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Federal Direct Stafford Loan Program

FIT participates in the William D. Ford Federal Direct Loan Program. A Stafford Loan is a federally-sponsored, low-interest loan available to assist with educational expenses. The funds for this loan come directly from the Federal Department of Education. They will remain the lender for the life of the loan and the loan will not be sold.

Who is eligible for Direct Stafford Loans?

  • U.S. citizen or an eligible non-citizen
  • student admitted in a degree program
  • FAFSA must be completed and processed by  FIT Financial Aid Services

What steps need to be taken to receive a Direct Stafford Loan?

Students must have completed the process of applying for financial aid by filing a FAFSA and other required documentation before loan requests will be processed. If students have not been awarded a Stafford Loan, they may request one through the Financial Aid Department Direct Stafford Loan Request Form.

Subsidized Loans
Students who demonstrate financial need qualify for the subsidized loan, which means that the federal government pays the interest while the student is in school at least half-time (6 credits). The interest rate for a subsidized Direct Stafford Loan is at a fixed interest rate of 5.05% for undergraduate student loans disbursed after July 1, 2018.

Unsubsidized Loans
Students who do not demonstrate financial need may be eligible for the unsubsidized loan, which means that they will be charged interest while in school, but may defer payment until completion of school. Interest is added on to the principal (capitalized) which increases the amount of the loan that needs to be repaid. Students are advised to pay the interest on the loan while in attendance, if they are able. The interest rate for unsubsidized loans is fixed at 5.05% for loans disbursed after July 1, 2018.

Note:  A federal origination fee of 1.066% (if the loans is disbursed before October 1, 2018) will be subtracted from the disbursed amount of both subsidized and unsubsidized Stafford loans. 

Direct Stafford Loan Eligibility Chart 

Subsidized Eligibility Additional Unsubsidized Loan Eligibility    
Student Loan Limits ALL Undergraduate Students Dependent students whose parents
were denied PLUS loans, Independent, & Graduate students
2018-2019 Fixed Interest Rate  Interest Rate Cap
Freshman $ 3,500 $ 2,000 $ 4,000 5.05  %  8.25 %
Sophomore $ 4,500 $ 2,000 $ 4,000 5.05 %  8.25 %
Junior $ 5,500 $ 2,000 $ 5,000 5.05 %  8.25 %
Senior $ 5,500 $ 2,000 $ 5,000 5.05 %  8.25 %
Graduate Student      N/A N/A $ 20,500 6.60  %  9.50 %