William D. Ford Federal Direct Subsidized Loan for undergraduate students

Eligibility Criteria

  1. Enrolled at least half-time
  2. Not in default on another student loan
  3. Must show financial need
  4. U.S. citizen or eligible non-citizen
  5. Maintain Satisfactory Academic Progress

Amounts and selection process

The exact amount will vary depending on financial need.

Annual Federal Direct subsidized Loan amounts

 

Undergraduate (dependent/independent), first year

$3,500

Undergraduate (dependent/independent), second year

$4,500

Undergraduate (dependent/independent), third year

$5,500

Undergraduate (dependent/independent), fourth year

$5,500

Cumulative Federal Direct subsidized Loan amounts (over 4 years)

 

Undergraduate (dependent/independent)

$23,000

Terms

For the 2021-22 academic year, the interest rate will be a fixed rate of 3.73 percent. No interest* accrues while the student is enrolled at least half-time. Standard repayment period is 10 years. A net 1.057 percent processing fee is deducted from the loan proceeds when the funds are disbursed. 

Repayment begins six months after the last date of half-time enrollment.

Application Process

  1. File the Free Application for Federal Student Aid (FAFSA)
  2. Eligible students will be notified to accept the Federal Direct Loan on CheckMarq
  3. Federal regulations require first-time borrowers to complete entrance counseling and a Master Promissory Note (MPN) before disbursement of funds

Repayment begins six months after the last date of half-time enrollment.

Renewal Process

Award is renewed only if all necessary forms are filed each year and students continue to meet eligibility requirements. Students may not be required to complete entrance counseling and MPN if these requirements were previously completed.