Stafford Loans
The Federal Direct Stafford Loan is available to students who are enrolled at least half-time and demonstrate financial need. Financial need is determined by subtracting the expected family contribution from the estimated cost of attendance. The Federal Government pays the interest while you are enrolled at least half-time.
The Federal Unsubsidized Stafford Loan is also available to students, however, financial need is not required to be eligible for this loan. You must pay the interest on the loan during in-school periods, the grace period and any deferment period.
Federal Loan Updates & Important Changes
Upcoming Federal Loan Policy Changes
Delta College is committed to providing clear, accurate information and helping students plan ahead.
Effective Beginning with the 2026–2027 Academic Year
Beginning with the 2026–2027 academic year, new federal regulations will change how loan eligibility is determined for all colleges nationwide.
Key Changes
- Reduced loan eligibility for less-than-full-time enrollment
Students enrolled in fewer than 12 credit hours will receive reduced federal loan eligibility based on their enrollment intensity. - Parent PLUS Loan limits
Federal Parent PLUS Loans will be limited to:- $20,000 per student per academic year
- $65,000 lifetime aggregate limit per student
What Is Not Changing
- Federal Direct Loans will still be available to eligible students.
- Some Parent PLUS borrowers may continue under previous borrowing limits.
What Students Should Know
- Delta College will provide anticipated loan eligibility amounts during the financial aid process based on expected enrollment.
- Delta College is currently processing loans only for the Fall 2026 semester.
- Winter and Spring 2027 loan requests may be submitted and considered at a later date.
- Loan eligibility is evaluated at the time of disbursement.
- Dropping or withdrawing from classes may reduce loan eligibility.
- Loan eligibility may differ from prior years due to the new regulations.
- Information is subject to change as additional guidance becomes available from the Department of Education. Additional updates and announcements regarding this legislation will be shared as it becomes available.
Here is a link for announcements on the latest information pertaining to this new legislation.
How to request a Federal Direct Loan
Before requesting Federal Student Loans, you must first complete the FAFSA.
Once you've completed the FAFSA, you will need to complete a Master Promissory Note and Loan Entrance Counseling for undergraduates at Federal Student Aid. You will need your FSA ID.
Next, choose the Request a New Loan option from your Delta Financial Aid Self-Service account.
Direct Loan exit counseling
If you have received educational loans while at Delta and either recently graduated or are no longer attending, you must arrange to begin repayment of your student loans. You may also want to correct your anticipated graduation date if you will be continuing your education or apply for a deferment, forbearance or cancellation of your student loan. This information must be provided to the holder of your loan.
Default Information
Default is a legal term, but simply put it means that a borrower who has promised to repay a student loan has failed to meet his or her obligation. A loan is delinquent until it is 270 days overdue, at which time it becomes defaulted.
The consequences of defaulting on your educational loans can affect your future in significant ways. It can also impact your college or university, as well as American taxpayers.
To avoid loan default, you must repay a student loan according to the agreed terms on a timely basis. Avoid the negative consequences of loan default which can include:
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- Poor credit rating - which is difficult to resolve
- Withholding of income tax refunds
- Garnishment of wages
- Loss of all Federal financial aid eligibility
Steps for Repaying Your Student Loans
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- Review your loan history at Federal Student Aid by logging in with your FSA ID.
- Complete exit loan counseling.
- Review the Exit Counseling Guide.
- Get to know your loan servicer. They will help you set up a repayment plan for Free! Contact them and set up an electronic account. If you don't know your servicer, please contact our office and we can look it up.
- Create a budget. This will help you determine how much you can pay monthly. Check out MyMoney.Gov for budget worksheets.
- Consider loan consolidation. This may help if you have multiple loan servicers and also help you qualify for an affordable repayment plan.
- Select an affordable repayment plan.
- Know if you are eligible for loan forgiveness/cancellation/discharge.
- Public service loan forgiveness – You may qualify if you are employed by a government or not-for-profit organization.
- Teacher Loan Forgiveness – You may qualify if you teach full-time for five consecutive years in certain schools that serve low-income families.
- Closed school – You may qualify if you school closes while you are enrolled or shortly after you withdraw.
- Total and permanent disability discharge – You may qualify based on the determination of your total and permanently disability.
- Discharge in Bankruptcy – You may qualify if you prove to a bankruptcy court that repaying your student loan would cause undue hardship.
Types of repayment plans
Standard repayment
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- Pay off loan quickly, within 10 years
Income-driven repayment plans
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- Revised Pay As You Earn (REPAYE)
- Generally pay 10% of your discretionary income
- Pay As You Earn (PAYE)
- Generally pay 10% of your discretionary income
- Income-Based (IBR)
- Generally pay 10% - 15% of your discretionary income
- Income-Contingent (ICR)
- Either 20% of your discretionary income or payment amount over course of 12 years adjusted to income
- Revised Pay As You Earn (REPAYE)
