Federal Student Loan Programs
All federal student loans have fixed interest rates (effective July 1, 2006) and are cancelable in the case of death or permanent disability and under other specific circumstances. They carry no penalty for prepayment, offer a number of deferment options and provide flexible repayment terms (including income-driven plans).
IMPORTANT: As a result of the One Big Beautiful Bill Act (OBBBA) that was signed into law on July 4, 2025 through the budget reconciliation process, all Federal Direct Loans for periods of enrollment beginning on or after July 1, 2026 are pro-rated based on the student's enrollment. Only students enrolled full-time will be eligible for the maximum loan amount.
Federal Direct Unsubsidized Loan Program
Federal Direct Unsubsidized Loans are guaranteed and not based on financial need.
Students who are currently enrolled in a graduate or professional program and who have previously borrowed federal loans prior to July 1, 2026 fall under legacy provisions.
- Graduate students can receive up to $20,500 per academic year. The combined total of Federal Direct Subsidized/Unsubsidized Loans borrowed at the undergraduate and graduate levels may not exceed $138,500.
Students who enroll in a graduate or professional program or who are borrowing Federal Direct Loans for the first time as of July 1, 2026 fall under new loan regulations.
- Graduate students can receive up to $20,500 per academic year. The combined total of Federal Direct Subsidized/Unsubsidized Loans borrowed at the undergraduate and graduate levels may not exceed $100,000.
A Federal Direct Unsubsidized Loan borrower is responsible for payment of the interest that accrues from the date of funds disbursement. Payment of accrued interest is optional while the borrower is in school. Any unpaid interest will be capitalized (added to the principal balance) at the end of the six month grace period when repayment begins. An origination fee is deducted by the U.S. Dept. of Education from each loan disbursement. See the Federal Student Aid website for the current interest rate and origination fee.
Repayment of a Federal Direct Unsubsidized Loan (principle and interest) begins six months after a student is no longer enrolled at least half-time. Before the end of the six month grace period, the student will receive (from their assigned federal loan servicer) a repayment schedule with the amount of their loan debt and information about the various repayment plans.
Visit the Federal Student Aid website for more information regarding the Federal Direct Unsubsidized (Stafford) Loan.
Federal Direct PLUS Loan Program for Graduate/Professional Students
The Graduate PLUS loan program is being eliminated for new borrowers starting July 1, 2026.
Only students who are currently enrolled in a graduate or professional program and who have previously borrowed federal loans prior to July 1, 2026 are eligible for a Federal Direct GradPLUS Loan under the legacy provisions.
The Federal Direct Graduate PLUS Loan is not based on financial need and is subject to credit approval by Federal Student Aid.
A Federal Direct GradPLUS Loan borrower is responsible for payment of the interest that accrues from the date of funds disbursement. Payment of accrued interest is optional while the student is in school. Unpaid interest will be capitalized (added to the loan principal) when repayment begins within 60 days after the final loan disbursement. GradPLUS loans will be placed into in-school deferment for borrowers who are certified by their school to be enrolled at least half-time. No payments are required during in-school deferment.
An origination fee is deducted by the U.S. Dept. of Education from each loan disbursement. See the Federal Student Aid website for the current interest rate and origination fee.
Repayment of the Federal Direct GradPLUS Loan (principle and interest) begins six months after a student is no longer enrolled at least half-time. Before the end of the
Visit the Federal Student Aid website for more information regarding the Federal Direct GradPLUS Loan.