Federal Direct Loans
Federal Direct Loans are offered at a fixed interest rate that changes on a yearly basis for loans disbursed after July 1st. For “Direct Subsidized Loans” the government pays the interest while students are in school or in a deferment or forbearance period; for “Unsubsidized Loans” students are responsible for paying the interest while they are in school. If they choose not to pay the interest, it will accrue and be capitalized (added to the principle). This loan must be repaid; the repayment should begin six (6) months after the student graduates or ceases to study.
Federal Direct Parent Loan for Undergraduate Students (FDPLUS)
“PLUS” loans are borrowed by parents for dependent students at a fixed interest rate that changes on a yearly basis for loans disbursed after July 1st. The Parent PLUS loan requires a parent (biological, legal stepparent or adoptive parent) to process a credit check to determine eligibility. The maximum award amount is no more than the cost of attendance minus additional aid received. The parent is responsible for repayment of this loan, which begins 60 days after the first disbursement is made.
>Direct Unsubsidized Loan
Not based on need. Student is responsible for all interest accrued even while in school. Repayment begins 6 months after completing or withdrawing from the institution.
- Direct Graduate PLUS Loan
Loans made to graduate or professional students The maximum PLUS loan amount you can borrow is the cost of attendance (determined by the school) minus any other financial assistance you receive. Eligibility is not based on financial need, but a credit check is required.