Borrowing limits for each academic year depend on your class level:
$5,500 Freshmen (maximum $3,500 may be subsidized)
$6,500 Sophomores (maximum $4,500 may be subsidized)
$7,500 Juniors/Seniors (maximum $5,500 may be subsidized)
$20,500 Graduate Students, all in unsubsidized loans
0% interest rate while enrolled in college at least half-time level, and during a six month grace period after you leave school
4.66% interest rate during repayment for undergraduate loans.
Direct unsubsidized loans have a 4.66% fixed interest rate.
Each loan disbursement on or after July 1, 2012 will have a net fee of 1.073% deducted from each disbursement.
No credit check is required. If you are not in default on a prior educational loan, do not owe a repayment of federal grant funds, and meet federal aid eligibility requirements, you will be approved to borrow Federal Direct Loans.
NOTE: Once you are approved for a loan, it is very important to recognize that the loan dollars will not be disbursed to you until you electronically complete both Entrance Counseling and sign the Master Promissory Note (MPN). Both of these can be completed by visiting www.studentloans.gov. You will need to have your Personal Identification Number (PIN) and your Social Security Number available to complete this process. Your PIN was assigned to you when you filed your FAFSA. If you have forgotten it, you may retrieve it by visiting www.pin.ed.gov.
No payment is required while you are enrolled at least half-time. Repayment begins six months after graduation or if you drop below half-time status. The standard repayment is ten years. You can apply for an additional deferment of payments if you enroll in graduate school at least half-time, additional information can be found by visiting www.studentloans.gov