Understanding the Stafford & Parent (PLUS) Loans
Parents often ask us why their son or daughter can’t borrow more from the Stafford Loan. Federal regulations limit how much a student can borrow on their Stafford Loan. Recent changes are in red type.

Stafford Loans
•       Base annual loan limits (combined subsidized and unsubsidized):

–        $3,500 for 1st year undergraduates
–        $4,500 for 2nd year undergraduates
–        $5,500 for each remaining undergraduate year

•Additional unsubsidized loan eligibility for independent undergraduate, graduate, and dependent students whose parents are unable to borrow (denied on) the PLUS Loan:

–        $4,000 per year for 1st and 2nd year undergraduates
–        $5,000 per year for remaining years of undergraduate study

Since 2008-2009:

• There is an additional $2000 per year Unsubsidized Stafford Loan that students can apply for (with their other financial aid, they cannot be overawarded).

PLUS Loans
Eligibility is based on a parent passing a credit check and the maximum amount a parent can request is the “Cost of Attendance” minus the financial aid that the student is receiving. For example, if the cost of attendance is $18114 and financial aid amounts to $10,000, then the PLUS Loan eligibility would be $8114.

Repayment of PLUS (for PLUS Loans on/after July 1, 2008) 
Parents who wish to postpone PLUS payments are now able to delay their payment on new PLUS Loans until 6 months after the student enrolled---they would need to contact lender for details/procedure.

For more information on financial aid visit our main page at: /Departments/Admissions/FinancialAid/