A Federal Direct Unsubsidized Loan is available to you through the William D. Ford Federal Direct Loan Program. It isn’t based on your financial need.
Borrowing & Interest Rates
The total amount that you can borrow in a Federal Direct Unsubsidized Loan cannot exceed your Estimated Cost of Attendance minus other aid received. In addition, the total Federal Direct Subsidized Loan and Federal Direct Unsubsidized Loan cannot exceed your annual maximum loan limit.
The interest rate on loans borrowed by undergraduate students between July 1, 2022 and June 30, 2023 is 4.99%, and the interest rate for graduate students is 6.54%. The interest rate on loans borrowed by undergraduate students between July 1, 2023 and June 30, 2024 is 5.50%, and the interest rate for graduate students is 7.05%. The loan origination fee for loans borrowed after October 1, 2020 and before September 30, 2024 will be 1.057%, and will be deducted from your loan at time of disbursement.
You’re charged interest on this loan from the time the loan is disbursed until it is paid in full. If the interest is allowed to accumulate, the interest will be added to the principal amount of the loan and increase the amount to be repaid.
How to Apply
To apply for a Federal Direct Unsubsidized Loan, you must complete the FAFSA. To be eligible, you must be enrolled for at least 6 hours per semester. If you’re eligible for a Federal Direct Unsubsidized Loan, it will be included on your Financial Aid Notification.
How to Accept, Reduce, or Decline Your Loan Offer
You can accept or decline a Federal Direct Unsubsidized Loan on your electronic Financial Aid Notification by selecting “Accept” or “Decline” in the dropdown box on the Financial Aid Notification Accept/Decline Awards page.
You can reduce your loan by selecting “Accept” in the dropdown box and entering a lower award amount in the “Partial Accept” field. If you wish to request loan changes, you should “Request Changes” on the Financial Aid Notification Information Request page.
A Direct Loan Master Promissory Note and Entrance Counseling session is required for Federal Direct Loans before the loan funds will be disbursed. In most cases, you’ll only be required to complete one master promissory note and one entrance counseling session during your college career.