Important Notice: Federal student loans are now offered exclusively by the Federal Direct Student Loan Program. Please contact your school’s financial aid office for more information.
Low-rate student loans from the federal government.
Stafford loans are education loans that are offered by the government, so the interest rates on them are pretty low. There are two types of Stafford loans:
Subsidized Stafford Loans are a great way to go, because the federal government pays the interest on them while you're in school at least half-time. To get a Subsidized Stafford Loan, you have to prove financial need.
Unsubsidized Stafford Loans are available to students regardless of their need or income level. With these loans, you can either pay interest while you're in school, or hold off your interest payments until six months after graduation (or until you drop below half-time.)*
*Interest will accrue during deferment and be capitalized (added to the loan balance) at the end of the deferment period.