time	Half-time
School Participation	Required	Required
Undergraduates/Graduates	Yes	Yes
Interest Paid by Federal Government	Yes, while in school & during 6 month grace period prior to repayment	No, student pays quarterly; or has the option to accrue and capitalize at time of repayment
Deferments	Principle is deferred while student is enrolled at least half-time	Principle is deferred while student is enrolled at least half-time
Repayment	Begins six months after student ceases to be at least a half-time student	Begins six months after student ceases to be at least a half-time student
Application/Promissory Note	Yes – Annual/Serial depends on school requirement or if borrower changes lender	Yes – Annual/Serial depends on school requirements or if borrower changes lender

ANNUAL LOAN LIMITS 

EFFECTIVE JULY 1, 2007	ANNUAL LOAN LIMITS	ADDITIONAL UNSUBSIDIZED ANNUAL LIMITS
Freshman	$3500	$4000
Sophomore	$4500	$4000
Junior/Senior	$5500	$5000
Graduate	$8500	$12000

AGGREGATE LOAN LIMITS:

Dependent Undergraduate Students:  $23,000
Independent Undergraduate Students: $46,000 (no more than $23,000 may be in subsidized loans)
Graduate Students:  $138,500 (no more than $65,000 may be in subsidized loans)