Amount borrowed vs Outstanding Principle

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Amount borrowed vs Outstanding Principle

Postby cad1132 » Thu Nov 22, 2012 6:57 pm

I am planning to return to school next fall. I will need a year to a year and a half to finish.
I'll need financial aid, but I'm not sure I'll have enough money for even a year.
The maximum debt from Stafford Loans is $57,500. I've so far borrowed $32,856. However, I spent years in forebearance, and interest on my loans has been capitalized, so that my outstanding principal is $51,295.
So, my question is, when considering how much aid I'm still able to get, will the amount I've borrowed be considered, or will my outstanding principal count against the maximum I can borrow?
I'm not eager to take on a lot more debt, but I do want to finish school, since I'm paying for it either way.
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