Federal Direct Loans

Federal Direct Subsidized Loan

Sponsor: U.S. Department of Education, 1-800-557-7394.
Amount: Up to $3,500 Freshman, $4,500 Sophomore, $5,500 Junior and Senior.  (NOTE : Effective July 1, 2012 the Subsidized Loan is no longer available to graduate students.)
Interest: 3.76%.  Based on 10-year Treasury bond yield plus 2.05 percent. Interest rate not to exceed 8.25%.
Repayment
Term:
Standard: 10 years. Many other options are available: see Federal Student Aid .
Fees: An origination fee of 1.069% will be deducted from each disbursement for loans first disbursed on or after October 1, 2016 and before October 1, 2017.
Eligibility: Student must maintain at least half-time enrollment status (i.e. at least 6 credits/points or, for graduate students, half-time equivalency as approved by their academic department) in each enrolled semester and meet basic eligibility requirements.
Deferral: Principal and interest*. Repayment begins six months after graduation or when the student falls below half-time status.

* For new Subsidized Loans, the interest subsidy during the six-month grace period is eliminated for students who fall below half-time status. 

Federal Direct Unsubsidized Loan

Sponsor: U.S. Department of Education, 1-800-557-7394.
Amount: DEPENDENT STUDENTS: Up to $5,500 Freshman, $6,500 Sophomore, $7,500 Junior/Senior. (All amounts minus any subsidized loan.) Additional unsubsidized amounts may be available if your parent is credit denied for a Plus Loan. INDEPENDENT STUDENTS: Up to $9,500 Freshman, $10,500 Sophomore, $12,500 Junior/Senior, $20,500 Graduates, $40,500 Graduates in health professions. (All amounts minus any subsidized loan.)
Interest: 3.76% for undergraduate students, 5.31% for graduate students. Based on 10-year Treasury bond yield plus 2.05 percent (for undergraduate students) and 10-year Treasury bond yield plus 3.60 percent (for graduate students). Interest rate not to exceed 8.25% (for undergraduate students) and 9.50% (for graduate students).
Repayment
Term:
Standard: 10 years. Many other options are available: see Federal Student Aid .
Fees: An origination fee of 1.069% will be deducted from each disbursement for loans first disbursed on or after October 1, 2016 and before October 1, 2017.
Eligibility: Student must maintain at least half-time enrollment status (i.e. at least 6 credits/points or, for graduate students, half-time equivalency as approved by their academic department) in each enrolled semester and meet basic eligibility requirements.
Deferral: Principal only. Interest may be capitalized. Repayment begins six months after graduation or when the student falls below half-time status.

Federal Direct PLUS Loan

Sponsor: U.S. Department of Education, 1-800-557-7394.
Amount: Up to the full cost of education, minus other financial aid received.
Interest: 6.31%. Based on 10-year Treasury bond yield plus 4.60 percent. Interest rate not to exceed 10.50%.
Repayment
Term:
Standard: 10 years. Many other options are available: see Federal Student Aid .
Fees: An origination fee of 4.276% will be deducted from each disbursement for loans first disbursed on or after October 1, 2016 and before October 1, 2017.
Eligibility: Student must maintain at least half-time enrollment status (i.e. at least 6 credits/points or, for graduate students, half-time equivalency as approved by their academic department) in each enrolled semester and meet basic eligibility requirements.
Deferral: Principal only. Interest may be capitalized.  To apply for an in-school deferment, Direct Parent PLUS borrowers should call the Direct Loan Student Loan Support Center at 1-800-557-7394.