Types of Federal Student Loans

William D. Ford Federal Direct Loan Program

General Eligibility:

  • U.S. citizen or eligible non-citizen
  • Minimum half-time enrollment (6 or more credit hours) 

Direct Stafford Unsubsidized Loan:

This is a non-need based loan with interest starting to accrue upon disbursement. Student has option to postpone payment of interest which is then capitalized (added to principal balance).

Continued Eligibility:

You must make satisfactory academic progress to continue receiving loans and financial aid. Please refer to the satisfactory academic progress policy for further information.

Interest and Fees:

Interest fixed at 5.84% (for new federal direct student loan disbursements) 

Loan fee of 1.073% of the principal amount charged for each Direct Loan that that is disbursed on or after 10/1/14 or before 10/1/15.  Loans that are disbursed on or after 10/1/15 and before 10/1/16 will be charged a fee of 1.068%. 

Repayment:

Six months after you graduate or drop below half-time unless you have previously used your grace period. Standard repayment is ten years.

Federal Direct Graduate PLUS Loan

General Eligibility:

  • Apply for the maximum amount of Direct Stafford loan
  • You must be a U.S. citizen or eligible non-citizen and have a valid Social Security number.
  • You must meet basic eligibility requirements. If you cannot meet the requirements, you may be eligible if you have a creditworthy endorser/cosigner.

Continued Eligibility:

You must make academic progress to continue receiving loans and financial aid. Please refer to the satisfactory academic progress policy for further information.

Amount:

You may borrow up to the cost of attendance, minus any other aid, scholarship or loans.

Interest and Fees:

Fixed at 6.84%

The 4% loan fee is reduced to 2.5 percent due to an "up front" rebate equal to 1.5 percent of the principal amount.

Repayment:

Begins within 60 days of the last disbursement. Option to postpone payment is available while the student is in school at least half-time.

Detailed information is available at www.studentaid.ed.gov.

 

For more information, please contact TJ Snowden, Director of Financial Aid, at financialaid@iwp.edu or 202-462-2101.