Stafford Loan Terms & Conditions
Grad Student Fully Enrolled
ELIGIBILITY
Applicant must be a US citizen, permanent resident or eligible non-citizen and enrolled in an approved college or university. All universities and colleges require the following documentation, and some have the ability to do a majority of these steps electronically. Please follow your institution's published guidelines; if there are none published, please follow these steps:
- Students must fill out the Free Application for Federal Student Aid (FAFSA). You may do so online at www.fafsa.ed.gov
 . (Note: when loading the school code on-line you must enter the letter "G" in place of the first "0" in the code).
- After completing the FAFSA, you will receive a Student Aid Report (SAR); you should mail a copy of this (as most foreign colleges and universities cannot receive your SAR electronically), along with the Master Promissory Note (MPN) and the School Certification form to your school for processing
- Your institution will then assess your eligibility and if you are eligible will certify your Stafford loan(s) and submit the forms to our guarantors for disbursement.
- Students MUST complete the FAFSA and submit a new MPN to their schools each year.
LOAN AMOUNT
The "Subsidized" Stafford amount is based on need assessed with the completion of the FAFSA form. The federal government pays the interest on your subsidized loan amount while you are "in-school". The "Unsubsidized" Stafford amount is based on the cost of education less other sources of financial aid and loans. Through both programs, graduate students may borrow a maximum amount of $20,500 per academic year.
RATES
| Stafford Loan Interest and Repayment Benefits |
| Lender Code |
803000-55 |
830005 |
818334 |
| Lender |
Chase |
Wachovia |
Bank of America |
| Origination Fee |
0.00% |
0.00% |
0.00% |
| Default Fee |
0.00% |
1.00% |
1.00% |
| Interest Rate - In school |
6.80% |
6.80% |
6.80% |
| Interest Rate - with all Repay adjustments |
6.70%1 |
6.80% |
6.80% |
| Total Principal credits/cash back |
0.00% |
3.50%2 |
|
1. JP Morgan Chase offers a .10% interest rate reduction at repayment and for the remainder of the loan term.
2. 3.5% Principal Credit or Rebate with the following conditions: 1% with initial ACH setup, additional 1% with 12 on-time payments, additional 1.5% with 24 on-time payments.
FEES The federally mandated 3% origination fee is waived by all three lenders. Chase also waives the 1% default fee.
REPAYMENT/DEFERMENT Applicant has up to 10 years to repay the loan in standard repayment; options are available to extend your repayment term. Various deferment and forbearance options are also available. Please contact IEFC for more details.
|
