Federal Direct Stafford Loan Process
Subsidized and unsubsidized loans are federal student loans for eligible students to help cover the cost of higher education. Loans are also legal obligations, so before you apply for a student loan, think about the amount that must be repaid over the years. Visit the Federal Student Aid website for more information about loans.
There are two types of Stafford Loans: Subsidized and Unsubsidized
Federal Subsidized Stafford Loan
- U.S. Department of Education pays interest while borrower is enrolled at least half time (6 credit hours) or during grace and deferment periods
- Have a financial need as determined by your FAFSA application
Federal Unsubsidized Stafford Loan
- Interest begins to accrue immediately after the first disbursement, unlike the Subsidized Stafford loan
- A financial need as determined by your FAFSA application is not a requirement. However, the borrower must have a completed FAFSA on file
| Year In School | Dependent Undergraduate | Independent Undergraduate* | Graduate of Professional Student |
|---|---|---|---|
| First Year | $5,500 (maximum of $3,500 can be subsidized) |
$9,500 (maximum of $3,500 can be subsidized) |
$20,500 (all unsubsidized) |
| Second Year | $6,500 (maximum of $4,500 can be subsidized) |
$10,500 (maximum of $4,500 can be subsidized) |
$20,500 (all unsubsidized) |
| Third Year and Beyond | $7,500 (maximum of $5,500 can be subsidized) |
$12,500 (maximum of $5,500 can be subsidized) |
$20,500 (all unsubsidized) |
* A dependent student whose parent applied and was denied for a Parent PLUS loan is eligible for an increase in the unsubsidized portion of their Stafford Loan
Instructions
To receive your Federal Direct Stafford Loan, you must complete both the Master Promissory Note (MPN) and Entrance Counseling. Parent PLUS Loan borrowers and Graduate PLUS Loan borrowers must complete the credit application and the MPN.
If you have questions about completing the MPN or Entrance Counseling, contact the U.S. Department of Education at 1-800-557-7394. For concerns related to Delaware State University’s financial aid process, please contact our office directly.
Please click the links below for step-by-step instructions on completing these required documents.