A Direct Stafford Student Loan is a Student loan without the need for a Co-signer

The direct Stafford student loan is like the Federal Perkins loan in that it also is a loan that must be paid back and it also is a federally subsidized loan. It also has a low current student loan interest rate but not as low as the Perkins loan. The Stafford loan rate is variable and adjusts every twelve months every July 1st but are capped at a low level...currently 6.8%. There are two kinds of Stafford loans...Direct which is transacted through the William d Ford student loan program and the FFEL which is the Federal Family Education Loan program.  These two programs are essentially the same except the Direct is provided directly from the federal government and the FFEL comes from private lenders who participate in the FFEL loan program such as banks, local credit unions or other lenders who choose to have an interest in providing educational student loan programs. Stafford student loans also can be subsidized or unsubsidized. This means that if the loan is a subsidized college loan it was qualified based on financial need with the federal government paying the interest on the loan while the student is still in school. Six months after graduation students must pay the full payment themselves. If unsubsidized, need does not have to be demonstrated but students may need additional monies for school such as to pay for books, room and board etc. They can still have access to this very good college loan program. Payments on the unsubsidized Stafford loan program begins the day the loan is disbursed. Students can take 10 to 25 years to pay back both of the above student loans. There is student loan forgiveness in certain unusual circumstances and students may be eligible for a student loan deferment or discharging the loan entirely.  

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