Direct Loans

Federal Direct Loans are low interest rate loans that all students can apply for, provided they have filed a FAFSA and meet the criteria to receive federal aid.

As with all loans, Stafford Loans must be repaid with interest. Graduate students can be eligible to receive Unsubsidized Direct Loans. To receive the funds, you must be enrolled at least half-time (3 units).

Financial Need

Not based on need

Limits

Cannot exceed the Federal Direct Loan annual limits noted below.

Interest

Interest rates are fixed at 6.8%. You are responsible for paying all the interest while in school and after graduating or dropping below half-time enrollment. You can allow the interest to accumulate while you are in school and during the grace period. If you do, the interest will be capitalized immediately at the time of repayment. The capitalized interest will be added to the principal balance. It is to your advantage to pay the interest while in college; you will pay less in the long run.  

Fees

Loan origination fee is 1.051%.

Repayment

Begins six months after you graduate, withdraw or cease to be enrolled at least half-time (3 units).  The loan repayment period is 10 years, but may change depending on the loan repayment program you choose or if you make more than the minimum payment.

*You are not required to borrow the full amount for which you are eligible; borrow conservatively to minimize indebtedness.

*Please note that once awarded a federal loan, students still need to accept their loan in order for it to be credited to their student account.

Annual Loan Limits

The maximum amount that Graduate/Professional students can borrow in Direct Unsubsidized loans is $20,500 for each year.

Aggregate Loan Limits

The maximum lifetime total that you can borrow for Direct Unsubsidized and Subsidized loans combined is $138,500 for Graduate/Professional students.