Federal Direct Subsidized Loans


Federal Student loans are funded through the federal government.  To receive a federal loan, you must first fill out the Free Application for Federal Student Aid (FAFSA) https://studentaid.gov/. For the on-line application and  more information log on to https://studentaid.gov/.

Depending on the student’s financial need, you may borrow subsidized money for an amount up to the annual loan-borrowing limit. Students must demonstrate financial need to apply for a subsidized loan. If you are eligible for a subsidized loan, the government will pay the interest while you are in school.

 

LOAN LIMITS

The Federal Subsidized and Unsubsidized Loan programs carry both annual and cumulative (lifetime) limits. Your SAR (Student Aid Report) lists your cumulative loans, but it is important that you also keep records of all your loan transactions. You can also look up your loan history online at: https://studentaid.gov/.

Direct Loan Maximums 

Student Level
& Dependency Status

Maximum (subsidized and unsubsidized)

Maximum Subsidized

Dependent freshman

$5,500

$3,500

Dependent sophomore

$6,500

$4,500

Dependent junior or senior

$7,500

$5,500

Independent freshman

$9,500

$3,500

Independent sophomore

$10,500

$4,500

Independent junior or senior

$12,500

$5,500

Graduate/professional

$20,500

0

 

 

Lifetime limits

Student Level
& Dependency Status

Maximum(subsidized and unsubsidized)

Maximum Subsidized

Dependent undergraduate

$31,000

$23,000

Independent undergraduate

$57,500

$23,000

Graduate/Professional

$138,500*

$65,500*

     

*The graduate debt limit includes loans received for undergraduate study prior to July 1, 2012.

If you reach your lifetime loan limit, you cannot receive any more of that type of loan. If you exceed your limit, aid already disbursed will be returned to the lender or may have to be repaid by you. We encourage that you borrow only what you need for educational expenses, and to keep track of your cumulative debt. If you need additional loan funding to assist you with continuing your education, alternative lending may be an option.