Undergraduate Catalogue
Subsidized Federal Stafford Loan
These federally subsidized loans are made available by banks and other federally approved lending agencies. The interest is paid by the federal government while a student is in school attending at least half time each semester. The maximum annual loan for freshmen is $3,500, for sophomores $4,500, for juniors and seniors $5,500, if there is financial need. Loan fees ranging from 1 to 2 percent may be deducted from the approved amount before the loan is credited to the student account. The federal government pays the interest until the repayment period, which begins six months after a student drops below half-time status. Depending on the amount borrowed, a student may have 10 years to repay principal and interest. During the repayment period, the interest rate is fixed at 5.6 percent (for loans after July 1, 2009).
