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Federal Student Loans

Federal student loans tend to have lower interest rates and flexible repayment options, so many students choose them first.

Federal student loans include:

• Direct Subsidized Loans
  These are available to undergraduate students who demonstrate financial need. The federal government pays the interest while you’re in school at least half time.
• Direct Unsubsidized Loans
  These are available to undergraduate and graduate students regardless of financial need. You are responsible for the interest from the time the loan is disbursed.

Federal loan amounts are determined by annual limits and your cost of attendance.

How to Apply for Loans

Federal student loan applications require a few steps.

1. Complete the , every year.
2. Review your financial aid offer in to see if loans are included and what amounts you’re eligible for.
3. Accept the loans you want in and complete any entrance counseling that may be required before you can receive the loans.
4. Complete a for federal loans; you must complete the MPN before your funds can be released.

Loan Counseling – What You Need to Know

Federal student loans require entrance counseling before your first disbursement. This is an online session that explains:

• Your loan terms
• How interest works
• Your repayment responsibilities
• What happens if you drop below half-time enrollment

You must complete entrance counseling before your loan funds can be released.

Loan Types and Options

Federal Direct Loan Details

Federal Direct Loans include both subsidized and unsubsidized loans. These loans are funded by the federal government with terms set by federal law.

This section covers:

• Who can borrow
• Estimated limits
• Interest rate basics
• Repayment rules

Federal Direct Loans are normally the first option for students because of lower cost and federal protections.

For details on annual loan limits and eligibility, refer to .

PLUS Loans for Parents and Graduate Students

PLUS Loans are federal loans that:

• Parents of dependent undergraduate students may borrow approved loan amounts to help cover education costs not met by other aid
• Graduate or professional students may borrow approved loan amounts

PLUS Loans require a credit check. The terms and interest rates for PLUS loans are different from those of direct subsidized and unsubsidized loans.

Private (Alternative) Loans

Some banks and other lenders offer private loans.

Things to know:

• Interest rates and repayment terms will depend on the lender
• Some require a credit check and co-signer
• They are not part of federal loan programs

If you consider private loans, compare offers carefully and talk with a financial aid advisor first.

Loan Repayment Overview

You must repay loans after you leave school or drop below half-time enrollment unless you qualify for a deferment or other relief option.

There are a few common repayment plans for federal loans, including:

• Standard repayment – fixed monthly payments over 10 years
• Income-driven repayment – monthly payments based on your income
• Graduated repayment – lower initial payments that increase over time

Your loan servicer determines repayment details after you enter repayment.

Things to Know About Loans

Loan Terms and Timing

• Loan funds are usually credited to your Florida Atlantic account after the term starts.
• You generally start repayment after you graduate, withdraw or drop below half time.
• Interest accrues (adds up) from the time the loan is disbursed.

Specific loan timelines and requirements are different for each loan type.

Staying Informed and Responsible

Borrow only what you need. Loans are real financial commitments that affect your future. To stay on track:

• Review your loan details in
• Understand your interest rates and fees
• Plan for repayment before you leave school
• Contact your loan servicer with questions

Getting help early can prevent repayment problems later.