Federal Direct Stafford Loan Program

A Federal Direct Stafford Loan is a federally-sponsored, low-interest loan available to assist with educational expenses. The funds for this loan come directly from the U.S. Department of Education. They will remain the lender for the life of the loan and the loan will not be sold.

Changes to the Direct Stafford Loan Program from the One Big Beautiful Bill Act (OBBBA)

Schedule of Reduction: Students enrolled part-time in 2026-2027 and following academic years, your Direct Stafford Loans must be prorated. This means if you are enrolled part-time, your loan eligibility for that award year will be reduced proportionally to your level of enrollment.

Aggregate Limit:  Undergraduate Aggregate (lifetime) limit for Dependent Undergraduate Subsidized/Unsubsidized Direct Stafford Loans will remain unchanged  at $31,000 (max $23,000 Subsidized) for dependent students and $57,500 (max $23,000 Subsidized) for independent students. Graduate students Aggregate limit is capped at $200,000. 

Types of Direct Stafford Loans

Academic Year 2026-2027

Subsidized Loans

Students who demonstrate financial need qualify for the subsidized loan, which means that the federal government pays the interest while the student is in school at least half-time (6 credits).

Unsubsidized Loans - Undergraduate

Students who do not demonstrate financial need may be eligible for the unsubsidized loan, which means that they will be charged interest while in school, but may defer payment until completion of school. Upon entering repayment, interest is added on to the principal (capitalized) which increases the amount of the loan that needs to be repaid. Students are advised to pay the interest on the loan while in attendance, if they are able.

The interest rate for a subsidized Direct Stafford Loan is at a fixed interest rate of 6.52% for undergraduate student loans disbursed after July 1, 2026 through June 30, 2027. A federal origination fee of 1.057% will be subtracted from the disbursed amount of the unsubsidized Stafford loan (for loans disbursed on or after October 1, 2025 and before September 30, 2026) charged by the Department of Education.

Unsubsidized Loans - Graduate

Graduate students are eligible for unsubsidized loan, which means that they will be charged interest while in school, but may defer payment until completion of school. Interest is added on to the principal (capitalized) which increases the amount of the loan that needs to be repaid. Students are advised to pay the interest on the loan while in attendance, if they are able.

The interest rate for a graduate unsubsidized Direct Stafford Loan is at a fixed interest rate of 8.07% for graduate student loans disbursed after July 1, 2026 through June 30, 2027. A federal origination fee of 1.057% will be subtracted from the disbursed amount of the unsubsidized Stafford loan (for loans disbursed on or after October 1, 2025 and before September 30, 2026) charged by the Department of Education.

Eligibility

You are eligible to apply for a Direct Stafford Loan if:

• you are a U.S. citizen or an eligible non-citizen and
• you are a student admitted to a degree program and
• you have submitted a FAFSA to be processed by FIT Financial Aid Services

How to Apply

1. Completed the financial aid application process by filing a FAFSA and other required documentation.
2. If you are not awarded a Direct Stafford Loan, request one using the Direct Stafford Loan Request Form (pdf),  or email the FIT Loan team at FITLoans@fitnyc.edu , we will only accept a request from your FIT email.
3. Complete a Master Promissory Note (MPN).
4. Complete an Entrance Counseling Session/Interview.
5. Enroll in at least six credit hours per term in your degree program.

Loan Amount Eligibility