Summary of Federal Laws

 

Financial Aid Programs                                         

Compliance Partners

Director of Financial Aid

 

Federal Stafford Loan

 

20 U.S.C. § 1071

 

Provides low-interest, variable-rate loans made by a lender such as a bank, credit union, savings and loan association and, sometimes, a school.  Loans are insured by a guaranty agency and reinsured by the federal government.  The federal government pays the interest while the student is in school and during certain grace and deferment periods. Both the FFEL and Direct Loan programs consist of what are generally known as Stafford Loans (for students) and PLUS Loans for parents and graduate and professional degree students.

 

 

 

Resources

Stafford Loans on Federal Student Aid page
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3/16/09 compliance partner added mlo
compliance box links updated 6/3/09 rab