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Federal Direct Loan

A Federal Direct Loan offers freshman students up to $5,500 and sophomores up to $6,500 per year. Students pursuing a one-year certificate will remain at freshman level for borrowing purposes. This is a loan and must be repaid. Interest rates vary annually. If you already have a Direct Loan, borrowing a new loan will not affect the rate or terms of your previous loan(s). You may qualify for a subsidized and/or an unsubsidized Direct Loan up to the amounts listed above.

Subsidized Direct Loans
These loans are based on financial need, therefore, some students may not qualify. With a subsidized Direct Loan, no interest accumulates and no repayment is required as long as the student is enrolled in college at least half time.

For subsidized loans first dispersed on or after July 1, 2012, the interest rate will be a fixed 3.40%.

Unsubsidized Direct Loans
Students who do not qualify for a subsidized Direct Loan may borrow up to the maximum amounts designated on the award notification through an unsubsidized Direct Loan. Loan payments can be deferred as long as the student is enrolled at least half-time.  Interest will accrue and can be paid by the borrower while in school and during the grace and repayment period. Independent students have the option of borrowing an additional $4,000 in unsubsidized Direct Loan Funds.

For unsubsidized loans first dispersed on or after July 1, 2012, the interest rate will be a fixed 6.80%.

To determine your eligibility for these programs, you must apply for federal aid, as outlined on the Application Process page. Funds are issued only after tuition and fees have been paid.

Credit Records
Student loans can be an excellent way to finance an education and establish a good credit rating at the same time. When it is time for repayment, always communicate with your lender when changing your name, address or phone number or if you have difficulty making payments.

Enrollment required: A minimum of 6 credit hours
Application: Free Application for Federal Student Aid and online Master Promissory Note

Students borrowing Federal Direct Loan funds are required to participate in the following counseling sessions: