Loan program types
| Loan program |
Eligibility | Interest | Grace period |
Lender | Length of repayment |
| Subsidized Direct* Stafford Loan |
-Undergraduate and graduate students enrolled at least half-time -Must demonstrate financial need |
-Fixed rate set annually for new borrowers -5.6% fixed rate for undergraduate students (expected to drop in 2010 and 2011) -6.8% fixed rate for graduate students |
6 mo. | Dept.of Education | Between 10 and 25 years Interest is paid by the U.S. Department of Education while the borrower is in school and during grace periods and deferment. |
| Unsubsidized Direct* Stafford Loan |
Undergraduate and graduate students enrolled at least half-time | -Fixed rate set annually for new borrowers -6.8% fixed rate |
6 mo. | Dept.of Education | Between 10 and 25 years |
| Direct* PLUS Loan | -Parents of dependent undergraduate students enrolled at least half-time -Must have good credit history |
7.9% fixed rate for loans first disbursed on or after July 1, 2006 | N/A | Dept.of Education | Between 10 and 25 years Note: Income-Contingent Repayment (ICR) is not an option. |
| Direct* Grad PLUS Loan | -Graduate and professional students enrolled at least half-time -Must have good credit history |
7.9% fixed rate for loans first disbursed on or after July 1, 2006 | N/A | Dept.of Education | Between 10 and 25 years |
| Direct* Consolidation Loan | Parents and students borrowing federal student loans through the Direct Loan Program | -Some variable interest rates available -For rates that are fixed over the life of the loan, rates are based on a weighted average of the interest rates for all the loans held (not to exceed 8.25%) |
N/A | Dept.of Education | Up to 30 years |
| Subsidized FFEL** Stafford Loan |
-Undergraduate and graduate students enrolled at least half-time -Must demonstrate financial need |
-Fixed rate set annually for new borrowers -5.6% fixed rate for undergraduate students (expected to drop in 2010 and 2011) -6.8% fixed rate for graduate students |
6 mo. | Bank, credit union or participating private lender | Between 10 and 25 years Interest is paid by the U.S. Department of Education while the borrower is in school and during grace periods and deferment. |
| Unsubsidized FFEL** Stafford Loan |
Undergraduate and graduate students enrolled at least half-time | Fixed rate set annually for new borrowers | 6 mo. | Bank, credit union or participating private lender | Between 10 and 25 years |
| FFEL** PLUS Loan |
-Parents of dependent undergraduate students enrolled at least half-time -Must have good credit history |
8.5% fixed rate for loans first disbursed on or after July 1, 2006 | N/A | Bank, credit union or participating private lender | Between 10 and 25 years |
| FFEL** Grad PLUS Loan | -Graduate and professional students enrolled at least half-time -Must have good credit history |
8.5% fixed rate for loans first disbursed on or after July 1, 2006 | N/A | Bank, credit union or participating private lender | Between 10 and 25 years |
| FFEL** Consolidation Loan |
Parents and students borrowing federal student loans through the FFEL Program | -Some variable interest rates available -For rates that are fixed over the life of the loan, rates are based on a weighted average of the interest rates for all the loans held (not to exceed 8.25%) |
N/A | Bank, credit union or participating private lender | Up to 30 years |
| Federal Perkins Loan | Undergraduate and graduate students | 5% | 9 mo. | Your school | Up to 10 years |
| State Loan | All details are subject to the individual state’s requirements. | ||||
| Private Loan | All details are subject to the individual lender’s requirements. | ||||
* Loans administered through the William D. Ford Federal Direct (Direct) Loan Program.
** Loans administered through the Federal Family Education Loan (FFEL) Program.