Federal student loans
If you apply for financial aid, you may be offered loans as part of your school’s financial aid offer. A loan is money you borrow and must pay back with interest. Loans currently offered by the federal government include:
| Federal loan program |
Loan details
(subject to change) |
Annual award
(subject to change) |
| Direct Subsidized Loan |
- For undergraduate students who are enrolled at
least half time and demonstrate financial need
- For loans first disbursed on or after July 1, 2017,
and before July 1, 2018, interest rate is 4.45%
- Student is not usually charged interest on the
loan during certain periods of deferment
- The U.S. Department of Education (ED) is the
lender; payment is owed to ED
|
- $3,500–$5,500, depending on grade level and
dependency status
- Annual loan limits:
— Up to $3,500 for first-year undergraduate
— Up to $4,500 for second-year undergraduate
— Up to $5,500 for remaining undergraduate years
- For total lifetime limit, go to studentaid.gov/sub-unsub
|
| Direct Unsubsidized Loan |
- For undergraduate and graduate students who
are enrolled at least half time; financial need is
not required
- For loans first disbursed on or after July 1, 2017,
and before July 1, 2018:
— 4.45% interest rate for undergraduate students,
and
— 6% interest rate for graduate and
professional students
- Student is responsible for interest during all
periods
- ED is the lender; payment is owed to ED
|
- $5,500–$20,500 (less any subsidized amounts received
for same period), depending on grade level and
dependency status
- Annual loan limits:
— Up to $9,500 for first-year undergraduate
(determined by dependency status)
— Up to $10,500 for second-year undergraduate
(determined by dependency status)
— Up to $12,500 for remaining undergraduate years
(determined by dependency status)
— Up to $20,500 for graduate/professional students
- For total lifetime limit, go to studentaid.gov/sub-unsub
|
| Direct PLUS Loan |
- For parents of dependent undergraduate
students and for graduate or professional
students; financial need is not required
- Student must be enrolled at least half time and
must be either a dependent undergraduate
student for whom a parent is taking out a Direct
PLUS Loan or a graduate or professional student
who is receiving a Direct PLUS Loan
- For loans first disbursed on or after July 1, 2017,
and before July 1, 2018, interest rate is 7%
- Borrower must not have negative credit history
- Borrower is responsible for interest during all
periods
- ED is the lender; payment is owed to ED
|
- Maximum amount is cost of attendance minus any other
financial aid student receives; no minimum amount
- For Direct PLUS Loan details and updates, visit
studentaid.gov/plus
|
| Federal Perkins Loan |
- For undergraduate and graduate students
- Eligibility depends on student’s financial need
and availability of funds at the college
- Interest rate is 5%
- College is the lender; payment is owed to the
college that made the loan
|
- Undergraduate students: up to $5,500; graduate and
professional students: up to $8,000
- Total amount may not exceed $27,500 for
undergraduates and $60,000 for graduate students
(including amounts borrowed as an undergraduate)
- For Federal Perkins Loan details and updates, visit
studentaid.gov/perkins
|
Download the Federal student loans document
