The consequences of default are severe. Your school, the lender or agency that holds your loan, the state, and the federal government may all take action to recover the money, including notifying national credit bureaus of your default. This affects your credit rating for a long time. For example, you might find it very difficult to borrow money from a bank to buy a car or a house. In addition, the Internal Revenue Service can withhold your U.S. individual income tax refund and apply it to the amount you owe, or the agency holding your loan might ask your employer to deduct payments from your paycheck.

Citizens of the Federated States of Micronesia, the Republic of the Marshall Islands, and the Republic of Palau are not eligible for federal student loans.

The formula used to calculate your EFC is established by law and is used to measure your family's financial strength on the basis of your family's income and assets. The EFC indicates how much money you and your family are expected to contribute toward your Cost of Attendance (COA) for the school year

For students, these are generally known as Federal Stafford Loans. For more information, visit the Stafford Loan Report.

Many states and schools also use the FAFSA data to award aid from their programs. The information you report is used to calculate your Expected Family Contribution (EFC), which measures your family's financial strength on the basis of your family's income and assets.

two or more persons who are living together, at least one of whom is 62 or older or disabled, and who is applicant or borrower.

Federal Perkins Loans don't have repayment plan choices; you generally have up to 10 years to repay, however. Your monthly payment will depend on the size of your debt and the length of your repayment period.

An area classified as a rural area prior to October 1, 1990, (even if within a Metropolitan Statistical Area) with a population exceeding 10,000 but not in excess of 25,000, which is rural in character and has a serious lack of mortgage credit for low- and moderate-income families. This is effective through receipt of census data for the year 2010.

Your monthly payment will depend on the size of your debt and the length of your repayment period.

When will I find out if I pre-qualify or not