Federal Loan Programs/Direct Federal Stafford Loan
Undergraduate Students
Subsidized Federal Stafford Loan
The federal government guarantees loans from $3,500 to $5,500 for eligible undergraduates. These loans are made by the Department of Education and interest is subsidized.
Eligible Stafford Borrower Limits-Undergraduate Study
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1st year of study
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$3,500/academic year
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2nd year of study
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$4,500/academic/year
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3rd, 4th & 5th years of study
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$5,500/academic year
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Cumulative limit
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$23,000
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For undergraduate borrowers who have loans that were originated between July 1, 2013, and June 30, 2014, the interest rate on the Stafford Loan is fixed at 6.8 percent. Students must file the FAFSA to determine eligibility for a Stafford Loan.
Unsubsidized Federal Stafford Loan
Students who meet the eligibility requirements under section 484 of the Higher Education Amendments and who do not qualify for interest subsidies under the Stafford Loan program may borrow under the Unsubsidized Stafford Loan program. Like the Federal Subsidized Stafford Loan program, the Unsubsidized Stafford Loan is available to all eligible students, and students must complete a valid need analysis.
Unsubsidized Stafford Loans are not need-based; interest accruing on the loan is not subsidized (or paid) by the federal government while the student is in school. Students must therefore pay the interest payments while in school or allow the interest to capitalize.
Graduate Students
William D. Ford Unsubsidized Direct Loan Program
The federal government guarantees loans up to $20,500 per academic year for eligible graduate students.
Students must file the FAFSA to determine eligibility for a Stafford Loan. New borrowers can complete a Master Promissory Note and Entrance Interview Counseling online at studentloans.gov. Lindenwood will receive electronic notification once the application is complete.
Unsubsidized Federal Stafford Loan
This loan provides for a maximum $20,500 per year for graduate students. Unsubsidized Stafford Loans are not need based and interest accruing on the loan is not subsidized (or paid) by the federal government while the student is in school. Students must therefore pay the interest payments while in school or allow the interest to capitalize. The interest rate for loans originated July 1, 2013- June 30, 2014 is fixed at 6.8%
Note: All graduate student loans are unsubsidized.