Stafford and Perkins loans are federal loans given directly to the student.
This type of loan, which is funded with government money, comes with low interest rates and favorable repayment options. They can be consolidated upon graduation, which is an important factor when it comes time for repayment.
Stafford Loans are more common than Perkins Loans, the other type of federal student loans.
Money for these loans comes directly from the federal government in a program called the Federal Direct Student Loan Program (FDSLP).
If you’re an undergraduate, the maximum annual amount of a subsidized loan depends on your year in school.Most students receive loans from a different borrower every year, if not every semester, so it is commonplace to have 8-10 student loan payments due every month when you finally graduate.You can simplify the repayment process by applying for a Direct Consolidation Loan, which can best be defined as: one payment to one servicer, once a month.You are eligible for a larger loan if you are financially independent.If you’re financially dependent but your parents are ineligible for Parent PLUS loans, you’re permitted the same maximum loans as if you were independent.