Who can get Stafford Loans?
Graduate students who are U.S. citizens, legal permanent residents, or eligible non-citizens who have been accepted at a U.S. school can get unsubsidized Stafford loans. Students cannot have defaulted on other federal student loans in the past and must attend school at least half time to qualify.
How much can I borrow from the Stafford program?
Take your credit: Grad students will also want to see if they qualify for the federal Lifetime Learning Tax Credit, which allows individuals to subtract up to $2,000 annually from their tax bill.
The credit applies to 20 percent of tuition and other required education expenses up to $10,000, and is available to single filers whose modified adjusted gross income is less than $61,000 or married people with under $122,000.
The bottom line: Students have to be creative and look at all possible sources because sometimes you have to put it together.
Borrow smart: Chances are you'll need to borrow at least part of the tab. To be eligible for federal loans, the first step is to file a Free Application for Federal Student Aid (FAFSA).
Stafford loans pay out up to $20,500 a year. The loans carry a 6.8 percent interest rate and a 1 percent fee, and a lifetime maximum of $138,500. For the rest, Graduate PLUS loans are available (at 7.9 percent interest plus 4 percent in fees), as are private loan options.
Work for the school: Research and teaching assistantships generally cover at least part of tuition and pay a periodic stipend in exchange for research or classroom instruction. Like scholarships, assistantships are often presented by individual departments.
Secure a scholarship: Graduate programs typically award scholarships and fellowships based on merit. It's going to vary from school to school and where that particular student sits in that applicant pool.
Get your boss to pay: Many companies looking to boost their collective skill set without bringing on a new hire are willing to sponsor all or part of an employee's graduate schooling through tuition reimbursement. Last year, 54 percent of the 600 employers responding to a survey by the Society for Human Resource Management offered at least some form of financial assistance for grad school.
Application essays and personal statements: We have some resources in the Compass that can help you write this important document - stop by!
Entrance exams: You took the SAT or ACT for entrance into college. If you want to go to graduate school, you may need to take another entrance exam.
Graduate school entrance tests are field-specific:
The timeline: Staying on track is critical to a successful application process. Check out our Graduate School Handout (PDF) for a sample timeline.
