Aid - Federal Loans

Federal Direct Stafford Loans

Direct Stafford Loans are low-interest loans for students to help pay for the cost of a student's education after high school.  You must be enrolled as at least a half-time (6 credits) student to be eligible for a Stafford Loan.  The lender is the U.S. Department of Education rather than a bank or other financial institution. The interest rate for the Federal Direct Stafford Loans is anticpated to be fixed at 6.8% for the 2013-2014 academic year for both subsidized and unsubsidized Stafford Loans. Subsidized Stafford loan eligibility is limited to 6 years for new borrowers of loans disbursed after July 1, 2013.  The interest subsidy ends as of the last day of attendance for the loan borrower.

There are two types of Stafford Loans: subsidized and unsubsidized. You must have financial need to receive a  subsidized Stafford Loan. The U.S. Department of Education will pay (subsidize) the interest that accrues on subsidized Stafford Loans during certain periods. Financial need is not a requirement to obtain an unsubsidized Stafford Loan. You are responsible for paying the interest that accrues on unsubsidized Stafford Loans.  Students must complete the Free Application for Federal Student Aid (FAFSA) in order to be awarded Stafford Loans.

Annual Subsidized Limits

• 1st Year Undergraduates = $3,500
• 2nd Year Undergraduates = $4,500
• Remaining Undergraduate Years = $5,500
• Preparatory Coursework Needed to Enroll as Undergraduate = $2,625
• Preparatory Coursework Needed to Enroll in Graduate/Professional Program if Student has a
   Baccalaureate = $5,500
• Teacher Certification if Student has a Baccalaureate = $5,500
• Graduate/professional Students = $8,500

Grad/prof students no longer eligible for sub loans for loan periods beginning on or after
July 1, 2012.

When a student has received subsidized loans for 150% of the published length of the academic program in which he or she is enrolled, he or she may not receive additional subsidized loans for enrollment in that program.  This rule applies to any new* borrowers on or after July 1, 2013. 

*A new borrower is one who has never borrowed a Federal loan or has an outstanding balance of $0 on a Federal loan.

Annual Unsubsidized Limits

• Dependent undergraduates whose parents can borrow PLUS = $2,000
• 1st and 2nd year undergraduate dependent students whose parents cannot borrow PLUS and 
    independent students = $6,000
• Remaining undergraduate years for dependent students whose parents cannot borrow PLUS
   and independent students = $7,000
• Preparatory Coursework Needed to Enroll as Undergraduate = $6,000
• Preparatory Coursework Needed to Enroll in Graduate/Professional Program if Student has a
   Baccalaureate = $7,000
• Teacher Certification if Student has a Baccalaureate = $7,000
• Graduate/professional students = $20,500

Aggregate Limits

• Undergraduate 
   o Dependent students = $31,000 (up to $23,000 may be subsidized) 
   o Independent students and dependent students whose parents cannot borrow PLUS = $57,500
      (up to $23,000 may be subsidized)
• Graduate students 
   o Subsidized = $65,500 
   o Unsubsidized = Defined by the U.S. Department of Education

For additional information about Federal Direct Loans, visit the Direct Loan website, or visit Student Aid on the Web.

Federal Perkins Loans

A Federal Perkins Loan is a low-interest (5 percent) loan for both undergraduate and graduate students with exceptional financial need. Federal Perkins Loans are made through a school's financial aid office. Your school is your lender, and the loan is made with government funds. You must repay this loan to your school.  Students must complete the Free Application for Federal Student Aid (FAFSA) in order to be evaluated for Federal Perkins Loan eligibility.

 For additional information please visit the Student Aid on the Web.

FEDERAL LOAN ELIGIBILITY

To be eligible for Federal student loans, you must complete the Free Application for Federal Student Aid (FAFSA). Also, the FAFSA is needed for additional need-based Carroll College aid.

CLICK HERE FOR MORE INFORMATION OR TO FILE YOUR FAFSA

Students working on 2nd Bachelor's Degrees

Carroll College does not offer any institutional need-based grants or scholarships to students who choose to pursue a second undergraduate degree.

Federal Direct Stafford Loans
Students returning to work on a 2nd undergraduate degree will only be able to borrow under the Federal Direct Stafford Loan Program as undergraduates.  Please note that there is an aggregate loan limit for undergraduate studies.  This limit is not extended for students returning for a second undergraduate degree. 

The Department of Education sets a "maximum time frame" for undergraduate students to complete an undergraduate degree.  Students who have chosen to return to school to complete a SECOND undergraduate degree can only receive federal student loan funds for courses required to complete a second undergraduate degree.  

 

NASFAA Student Aid Quick Reference Sheet

Student Aid Quick Reference Sheet

Federal Aid Tax Benefits

Federal Aid Tax Benefits Information