Types of financial aid

Federal Student Aid offers several different types of financial aid. The four most common types of aid students are offered from the federal government as a result of completing a FAFSA are:

Pell Grant - A grant of up to $5,775 (as of the 2015-16 Award Year) for students with a low expected family contribution.
Stafford Loan - As of July 1, 2015, any Federal Direct subsidized loan will have a fixed interest rate of 4.29% and the interest is paid by the government while the student is enrolled at least half time. The Federal Direct unsubsidized loan also has a fixed interest rate of 4.29% and accumulates onto the outstanding balance.
Federal Perkins Loan - A loan that is like the Stafford but is lent directly by schools that are Title IV-eligible. Interest rate is fixed at 5%.
The Federal Work-Study Program - A program where students can get part-time work, up to a certain amount. In most cases, the federal government pays half of a student's wage and the school pays the other half.