When there is a time to need a financial assistance, so often we
say and hear from people “Where Do I Begin?” But now it’s time to
be relaxed because Stafford Loan is there to help and guide you
throughout your process. You've made a great step on the way to
assist your financial need for your education from Stafford Loan.
• What do you think Stafford loan is?
Stafford loans are the most relaxing, easiest and affordable
financial sharp tool available to students and families, with
lower interest rates than most other forms of financing and
deferred payments until after your completion of your studies.
According to the needs of student rather than family government
provide loan to them. The Stafford Loan is the most popular in
providing the lower variable interest rate of loan and which is
very flexible to repay for the students and to assist their
future. Stafford Loan takes active participitation to provide
profitable loans to graduates or undergraduates. If now if you
parents are concerned about their child career and you need to
fund your child education first consider Stafford loan.
The Stafford Loan program is by far the most popular form of
financial aid offered in the Federal Family Education Loan
Program. This Stafford Loan is in a form of financial aid that must
be repaid and is a serious financial commitment. The Stafford Loan
is not a credit-based loan. The Stafford Loan is a federal loan
program available to help students cover the costs of college.
The best Part about Stafford loan is that no repayments or
interest charges while you are enrolled at least at half time of
your studies your repayment period begins six months after your
• Who all are eligible to get Stafford Loan?
1. Permanent Citizen or eligible trust territory.
The candidates who want to fund their education by taking Stafford
loan should be permanent resident national, eligible or should be
non-citizen of any country.
2. Satisfactory academic ground.
The candidate should have strong, satisfactory and appreciating
academic background. With that he/she should also required to be
outstanding in their attitude. And should be able to Demonstrate a
need for financial assistance.
3. Credit Check.
The Stafford Loans do not require any credit check .
4. The candidate should enroll at least half time in an eligible
school and maintaining good reputation.
5. Qualify FFEL Programme Loans:
FFEL Means: Federal Family Education Loan. The FFEL Loan is
administered jointly by some department of Education and your
state college loan guaranty agency.
6. SSN Number:
The Candidate must have SSN which is Social Security Number.
7. Registered Service:
The Candidate should have registered the selective service.
8. Eligible Educational expenses only:
When you fill up with all legal documents then you get student
promissory note where you certify the Stafford Loan just to use
for Education Expenses and purposes.
SOME FACTS ABOUT THE STAFFORD LOAN
• You, only you, students are borrowers.
• Your college determines your eligibility for a Stafford loan.
• You will be provided with good amount of Stafford loan on low
rate of interest
• An guarantee fee an origination fee may be withheld from your
• A credit Evaluation is not required.
Stafford loan is been divided into two parts:
1. Subsidized Loan
2. Unsubsidized loan
• What do you understand by subsidized loan?
A loan for which the borrower is not responsible for all of the
interest payments. The government pays the interest that incurred
on subsidized loans during the school, grace, and (if applicable)
post-deferment grace periods, if the loan meets certain
eligibility requirements. A Subsidized loan is awarded on the
basis of financial need. The government distributes subsidized
loan amounts based on financial need. The federal government pays
the interest while the student is in school, during the 6 month
grace period and authorized periods of deferment. Subsidized loans
are those loans for which the government pays the daily interest
your loan builds while you are enrolled on a half-time or greater
basis and during any approved periods of deferment or forbearance.
A subsidized loan is awarded on the basis of financial need. You
won’t be charged any interest before you begin repayment or during
• what is unsubsidized loan?
Well Unsubsidized are those Loans where the borrower, have to pay
all accrued interest. The Government does not offer any sort of
aid relating to interest payments for unsubsidized loans.
Unsubsidized Loan is not awarded on the basis of need. You’ll be
charged interest from the time the loan is disbursed until it is
paid in full.
You may choose to pay the interest as you go or have it accrue and
be added to the principle amount upon repayment. There is a small
loan fee. The interest may be capitalized as long as the student
is attending school at least half-time. Payments of principal and
interest begin once the six-month grace period expires. This loan
may only be applied for if it appears on your Statement of
Financial Aid Eligibility. Students are determined to be
ineligible for need-based financial aid may still apply for an
Unsubsidized Federal Stafford Loan.
1. What Can I use Stafford loan for?
Ans. Stafford Loans can be used towards the total cost of
education - tuition, room and board, books, and other
2. What are the deadlines for Stafford loans?
Ans. unfortunately, there is no single set deadline for Stafford
Loan applications you will need to contact your school's
financial aid office to obtain deadlines for your specific
3. How can Direct Loans help me go to college or a career school?
Ans. Stafford Loans are low-interest loans for students and
parents to help in cutting the cost in paying big amount of loan
so Stafford help them to pay less comparative to others for the
cost of your education after high school. The lender is the.
Department of Education rather than a bank or other financial
institution. Stafford Loan Are: Simple, Convient and Flexible.
4. What is the convenient method of applying?
Ans. First apply for FAFSA which means Free Application for
federal student aid . Before you receive your first loan amount
you have to sign some legal document which is Master promissory
5. What is the interest rate for Stafford loan?
Ans. Direct Stafford Loans have a variable interest rate that is
adjusted each year. Your interest rate may change each year, but
it will never be higher than 8.25%.
Stafford Loan not only helps in providing loans but also provide
scholarships to outstanding students. They give financial
assistance to performers. The purpose of financial aid is to
assist those students who, without such aid, would be unable to
attend the college. Financial aid funds are available to
supplement whatever funds students and their families can
reasonably provide. For those students and/or parents that who do
not qualify for adequate Title IV financial aid, or elect not to
use it, the college offers periodic payment plans as well as an
institutional loan program.