MBA for Professionals   :: Federal Direct Stafford Loans and Federal Direct Graduate PLUS Loans

Federal Direct Stafford Loans
The Federal Direct Stafford Loan program includes two programs; the Subsidized Federal Direct Stafford Loan and the Unsubsidized Federal Direct Stafford Loan.

Eligible students who are U.S. citizens and permanent residents may borrow up to $20,500 for each period of two consecutive semesters enrolled in Willamette's Professional MBA program.

• Example: A Willamette MBA for Professionals student who enrolls in the fall semester cohort and completes the degree in six semesters as outlined for the cohort, would be eligible for $20,500 in Stafford Loans for each of the three periods of two consecutive semesters of enrollment in the MBA for Professionals program: fall/spring; summer/fall; spring/summer.

Eligibility for Federal Direct Stafford Loans is determined by submission of the FAFSA (Free Application for Federal Student Aid). Stafford Loans are administered through the Willamette University Office of Financial Aid.

The Subsidized Federal Direct Stafford Loan Program provides subsidized need-based loans to graduate students. MBA students eligible for the Subsidized Federal Direct Stafford Loan Program may borrow up to their level of need as determined by the FAFSA, within a maximum of $8,500 per year. The interest rate on Stafford Loans is set at 6.8 per cent. Interest does not accrue nor are payments due on the Subsidized Stafford Loan while a student is enrolled at least half-time.

Repayment begins six months after graduation or six months after a student drops below half-time status. The standard repayment period is 10 years. The repayment period can be extended to 20 or 30 years. Subsidized Federal Direct Stafford Loans are eligible for loan consolidation.

The Unsubsidized Federal Direct Stafford Loan Program provides additional funding for students participating in the Subsidized Federal Direct Stafford Loan Program, or assistance to students not financially eligible to participate in the Federal Direct Subsidized Stafford Loan Program.

MBA students may borrow up to $20,500 per year (less subsidized Stafford eligibility) and are responsible for interest that accrues on the Unsubsidized Stafford Loan while in school. The interest rate on Stafford Loans is set at 6.8 per cent. Interest may be paid quarterly or capitalized to the principal.

Repayment begins six months after graduation or six months after a student drops below half-time status. The standard repayment period is 10 years. The repayment period can be extended to 20 or 30 years.

Federal Direct Graduate PLUS Loan
MBA students who are U.S. citizens or permanent residents are eligible to utilize the new Federal Direct Graduate PLUS Loan Program to borrow above the amount provided by Stafford Loans. In fact, combining the Stafford and PLUS Loans allows students to borrow up to the estimated full cost of attendance (estimated budget of educational, living and personal expenses minus other financial assistance).

Eligiligibility for PLUS Loans is determined by submission of the FAFSA (Free Application for Federal Student Aid). Interested students must have applied for their annual loan maximum eligibility under the Stafford Loan program before applying for a PLUS loan.

PLUS Loans are administered through the Willamette University Office of Financial Aid.

The repayment term is 10 years. The interest rate is fixed at 7.9 per cent. Interest begins to accrue on the PLUS loan as soon as the funds are released to the school.

Back to Finanical Aid

Learn How to Apply for Stafford Loans and PLUS Loans