<p>Hi, I am hoping someone can help me with this question. </p>
<p>From reading this forum it looks like the max a Freshman can take in a Direct Loan (Subsidized Stafford) is 5500. It also looks like any student can take that regardless of their FA package. If that is the case why would a school that meets %100 need only include 4800 in subsidize but also include 261 in unsubsidized? Wouldn't they go all subsidized until you reached the max allowed?</p>
<p>The max for subsidized is supposed to be $3500 with another $2000 unsub.</p>
<p>
<a href=“What is a Subsidized Student Loan? | Edvisors”>What is a Subsidized Student Loan? | Edvisors;
<p>Right, sorry, mixing up kids and packages… Student I was looking at is the one who is going to be a senior not the frosh. So that being said, the max subsidized portion is 5500 ($7,500 ($5,500 subsidized/$2,000 unsubsidized))</p>
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Subsidized loans are need based. A student that does not have unmet need (as determined by the school’s COA less the FAFSA EFC and all other aid) can not take a subsidized loan. If a student has some need then they can get a subsidized loan for the amount of need and may be able to get an unsubsidized loan toward the EFC.</p>
<p>For instance if a school’s COA is $30,000 and the student’s EFC is $2000 then their need is $28000. If they have been awarded $25000 in grants/scholarships/work study they have remaining need of $3000. So they could be awarded $3000 in subsidized loans. If they want a further $2000 to pay the EFC, that would be unsubsidized.</p>