icon of a paper next to Apply online text
open door next to gray writing "Visit"
Small icon next to white bg says "Give"

Federal Loan Opportunities

Federal Loan Options

Federal Direct Subsidized Loan

  • long-term federal student loan that must be repaid
  • fixed interest rate for Direct Subsidized Loans for undergraduates with a first disbursement date between July 1, 2014  and June 30, 2015 is 4.66%
  • federal government pays the interest on subsidized loans while the student is enrolled in school and during the six-month grace period after graduation or withdrawal from school
  • available to students who demonstrate financial need
  • origination fee for all loans first disbursed on or after December 1, 2013 and before October 1, 2014: 1.072%
  • origination fee for loans first disbursed on or after October 1, 2014 and before October 1, 2015: 1.073%
  • annual loan limits are based on credits earned:
    $3,500, 0-29.99 credits;
    $4,500, 30-59.99 credits;
    $5,500, 60+ credits;
  • first time borrowers must complete Direct Loan Entrance Counseling and Master Promissory Note at https://studentloans.gov/myDirectLoan/index.action

Federal Direct Unsubsidized Loan

  • long-term federal student loan that must be repaid
  • allows all students, regardless of need, to obtain a federal student loan
  • fixed interest rate for Direct Unsubsidized Loans for undergraduate students is 4.66%
  • fixed interest rate for Direct Unsubsidized Loans for graduate/professional students is 6.21%
  • interest accrues during in-school and deferment periods which may be paid or capitalized (added to principle at beginning of repayment)
  • origination fee for all loans first disbursed on or after December 1, 2013 and before October 1, 2014: 1.072%
  • origination fee for loans first disbursed on or after October 1, 2014 and before October 1, 2015: 1.073%
  • students who are independent or who are dependent and whose parents are denied a Federal Direct PLUS Loan, may borrow additional amounts up to:
    $4,000, for each of the freshman and sophomore years;
    $5,000, for each of the junior and senior years;
    $20,500 for the graduate years
  • combination of all financial aid and outside resources cannot exceed cost of attendance
  • first time borrowers must complete Direct Loan Entrance Counseling and Master Promissory Note at https://studentloans.gov/myDirectLoan/index.action

Federal Direct PLUS Loan

  • federal credit-based loan administered by the U.S. Department of Education
  • available through UMD to parents of undergraduate, dependent students
  • annual loan limit is the cost of education minus any aid received (or eligible for)
  • fixed interest rate of 7.21%
  • origination fee for all loans first disbursed on or after December 1, 2013 and before October 1, 2014: 4.288%
  • origination fee for loans first disbursed on or after October 1, 2014 and before October 1, 2015: 4.292%
  • repayment begins 60 days after second disbursement
  • may defer repayment of Direct PLUS Loans while the student for whom the loan was obtained is enrolled at least half-time, and for an additional 6 months after the student graduates or drops below half-time enrollment. You must separately request each deferment period.
  • Federal Direct Parent PLUS Loan Application Process (PDF)
  • Federal Direct Parent PLUS Loan Requirements

Federal Direct Graduate PLUS Loan

  • federal credit-based loan administered by the U.S. Department of Education
  • available through UMD to graduate students
  • annual loan limit is the cost of education minus any aid received (or eligible for)
  • fixed interest rate of 7.21%
  • origination fee for all loans first disbursed on or after December 1, 2013 and before October 1, 2014: 4.288%
  • origination fee for loans first disbursed on or after October 1, 2014 and before October 1, 2015: 4.292%
  • repayment begins 60 days after second disbursement but students may apply for an in-school deferment
  • student must submit a Federal Direct PLUS Loan for Graduate Students Pre-Application to Financial Aid Services to start the application process:

Federal Direct Graduate PLUS Loan Application

 

 

 

QuickLinks

x

+