Direct and FFEL Stafford Loans are the Federal Financial Aid Department's major form of self-help aid.  Direct Stafford Loans are available through the William D. Ford Federal Direct Loan (Direct Loan) Program and FFEL Stafford Loans are available through the Federal Family Loan (FFEL) Program.  The terms and conditions of a Direct Stafford or FFEL Stafford are similar.  The major differences between the two are the source of the loan funds, some aspects of the application process, and the available repayment plans.  Under the Direct Loan Program, the funds for your loan are lent to you directly by the U. S. government.  Under the FFEL Program, the funds for your loan are lent to you from a bank, credit union, or other lender that participates in the FFEL Program.

Federal Stafford Loans (student loan) 

Subsidized - Based on need 
Interest is paid by the federal government while you are in school.  Must be enrolled at least half-time (6 units).

Unsubsidized - Non-need based 
Available to independent students only (with the exception of dependent students whose parents have been denied a PLUS Loan).  Interest is paid by the student. May be paid during school or deferred until after.  Must be enrolled at least half-time 
(6 units).

 STAFFORD LOAN LIMITS 
 

The interest rate on Stafford Loans is variable.  Interest is determined by the annual T-bill plus 3.1%.  It is capped at 8.25%.

Guarantor
The Guarantee Agency guarantees the lender repayment of the student loan in case the student defaults. Once a default occurs, the lender is paid off and the student owes the Guarantee Agency.  The Guarantor is an Agency of the Federal Government.

EDFUND
http://www.edfund.org

Application Processing
P.O. Box 419046
Rancho Cordova, CA 95741-9046
Phone:  (916) 526-8424
Fax:  (916) 526-7937

Default Prevention
Phone:  (800) 298-9490
Fax:  (916) 526-7937

United Student Aid Funds, Inc. (USAF)
P.O.  Box 6180
Indianapolis, IN  46206-7044
Non-defaulted loans:   (800)824-7044
Defaulted loans:  (800) 331-2314

Mapping Your Future
http://mapping-your-future.org/ 

This site is sponsored by a group of guaranty agencies who participate in the Federal Family Education Loan program (FFELP) and are committed to providing information about higher education and career opportunities.

Edwise
http://www.edwise.org

Figure your Future with Edwise's Online Financial Planning Guide.  Learn to manager your money.

Student Loan Deferments:
If you need a deferment for a Stafford Loan you have borrowed, contact your lender.   They will provide you with the necessary form which will need to be completed by the Registrar's Office.