Advocacy Brief: Department of Education Increases Stafford Loan Limit
The Department of Education has issued a "Dear Colleague" letter announcing an increase in the combined aggregate Stafford loan limit for certain health professions students (including medical students) from $189,125 to $224,000, effective immediately. This increase is entirely in unsubsidized Stafford loans and will allow medical students to borrow at a 6.8 percent interest rate, avoiding higher rates available through GradPLUS and other private loan programs. The loan limit increase comes in response to a September 2007 sign-on letter sent to Secretary of Education Margaret Spellings by medical organizations including ACP.
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