A student’s financial aid award will likely include one or more student loans. The Direct Stafford Loan programs are federal loan programs. Included below are details concerning the various loan programs, along with applicable interest rates and their eligibility requirements.
Federal Direct Loans
US citizens and permanent residents are eligible to borrow funds from the Federal Direct Loans after the FAFSA form is filed
Direct Subsidized Stafford Loan: Interest does not accrue while the student is enrolled at least half-time. Repayment begins 6 months after student graduates or ceases attending school at least half-time. Graduate students are not eligible for this loan. For additional information, including rates, please go to this page on the US Department of Education’s Federal Student Aid site.
Direct Unsubsidized Stafford Loan: Interest does accrue while student is enrolled in school. Repayment begins 6 months after student graduates or ceases attending school at least half-time. For additional information, including rates, please go to this page on the US Department of Education’s Federal Student Aid site.
To apply for Federal Stafford Loans please follow the instructions below:
- ALL borrowers need to complete a Master Promissory Note with the Direct Loan Program.
- First-time borrowers at Pratt Institute will need to complete a loan entrance counseling session, even those who have borrowed at a previous institution.
- Borrowers should complete the FAFSA form first.
Direct Parent PLUS Loan: A creditworthy parent of a dependent undergraduate can apply for a Direct PLUS loan. The borrower is fully responsible for paying the interest regardless of the loan status. Pratt will not certify a PLUS loan until a student has been accepted and paid a commitment deposit to attend Pratt.
Federal Direct Grad PLUS Loan: Grad PLUS loan is intended for graduate students in need of additional resources in order to finance their education. Approval of Grad PLUS loans is based in part on the determination that the applicant does not have any adverse credit.
Private Loans
Private education loan programs are available for all students, including international citizens.
For US citizens and permanent residents, Private student loans are consumer loans that should only be considered after first exhausting your federal loan eligibility. Typically, federal loans provide students with more beneficial terms and conditions. Some of these federal loan benefits may include a lower annual percentage rate, fewer and lower fees, and more favorable repayment options. A number of private educational loans are available to students who need extra funding to assist in managing the expected family contribution. You must apply for private educational loans directly with the lender/agency. Borrowers must be creditworthy to participate in these programs. Students who are not creditworthy by program guidelines may still be eligible to participate IF they can find a creditworthy person to co-sign their loan application. Families are free to choose any lender which best serves their needs. You should visit each potential lender’s website to fully evaluate the benefits that they offer before making a final choice of a lender for your loans.