<p>Is there a chart that tells which portion of the Stafford loans will be subsidized? Is the $3500/4500/5500 always subsidized? Only if it is under the EFC?</p>
<p>According to the Wiki entry on Stafford loans, they can be both subsidized and unsubsidized, depending on demonstrated financial need.</p>
<p><a href=“Stafford Loan - Wikipedia”>http://en.wikipedia.org/wiki/Stafford_Loan</a></p>
<p>That’s what I’m looking for - how is the ‘need’ determined?</p>
<p>For example, if my EFC is $30k and COA is $25k, is it all unsubsidized? If EFC is $19k and COA is $25k, is the $3500 subsidized/$2000 unsub.?</p>
<p>If the college deems you have need the amounts you have listed are the Maximum that can be subsidized. <a href=“http://studentaid.ed.gov/types/loans/subsidized-unsubsidized”>http://studentaid.ed.gov/types/loans/subsidized-unsubsidized</a> If you’re determined to have no need then it’s all unsub.</p>
<p>Here is the way it works: The school has a Cost of Attendance, or COA. The student has an Expected Family Contribution, or EFC. COA - EFC - grants - scholarships - Federal Work Study - Perkins Loans = eligibility for subsidized loans up to the maximum allowed for year in school ($3500 fr/$4500 soph/$5500 jr and sr). If the eligibility is less than the maximum, the sub loan is the amount of eligibility. If there is no eligibility (the result of the math equation above was less than $200), there is no subsidized loan. Now for unsubsidized eligibility … COA - grants - scholarships - Federal Work Study - Perkins Loans - Subsidized loans = eligibility for unsubsidized loans. The eligibility will be the difference between the annual maximum loan amount ($5500 fr/$6500 soph.$7500 jr and sr) and whatever subsidized amount was awarded. Here is how it works for a freshman:</p>
<p>Say the COA is $10,000, EFC is 5500, and there is no other aid. 10,000 - 5500 = 4500. The student is a freshman. He can receive $3500 sub and $2000 unsub.</p>
<p>Say the COA is $10,000, EFC is 8500, and there is no other aid. 10,000 - 8500 = 1500. Sub is $1500 and unsub is $4000.</p>
<p>Say the COA is $10,000, EFC is 12,000 and there is no other aid. 10,000 - 12,000 = (2,000). There is no eligibility for sub, so all $5500 is unsub.</p>
<p>Thank you kelsmom for detailed info. If the school is a Profile school that meet full need without loans according to their methodology (and school EFC > Federal EFC) - will EFC be Federal or institutional? What about work-study? It may be federal or not, right? Does EFC include required student summer earnings?</p>
<p>If the work-study is not Federal, it is most likely not counted as a financial aid resource (although some schools may use it that way in packaging). EFC for federal aid is always the Federal EFC. Federal EFC doesn’t include anything but what is calculated by the federal processor.</p>
<p>And you can always request an unsub loan at a no-loan school (unless all aid awarded equals or exceeds COA).</p>
<p>Thanks. I wonder if anyone received a subsidized federal loan from a meet full-need no-loan school? Or this is not possible?</p>
<p>I sure wish you could delete drafts! Right up there with my wish for post numbers! Sorry! Delete my draft!</p>
<p>I’m not sure how you would be able to receive a subsidized loan from a meet full-need no-loan school. The reason for this is that the school is meeting need. By definition, that means that there is no unmet need. There must be unmet need for a loan to be subsidized. I suppose if the FAFSA and Profile EFC are very different, and the school meets need based on the Profile EFC, the student might be eligible for a subsidized loan, though …</p>