Federal Stafford Loan
Federal Subsidized Stafford loans are available to undergraduate and graduate students.
Federal Subsidized Stafford loans are awarded to students who demonstrate financial need. Because the U.S. Department of Education subsidizes the interest, borrowers are not charged interest while they are enrolled in school at least halftime and during grace and deferment period.
Before the Federal Subsidized Stafford loan can be credited to the student's account, a student must complete a Master Promissory Note (MPN). Students can electronically sign their MPN via the U.S. Department of Education PIN number. Only one signed MPN is needed for a student's entire career at IIT. For subsequent years, the Office of Financial Aid will electronically confirm loan eligibility by the amount indicated on the award letter. If a student does not wish to receive any of the loans offered on their award letter, the student must notify the Office of Financial Aid in writing or through their Web for Students account.
The interest rate of the Stafford loan program has a variable rate based on the 91-day Treasury Bill rate plus 3.1 percent, capped at 8.25 percent. The interest rate is adjusted annually July 1.
Federal Subsidized Stafford loans currently have a fixed interest rate of 6.8%. This rate is in effect from July 1, 2007 to June 30, 2008.
Repayment of the loan begins six months after a student leaves college or drops below halftime status.
Federal Unsubsidized Stafford loans are available to undergraduate and graduate students.
Federal Unsubsidized Stafford loans are awarded to students regardless of financial need. Borrowers are responsible for paying the interest that accrues during any period. Interest payments should be made, if possible, as they accrue during enrollment.
Undergraduate independent students and undergraduate students whose parents cannot get a Parent Loan (PLUS) have higher unsubsidized loan amounts.
Before the Federal Subsidized Stafford loan can be credited to the student's account, a student must complete a Master Promissory Note (MPN). Students can electronically sign their MPN via the U.S. Department of Education PIN number. Only one signed MPN is needed for a student's entire career at IIT. For subsequent years, the Office of Financial Aid will electronically confirm loan eligibility by the amount indicated on the award letter. If a student does not wish to receive any of the loans offered on their award letter, the student must notify the Office of Financial Aid in writing or through their Web for Students account.
The interest rate of the Stafford loan program has a variable rate based on the 91-day Treasury Bill rate plus 3.1 percent, capped at 8.25 percent. The interest rate is adjusted annually July 1.
Federal Unsubsidized Stafford loans currently have a fixed interest rate of 6.8%. This rate is in effect from July 1, 2007 to June 30, 2008.
Repayment of the loan begins six months after a student leaves college or drops below halftime status. For unsubsidized loans, interest payments should be made, if possible, as they accrue during enrollment.