Loans

In response to the the COVID-19 situation

The U.S. Secretary of Education announced that Federal Student Aid (FSA) is executing on the President’s promise to provide student loan relief to tens of millions of borrowers during the national emergency.  All borrowers with federally held student loans will automatically have their interest rates set to 0% for a period of at least 60 days.  In addition, each of these borrowers will have the option to suspend their payments for at least two months to allow them greater flexibility during the national emergency.  This will allow borrowers to temporarily stop their payments without worrying about accruing interest.

The Secretary has also directed all federal student loan servicers to grant an administrative forbearance to any borrower with a federally held loan who requests one.  The forbearance will be in effect for a period of at least 60 days, beginning on March 13, 2020.  To request this forbearance, borrowers should contact their loan servicer online or by phone.

And, the Secretary has authorized an automatic suspension of payments for any borrower more than 31 days delinquent as of March 13, 2020, or who becomes more than 31 days delinquent, essentially giving borrowers a safety net during the national emergency.

Some borrowers may want to continue making payments, like those seeking Public Service Loan Forgiveness (PSLF) or those enrolled in a repayment plan with a manageable monthly payment.  For borrowers continuing to make payments, the full amount of their payment will be applied to the principal amount of their loan once all interest accrued prior to March 13, 2020, is paid.  The Department is working closely with Congress to ensure all student borrowers, including those in income-driven repayment plans, receive needed support at this time.

A borrower who has experienced a change in income can always contact their loan servicer to discuss lowering their monthly payment.


Our financial advisors will explain the loan process to you, and how this valuable resource can help you finish college. 

Step 1:

Before completing the loan application, you must complete the FAFSA. You’ll then receive a formal determination from SC4’s Financial Aid Office. A formal determination can be either:

  • An SC4 award letter, or
  • An SC4 letter indicating that you are ineligible for a grant but may apply for a loan. 

Step 2:

First-time borrowers must complete the following:

Returning borrowers must complete:


Stafford maximums

Student Level
& Dependency Status
Maximum Stafford
(subsidized and unsubsidized)
Maximum Subsidized
Dependent freshman $5,500 $3,500
Dependent sophomore $6,500 $4,500
Independent freshman $9.500 $3,500
Independent sophomore $10,500 $4,500

Lifetime limits

Student Level
& Dependency Status
Maximum Stafford
(subsidized and unsubsidized)
Maximum Subsidized
Dependent undergraduate $31,000 $23,000
Independent undergraduate $57,500 $23,000

Phased-in Cuts in Interest Rates on
Subsidized Stafford Loans for Undergraduate Students

TabTable

Year Interest Rate
Subsidized Stafford Loans
(Undergraduate Students)
Interest Rate
Other Stafford Loans
(Undergraduate Students)
2007-08 6.8% 6.8%
2008-09 6.0% 6.8%
2009-10 5.6%6.8%
2010-11 4.5%6.8%
2011-12 3.4%6.8%
2012-13 6.8%6.8%
2013-14 3.86%3.86%
2014-15 4.66%4.66%
2015-16 4.29%4.29%
2016-17 3.76%3.76%
2017-18 4.45%4.45%
2018-19 5.05%