"Students and families borrowed 25 percent more through federal loan programs last year than during the same period the previous year, data from the U.S. Department of Education show," The Chronicle of Higher Education reports. "The growth comes at a time when more people are going to college, many families are needier than in the past, and more students are applying for federal aid. Congress also increased the amount that undergraduate students could borrow starting in the 2008-9 academic year. The loan programs were built to respond to demand, said Robert M. Shireman, deputy under secretary of education. And 'we saw a significant increase in demand,' he said. Much of the growth occurred in unsubsidized Stafford Loans, which are available to undergraduates and graduates regardless of need and require them to pay the interest accrued while in college."