Federal Aid
William D. Ford Federal Direct Loans:
There are three types of Federal Direct Loans for graduate students - Direct Subsidized, Direct Unsubsidized and Direct Graduate PLUS. Direct Subsidized/Unsubsidized Loans are borrowed through the federal government and must be repaid.
Direct Subsidized:
- Need based
- Interest deferred until 6 months after graduation or 1 month after withdrawing from school
- Must be enrolled at least half-time
- Loan rate fixed at 6.8%
- Loan fee: 0.5%*
- Amount available: Up to $8,500
- Will no longer be available after the 11-12 academic year
Direct Unsubsidized:
- Non-need based
- Interest begins upon disbursement
- Must be enrolled at least half-time
- Interest rate fixed at 6.8%
- Loan fee: 0.5%*
- Amount available: Up to $20,500 (minus any direct subsidized loan)
To Apply:
Step One: Complete the Free Application for Federal Student Aid (FAFSA) and respond to any requests for additional documents.
Step Two: Accept your loans via WebAdvisor or by signing your award letter and sending it to the Financial Aid Office.
Step Three: Complete Loan Entrance Counseling and sign a Master Promissory Note.
Step Four: Follow the education plan set up with your advisor and only enroll in courses required for your degree.
*There is a loan fee of 1.5% of the principal amount charged for each Direct Subsidized/Unsubsidized Loan that you borrow. The total fee is reduced to 0.5% due to an “up front” interest rebate equal to 1.0% of the principal amount.
Direct Graduate PLUS Loan:
Direct Graduate PLUS Loans are borrowed through the federal government and must be repaid. Graduate students with good credit ratings may be eligible to borrow funds from this program to meet their educational costs. The amount typically offered is the same as for the non-federal alternative loan program. The interest rate is 7.9%. The loan fee is 2.5% (There is a loan fee of 4% of the principal amount charged for each Direct Graduate PLUS Loan that you borrow. The total fee is reduced to 2.5% due to an “up front” interest rebate equal to 1.5% of the principal amount).
To Apply:
Step One: Complete the Free Application for Federal Student Aid (FAFSA) and respond to any requests for additional documents.
Step Two: Accept your loans via WebAdvisor or by signing your award letter and sending it to the Financial Aid Office.
Step Three: First-time borrowers applying for a Direct Graduate PLUS Loan will be required to complete Graduate Loan Entrance Counseling. In addition, all borrowers must complete a PLUS Application and sign a Master Promissory Note before loans are disbursed.
Step Four: Follow the education plan set up with your advisor and only enroll in courses required for your degree.
