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Loans

The Financial Aid Office will determine which loans to offer you, based on your citizenship status and other information on your financial aid application. Regardless of whether loans are need-based or non-need-based, your total financial aid cannot exceed the cost of attendance.

You can borrow up to the cost of attendance minus any financial aid or other resources (i.e., parents, relatives, friends, employers, and other outside sources). Loans at Stanford GSB must be used for educational purposes.

U.S. Citizens and Permanent Residents

U.S. citizens and permanent residents are eligible to borrow funds from the Department of Education’s Federal Direct Loan Program. The government restricts these loans to students who are not in default on any previous loans and to students who do not owe a refund to any federal program. Federal loan program terms are subject to change.

We allow domestic borrowers (i.e. U.S. citizens and permanent residents) the option to choose between the Federal Direct Plus Loan for Graduate Students or a private loan. In order to facilitate this process, your award letters will reference these funds as Stanford GSB PLUS Loan or Private Loan. Later on, you will be able to customize your own loan package by choosing to borrow from either of the two loan programs.

International Students

International students attending Stanford GSB will be able to apply for an educational line of credit without the need for a U.S. citizen as a co-signer.

Federal Loans

Perkins Loans

  • Need-based loan
  • Available to U.S. citizens and permanent residents (if meeting eligibility requirements)
  • 5% interest during repayment
  • The government pays interest during in-school period
  • No origination or guarantee fees
  • 9-month grace period
  • 10-year repayment; $40 minimum payment/month
  • $8,000 maximum loan per year (amount subject to change); $40,000 aggregate loan limit
  • Limited funding; awarded to highest-need students that are receiving GSB Fellowship.

Unsubsidized Stafford Loans

  • Non-need-based loan
  • Available to U.S. citizens and permanent residents
  • 5.41% variable/fixed interest rate
  • Interest accrues from time of disbursement and is added to principal a single time upon commencement of repayment
  • Payment of interest can be deferred until the end of the grace period
  • 1.072% origination fee 
  • 6-month grace period
  • 10-year repayment; $50 minimum payment/month
  • $20,500 maximum loan per year minus the amount borrowed from the subsidized Stafford Loan
  • $138,500 aggregate loan limit including amount borrowed from the subsidized Stafford Loan
  • Some lenders reduce origination and guarantee fees and/or offer repayment incentives

PLUS Loan for Graduate Students

  • Available to U.S. citizens and permanent residents
  • Need-based and non-need-based loan
  • 6.41% variable/fixed interest rate
  • Interest accrues from disbursement and is typically capitalized once prior to entering into repayment
  • May have no grace period. Repayment begins 60 days after final disbursement
  • Payments of principal and interest may possibly be deferred while in school
  • 4.288% origination fee
  • 10-year repayment or up to 30 years if Federal Stafford and Graduate PLUS amounts exceed $30,000
  • $50 minimum payment/month
  • Maximum amount per year equals the cost of attendance minus other financial aid and other forms of educational funding
  • Credit check required

Private Loans

Loans for International Students

Stanford GSB has partnered with Star One Credit Union to provide private educational lines of credit to international business school students with no US co-signer. There may be other private educational loans for international students and we urge all students to investigate in their home country and/or country-of-residence for loan options.

OFAC Sanctions Note: Lenders based in the United States (including Star One Credit Union) may not be able or willing to make loans to students from countries on the United States Treasury Department’s Office of Foreign Assets Control (OFAC) Sanctions list; or to individuals identified by name, or related to or connected with anyone on the Specially Designated Nationals List. All applicants from these countries are strongly cautioned to be prepared to make their own financial arrangements to attend the GSB.

Loans for U.S. Citizens and Permanent Residents

The school can provide a historical list of private educational loan lenders from whom previous students have borrowed within the past three to five years. However, we strongly encourage students to investigate all private loan options prior to choosing a lender. We recommend students compare interest rates, terms and conditions, repayment options with each lender as well as the Federal Direct PLUS Loan program.

Last Updated 14 Jan 2014