Financial Aid
Federal Stafford Loan

Federal Subsidized Stafford Loan - awarded on the basis of financial need. You won't be charged any interest before you begin repayment or during deferment periods. The federal government "subsidizes" the interest during these periods.

Federal Unsubsidized Stafford Loan - not awarded on the basis of financial need. You'll be charged interest from the time the loan is disbursed until it's paid in full. If you allow the interest to accrue (accumulate) while you're in school or during periods of nonpayment, it will be capitalized. This means that interest will be added to the principal amount of your loan, and additional interest will be based on that higher amount.