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Undergraduate Loans

Alkek Library

While Stafford (William D. Ford Federal Direct) Loans must eventually be repaid, they can provide you with the funds needed to finance your higher education. Direct Loans are offered at relatively low interest rates and with good repayment arrangements. Before you take out a loan, be sure to develop a budget to make sure you borrow only what you need. For more student loan information (interest rates, repayment and more), visit the Department of Education. First-time borrowers will be required to complete entrance counseling and a master promissory note (MPN).

Difference between subsidized and unsubsidized
Annual loan limits
Aggregate loan limits

Difference between subsidized and unsubsidized

If you are borrowing a Direct Loan, you may be awarded a subsidized or unsubsidized loan depending on your financial need.


Types of Direct Loans
Type Basis of Award
Subsidized Student has financial need.
Unsubsidized Student does not have financial need.

If you are awarded a subsidized loan, interest will not accrue on your loan while you are enrolled at least half-time. If you are awarded an unsubsidized loan, you will be responsible for the interest while in school. You will receive quarterly interest statements on your unsubsidized loan from your lender. It is recommended that you pay this interest every quarter. If you do not, the interest will be added to your loan amount, which will result in your paying interest upon interest. For current interest rate information, visit

If you are a first-time borrower on or after July 1, 2013, you may not receive Direct Subsidized Loans for more than 150 percent of the published length of your program. For more information on the maximum eligibility period for Direct Subsidized Loans, visit


Annual Loan Limits - Dependent Undergraduates
Classification Subsidized Unsubsidized Total
First Year $3,500 $2,000 $5,500
Second Year $4,500 $2,000 $6,500
Third and Fourth Year $5,500 $2,000 $7,500
Annual Loan Limits - Independent Undergraduates*
Classification Subsidized Unsubsidized Total
First Year $3,500 $6,000 $9,500
Second Year $4,500 $6,000 $10,500
Third and Fourth Year $5,500 $7,000 $12,500

*Includes students whose parents are unable to borrow under the PLUS (parent loan) program.


Aggregate Loan Limits
Student Type Subsidized Unsubsidized Total
Dependent Undergraduates $23,000 $8,000 $31,000
Independent Undergraduates $23,000 $34,500 $57,500



You must begin repayment of your student loan, once you:

  • Withdraw from school
  • Drop below half-time status (fewer than 6 hours during a long semester)
  • Graduate


Last Day to Request Loans

Fall - November 15
Spring - April 15
Summer - July 15