Federal Unsubsidized Stafford Student Loans

Another type of financial aid available to graduate students is non-need-based. This type includes various unsubsidized loans that can be used to replace the "expected family contribution" (EFC). The Financial Aid Office certifies these loans because they cannot exceed the cost of attendance minus any need based aid received by the student. The recommended maximum amount is $10,000 per year. You may borrow more, if needed.

Interest is fixed. The current interest rate for 2007-08 is 6.8% (in-school & grace), 7.2% (repayment).
Interest is not subsidized (paid) by the federal government and begins accruing upon disbursement; borrower has the option to pay the interest during enrollment or allow it to accrue.
Unpaid interest will be capitalized by the lender and added to the principal of the loan upon graduation
Maximum annual loan of $32,000 minus up to $8,500 Federal Subsidized Loan (total subsidized and unsubsidized loans cannot exceed the Cost of Attendance); aggregate total (undergraduate and graduate) of $189,125
Financial need not required
Student borrows directly from private lenders and guarantee agencies that participate in the Federal Family Education Loan Program (FFELP)
A 0%-3% origination fee can be deducted from the loan proceeds before disbursement
Grace period of 6 months after enrollment ceases
Deferment and Forbearance options available
Standard 10-year repayment schedule; extended repayment schedule available to some borrowers with large debts; minimum $50/month payment

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