Some FAFSA/Loan info from the UCLA financial aid office...
I believe the UCLA fin aid officer told me that this is how it works:Total Yearly Budget - EFC = Need Based Loans
(includes both Subsidized and Unsub loans, up to 20,500)
If you need more than $20,500 for need based loans, you supplement the rest with Grad PLUS loan.Everyone can borrow up to their total budget using the Grad PLUS loan
, regardless of need or EFC.
Hope that makes sense... took me a while to figure that out talking to the officer.For example:
If you have a total yearly budget of $80K, and your FAFSA EFC is $60K, that means your Need Based Loans is $20K.
That $20K can come as $8500 from Subsidized and $11500 from Unsubsidized Stafford Loans.
Now you still have $60K of EFC to deal with, which you can pay out of pocket or use the Grad PLUS loan to borrow the entire $60K.Example 2: The same budget, but your EFC is $40K.
Your need based loans exceed the $20,500 that the stafford loans cover, so you borrow that entire amount. The remaining $19,500 you would borrow with the PLUS loan, as well as the $40K EFC if you choose to do so, for a total of $59,500 with the PLUS Loan.
Hope this makes sense... please let me know if you have questions and if I got something wrong.
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