First step in applying for a Stafford loan is to complete the FAFSA.

Federal Stafford Loans are low interest loans available to students attending eligible schools at least half-time. The interest rate is adjusted annually and is capped never to exceed 8.25%. The Stafford Loan rate in effect from July 1, 2009 through June 30, 2010 is:

Undergraduate subsidized = 5.6%
Graduate subsidized = 6.8%
All unsubsidized loans = 6.8%

As a Stafford loan borrower, you do not have to begin repaying the loan until six months after you leave school. If you are eligible for need-based aid, a portion of the Stafford loan is subsidized and does not accrue interest until six months after you leave school.

To learn more about how to become a responsible Stafford loan borrower, you are required to complete Stafford Loan Entrance Counseling. You do not have to begin repaying the loan until six months after you are no longer enrolled at least half-time.

The lenders listed have been selected based on customer service, borrower benefits and participation with our main guarantor, Kentucky Higher Education Assistance Authority (KHEAA), in the EFT (electronic fund transfer) process. Borrowers are free to choose any lender that participates in the FFEL program even if they are not on this list. Borrowers who select a non-KHEAA lender, may be required to submit a paper Master Promissory Note (MPN). Neither Eastern Kentucky University nor the EKU Office of Student Financial Assistance benefits from a borrower's choice of lender.