Federal Direct Loans

Important Update Scotus Blocks Biden-Harris Administration’s Student Debt Relief Cancellation Program. 

The U.S. Supreme Court on Friday, June 30, 2023, ruled in favor of a challenge to President Joe Biden’s student loan debt cancellation program, halting the administration from carrying out its executive action that would cancel up to $20,000.00 in federal student loan debt for eligible borrowers. 

Students and borrowers can learn more about the program via the Frequently Asked Questions on the Federal Student Aid Biden-Harris Administration’s Student Debt Relief Plan explainer page. We encourage borrowers to sign up on the Department of Education subscription page to receive notification when more details are released. 


Federal Direct Loan Payments Will Restart in September 2023
Congress passed a law preventing further extensions of the Federal Direct Loan payment pause and 0% interest period on borrowed Federal Direct Loans. Student loan interest will resume starting on Sept. 1, 2023, and payments will be due starting in October.  

Student borrowers can learn more about preparing for payments to restart at studentaid.gov.

Did you know you can borrow less than your total loan offer?

A little math now can save you hundreds or thousands of dollars later! Wise borrowing means knowing how to figure out how much you need to borrow to cover your expenses and borrowing only that amount. Take a look at this budget example to help you think about your own budgeting process.

Federal Direct Subsidized Loan

A Federal Direct Subsidized Loan is a low-interest, need-based loan with flexible repayment options.

Am I Eligible?

This loan is available to undergraduate students who meet basic eligibility requirements.
The U.S. Department of Education pays the interest on a Direct Subsidized Loan:

  • While you’re in school at least half-time
  • For the first six months after you leave school (referred to as a grace period)*
  • During a period of deferment (a postponement of loan payments)

*Note: If you received a Direct Subsidized Loan that was first disbursed between July 1, 2012, and July 1, 2014, you will be responsible for paying any interest that accrues during your grace period. If you choose not to pay the interest that accrues during your grace period, the interest will be added to your principal balance.

See more information about eligibility requirements, interest and fees, repayment option and the latest federal student aid updates.

Federal Direct Unsubsidized Loan

A Federal Direct Unsubsidized Loan is a non-need based, low-interest loan with flexible repayment options. It is available to both undergraduate and graduate students.

The Department of Education has information about eligibility, borrowing limits, interest and fees, repayment information, and the latest federal student aid updates.

Helpful Tips

After you receive your official financial aid offer, you can work on completing loan requirements. To begin, you should: