Federal Stafford Loans for Graduate Students
(Subsidized and unsubsidized)

 
Federal Subsidized Stafford Loans:

Federal Subsidized Stafford Loans are awarded on the basis of financial need as established by the FAFSA application. The federal government pays the interest (subsidizes the loan) during periods of enrollment and authorized deferment.

• The interest rate in repayment varies annually and equals the 91-day Treasury bill rate plus 3.1%, with a maximum annual rate of 8.25%.
• There is a grace period of 6 months after graduation or dropping below half-time attendance before repayment of the principal of the loan begins.
• Loan amounts are awarded based on the class level and cannot exceed the established student budget for the school, including other aid (see the table below for class level eligibility).

Federal Unsubsidized Stafford Loan:

An Unsubsidized Loan is not based on financial need. The student borrower of the unsubsidized loan is responsible for the interest from the time the loan is disbursed until it is paid in full. Borrowers may choose to pay the interest as it accrues while enrolled, or may defer the interest and allow it to accumulate. If interest is allowed to accumulate, it will be capitalized - that is, the interest will get added to the principal amount of the loan and will increase the amount to be repaid. If interest is paid as it accumulates, repayment overtime will be less.

• The interest rate during in-school, grace, and deferment periods varies annually and equals the 91-day Treasury bill rate plus 2.5%, with a maximum rate of 8.25%.
• The interest rate in repayment varies annually and equals the 91-day Treasury bill rate plus 3.1%, with a maximum annual rate of 8.25%.
• There is a grace period of 6 months after graduation or dropping below half-time attendance before repayment of the principal of the loan begins.

Total Annual limit for Stafford Loan Programs for loans before July 1 2007: 18,500 (no more than 8500 in Subsidized Stafford).

Total Annual limit for Stafford Loan Programs for loans after July 1 2007: 20,500 (no more than 8500 in Subsidized Stafford).

Graduate Cumulative Total for All Stafford Loans: 
(including amounts received at the undergraduate study level):

Federal Stafford Loans for Graduate students cannot exceed a total of $138,500, with no more than $65,500 in Subsidized Stafford loan. (Medical students should see separate information here)

Loan Checklist!

1. Complete your FAFSA.
2. Calculate your expenses.
3. After you are awarded, determine the amount you will need to borrow, after considering your expenses and your resources ( Aid, Income, etc...)
4. Accept, Reduce, or Decline your loan offer as you need from your Student Tool Kit.
5. If you are accepting the loan for the first time at FSU: Select a lender (you may refer to our Preferred Lender list and notify us by selecting a lender through your Financial Aid Student Toolkit, or notify us of the lender you wish to use by contacting our office with the Lender name, Lender code, and Lender Phone number).
6. Complete Loan Entrance Counseling.
7. If this is your first loan at FSU, complete a Master Promissory Note online (FSU must transmit information to your lender first - your lender will contact you, via email or mail , when your promissory note is ready to be signed).
8. Complete a Disbursement Authorization Statement (available online through http://mymoney.fsu.edu once you have activated your FSUID).

last updated : March 16, 2007