Stafford Loan Programs

There are 3 steps to applying for the Federal Stafford Loan. If you are applying for a Federal Stafford Loan for the first time at Sacred Heart University, you will need to complete all 3 steps which will take approximately 25-30 minutes. 

Before you begin: you will need your FAFSA PIN* issued by the U. S. Department of Education and the name, address and phone numbers of two adult references (living in the United States) with different addresses.

*If you have lost or forgotten your FAFSA PIN, visit www.pin.ed.gov.

1. Electronically sign your Federal Stafford Loan Master Promissory Note (MPN)
In order to borrow through the Stafford Loan program, you must promise to pay back the loans you wish to borrow.

2. Complete your Federal Direct Stafford Loan Entrance Interview online.
This interview is a federal requirement and will inform you of your rights and responsibilities as a borrower under the Federal Stafford Loan program.

3. Complete your 2013- 2014 Stafford Loan Certification Form. To finalize the loan process you must complete and return the loan certification to the Office of Student Financial Assistance.  

**Attention SHU Online Graduate/Undergraduate Students**

Per Federal regulations, You MUST be enrolled/registered for at least Half-Time per semester (3 credits for Graduate Students and 6 credits for Undergraduate Students) in order for your Federal Stafford Loan or your Federal Grad Plus loan to disburse. Please remember that when you complete your Confidential Information form you will be indicating which modules/semesters you will be taking courses. Your loan disbursements will be divided by the semesters you state on the form. Each of the semesters you will be taking courses, you must maintain at least Half Time enrollment in order for your loan disbursements to be in compliance with Federal Regulations. If you fail to maintain at least Half time enrollment your loan disbursements maybe canceled or recalculated.

 
Interest Rates and fees for the 2013-2014 academic year are:
 Graduate Students are not eligible for subsidized Stafford Loans.
 

Program

Direct Interest Rate
Fees
1st disbursement < 12/1/2013
Fees
1st disbursement > 12/1/2013
Subsidized Stafford Loan
3.86%
1.051%
1.072%
Unsubsidized Stafford Loan
3.86%
1.051%
1.072% 

Subsidized Versus Unsubsidized Loans Subsidized loans are interest-free while you are in school or otherwise have a deferment (authorized break from payments). As an example, let’s say you spent four continuous years in college, plus two years in graduate school. You have a subsidized loan from your first semester for $1,000 with a 3.86 percent interest rate. After completing your schooling, you would only owe the original $1,000, thanks to the subsidized nature of the loan. If your loan was unsubsidized, you would owe your loan balance, plus any interest occurred totaling $1,039.