The Federal Stafford Loan. There are actually two types of Stafford loans for students. The U.S. government pays your interest on the subsidized Stafford loan while you re in school, during the first six months after you leave school, and during deferments. The Federal PLUS Loan. This is a loan for parents of undergraduates.
Parents can borrow up to the cost of education minus other financial aid awarded.
To receive this loan, the borrower must successfully pass a credit check first. The amount you can borrow varies by loan program. Your loan limit may also depend on factors like your credit history and whether you apply alone or with a co-borrower.