Direct Loans are low-interest loans for students and parents to help fund the cost of a student's education after high school. The lender is the U.S. Department of Education rather than a bank or other financial institution.
How Will I Receive My Federal Stafford Loan? - Southwestern receives student loan funds via electronic funds transfer (EFT). This means that your loan funds will be electronically deposited into your student account via electronic funds transfer.
What Types of Loans are Available at Southwestern? - you can apply for the Federal Stafford Loan (subsidized and unsubsidized).
How Much Can I Borrow? - The annual loan limits for all students are reported below.
|Student||Year 1 Subsidized||Year 1 Sub/Unsub Combo||Year 2 Subsidized||Year 2 Sub/Unsub Combo||Cumulative Limit Subsidized||Cumulative Limit Sub/Unsub Combo|
What is the Interest Rate? - Up-to-date information here at FinAid.
Are Fees Deducted from the Loan? - Fees up to 4% may be deducted proportionately from each disbursement of the loan. These fees are for loan origination and/or guarantee processing. The borrower owes the gross amount before fees, but will receive a net amount after fees are deducted.
When Does Repayment Begin? - Repayment of the Federal Stafford Loan begins six months after the student leaves college by graduating, withdrawing, or dropping below half-time (six credits or the equivalent). The minimum monthly payment is $50, and the maximum repayment period is 10 years.
Repayment of the Federal PLUS can begin as early as 30 to 60 days after the first disbursement is made. Contact your lender regarding repayment terms.