I want to apply for a Stafford loan. What is FAFSA?

FAFSA stands for Free Application for Federal Student Aid. Filling out a FAFSA is not a loan application, but a required preliminary step. It is an analysis of your income, assets, age, family size and other components and calculates your ability to contribute toward your educational costs for that year as a number called the Expected Family Contribution (EFC). Your EFC does not affect the amount you are eligible to borrow. That is determined by your financial aid budget. NOTE: You are NOT expected to contribute the value of your EFC towards tuition.