Federal Stafford Loans

Federal Direct Subsidized Stafford Loan

The Federal Subsidized Stafford Loan Program provides low-interest, deferred-payment loans to undergraduate students who demonstrate financial need. These loans assist students with educational expenses.

The U.S. Department of Education subsidizes the interest on these loans while the students are enrolled in school at least half-time and during grace and deferment periods.

Students apply for the Federal Direct Subsidized Stafford loan by completing the Free Application for Federal Student Aid (FAFSA) and the Master Promissory Note (MPN). All first-time NCU borrowers must also complete entrance counseling prior to receiving loan funds. All students who have had Stafford loans disbursed while attending NCU must complete exit counseling prior to graduation. Those borrowers who terminate attendance by means other than graduation or those who were not able to attend exit counseling sessions will be contacted and informed of loan responsibilities in writing. All borrowers may also complete the required entrance and exit counseling on-line.

The total aggregate amount of Subsidized Stafford loans that an undergraduate student may borrow is $23,000.

All degree programs at NCU are at least an academic year in length.

Federal Direct Unsubsidized Stafford Loan

The Federal Unsubsidized Stafford Loan Program provides low-interest, deferred-payment loans to undergraduate and graduate students regardless of financial need. These funds assist students with educational expenses.

Unlike the Subsidized Stafford loan program, the U.S. Department of Education does not subsidize the interest on these loans while the students are enrolled at least half-time and during grace and deferment periods.

Students apply for the Federal Unsubsidized Stafford loan by completing the FAFSA and the Master Promissory Note (MPN). All first-time NCU borrowers must complete entrance counseling prior to receiving funds. All students who had Stafford loan disbursed while attending NCU must complete exit counseling prior to graduation. Those borrowers who terminate attendance by means other than graduation or those who were not able to attend exit counseling sessions will be contacted and informed of loan responsibilities in writing. All borrowers may also complete the required entrance and exit counseling on-line.

The total aggregate amount of Unsubsidized Stafford loans that may be borrowed is $31,000 for dependent undergraduate borrowers ($23,000 of which may be Subsidized Stafford loan funds), $57,500 for independent undergraduate borrowers ($23,000 of which may be Subsidized Stafford loan funds), and $138,500 for graduate borrowers. Annual limits are noted in the chart below. The total amount of Subsidized and Unsubsidized loans may not exceed the maximum amounts.

Dependent students may receive an Unsubsidized Stafford loan if they do not have the financial need to qualify for a Subsidized Stafford loan. Dependent students may also qualify for an “additional Unsubsidized” Stafford loan if their parents are not eligible to receive a Federal PLUS loan.

All degree programs at NCU are at least an academic year in length.

Annual Stafford Loan Limits