Loan Information

Types of Federal Direct Loans

Two Types of Loans

The Direct Subsidized Loan is based upon financial need. The government subsidizes (or pays) the interest for you while you are enrolled at least half time (six credits) in an eligible, degree-seeking program. You will have six months once you graduate or drop below half time attendance before you must begin repayment at which point interest will begin accruing at a fixed rate.

The Direct Unsubsidized Loan is not need-based, eligibility is based on the cost of attendance and other aid received. Interest accrues at a fixed rate as soon as you receive the loan funds. You have six months once you graduate or drop below half time attendance before you must begin repayment.

Eligibility & Disbursement

  • You may cancel future disbursements of your loan at any time.
  • You must enroll in a minimum of 6 credits to be eligible for the Stafford Loan.
  • First-time college students borrowing a Stafford Loan will have their loan funds held for the first 30 days of the quarter before funds can be disbursed.
  • One-quarter loans are disbursed in two payments, one at the beginning of the quarter and one at the midpoint.


While you are at least half time (taking 6 or more credits), you can receive an in-school deferment on your existing Stafford Loans. You will not be required to make any principal or interest payments while you are enrolled at least half time in school. SPSCC will automatically report your enrollment information on the 10th day of the quarter to the National Student Loan Clearinghouse.

Exit Counseling

When you graduate or cease to be enrolled at least half time at SPSCC, you must complete Stafford Loan Exit Counseling. This will review the terms and conditions of your loan, provide an overview of the repayment process, and give details about available repayment options. You can fulfill this requirement by visiting and following the links to Exit Counseling.

SPSCC has partnered with Solutions at ECMC a non-profit organization dedicated to helping students manage their educational loans. Their resources are available to you free of charge. To contact a Solutions Student Loan Repayment Advisor, email ECMC Solutions or call 1-877-331-3262.

Steps to Apply for Direct Federal Stafford Loans

  1. Receive and review your Financial Aid Award Letter
    Once you have been awarded, you can view award information and accept your award in ctcLink.
  2. Complete Student Loan Entrance Counseling
    New students requesting a loan may receive loan Entrance Counseling online at Returning borrowers proceed to Step 4.
  3. Complete Master Promissory Note
    Complete Master Promissory Note at
  4. Complete Loan Request Form
    Visit the Financial Aid Forms page to access and complete the Loan Request Form.
  5. Review Revised Award Letter and Receive Loan Disbursements
    Review the Disbursement Schedule for Stafford Loans. Note: First time borrowers are required to have a 30-day delay for their first disbursement. 1 Quarter loans are disbursed in two disbursements, 1st at the regular disbursement date and the 2nd at midway through the quarter.

Current Loan Interest Rates

Federal Student Aid