Federal Direct Loans

General Information

The lender is the U.S. Department of Education. To apply for a Direct Loan, you must complete and submit the Free Application for Federal Student Aid (FAFSA). There are two types:

Federal Direct Subsidized Loan Federal Direct Unsubsidized Loan*

Based on financial need. Interest is paid by the government while you are enrolled at least half-time and during grace periods of deferment.

Only Undergraduate students are eligible for subsidized loans.

First-time borrowers taking out a Direct subsidized loan on or after July 1, 2013 are subject to the 150% Direct Subsidized Loan Limit, which limits the amount of time a student is eligible to borrow subsidized loans to 150% of their published program length (for example, 6 years for a 4 year program). Once you reach the time limit, you are no longer eligible to receive additional Direct subsidized loans and your outstanding loans will begin accruing interest. You may continue to receive Direct unsubsidized loans if otherwise eligible.

Not based on financial need. Interest begins to accrue within 60 days of disbursement.

Graduate students are only eligible for unsubsidized loans.

*Graduate students are only eligible for unsubsidized loans.

You must accept your loans in OASIS. If this is your first time receiving a Direct Loan, you will be required to complete Entrance Counseling and the Master Promissory Note (MPN) at https://studentloans.gov.

Visit the National Student Loan Data System (NSLDS) to access and monitor all of your federal loan information, including contact information for your loan servicers.