Who provides Stafford loans?
Stafford loans are available from two sources. The U.S. Department of Education provides Stafford loans directly to students through the William D. Ford Federal Direct Loan Program, and private lenders work with the Federal Family Education Loan (FFEL) Program. Federal Direct Student Loan Program The U.S. government provides loans directly to students. The loans are administered by the schools participating in the program. The loans are repaid to the U.S. government. Federal Family Education Loan Program Under this program, private lenders provide loans that are guaranteed against default by the federal government. The private lenders include banks, credit unions, and savings and loan associations. Stafford loans are of two types, subsidized Stafford loans that are available to those who demonstrate financial need and unsubsidized Stafford loans, for which all students are eligible. What is the maximum amount of Stafford loans that can be awarded? The maximum you can borrow in a year d
