Federal Direct Loans
Students must complete and submit a FAFSA application every year if they want to be considered for a Federal Direct Loan (or student loan). There are two types of loans that are available to students known as the Federal Subsidized Direct Loan and the Federal Direct Unsubsidized Loan.
Federal Direct Subsidized Loan
The Federal Direct Subsidized Loan is a loan program for eligible undergraduate students who demonstrate financial need. The U.S. Department of Education pays the interest on a Direct Subsidized Loan while the student is enrolled in school at least half-time.
Federal Direct Unsubsidized Loan
The Federal Direct Unsubsidized Loan is a loan program for eligible undergraduate students that do not demonstrate financial need. Unlike other federal loans, interest accrues while the student is attending school.
Federal Direct Loan Requirements
Students receiving a subsidized or unsubsidized Federal Direct Loan will be required to complete an online entrance counseling session and a master promissory note. Students will also be required to complete an annual Student Loan Acknowledgment before loan funds can be issued to the student.
An exit counseling requirement must also be met once a student loan recipient graduates or withdraws from the school.Failure to complete this requirement may result in a delay in receiving a transcript or diploma.
Repayment of a Federal Direct Loan begins six months after graduation or six months after enrollment drops below 6 credits or less than time for undergraduate students.
Student loan requirements can be met by going to https://studentaid.gov/understand-aid/types/loans/subsidized-unsubsidized. Please note that electronic notices will be sent to the school upon completion of each requirement.