Federal Direct Loans
Federal Direct Loans
Federal Direct Loans
Federal student loans are available to eligible students who submit a Free Application for Federal Student Aid (FAFSA) with no credit check, no cosigner, and no collateral; simply your signature and promise to repay. Interest rates are fixed, and are set by Congress. Repayment terms are flexible and generous repayment plans and cancellation options are available. For this reason, we always encourage students to consider federal student loans first. If, after all of your student aid is finalized, you need additional funds, your parents should consider a federal PLUS loan or private loan.
About Federal Loans
Federal Subsidized vs. Unsubsidized Loans
Subsidized Loan-If you are an undergraduate student and you demonstrate financial need based on your FAFSA, the federal government will pay the interest charge while you are enrolled at least half-time (6 credits). You must pay the principal and interest during the repayment period which occurs six months following graduation, you are enrolled less than half-time (<6 credits) or withdrawal from the university.
Unsubsidized Loan-All matriculated graduate or undergraduate students enrolled at least half-time may receive a Federal Direct Unsubsidized Loan regardless of family income. The interest is not paid on your behalf. You may choose to make payments while in school (recommended) or allow the interest to accumulate onto the balance.
How Your Loan Amounts are Determined
The amount of federal loans you are offered is based on the following:
- if you are an undergraduate or graduate student
- your grade level in school (freshman, sophomore, junior/senior)
- your previous federal loan balances, and
- your dependency status.
Enrollment
You must enroll as a half-time student in order to receive your federal loans. Undergraduate students must be in 6+ credits and graduate students 4.5+ credits each semester.
Federal Loan Interest Rates
