Federal Direct Loans

Federal Direct Subsidized Loan

The Federal Direct Subsidized Loan has more favorable terms to help out students with financial need. The U.S. Department of Education pays the interest on a Direct Subsidized Loan while a student is in school at least half-time, for the first six months after a student leaves school (referred to as a grace period), and during a period of deferment (a postponement of loan payments). Direct Subsidized Loans are available only to undergraduate students who have financial need.

Federal Direct Unsubsidized Loan

For a Federal Direct Unsubsidized Loan, the student is responsible for paying the interest on the loan during all periods. If a student chooses not to pay the interest while in school or during grace periods, deferment or forbearance periods, the interest will accrue (accumulate) and be capitalized (interest will be added to the principal amount of your loan).  Federal Direct Unsubsidized Loans are available to both undergraduate students, graduate students or professional degree students. Students are not required to show financial need to receive a Federal Direct Unsubsidized Loan.

Borrowing Amounts and Loan Limits

Annual Limits

Grade Level (credits)

Base Amount*

Additional Unsubsidized

Total (Independent)

Dependent Students

Independent Students

Freshmen (0-29)

$3,500

$2,000

$6,000

$5,500 ($9,500)

Sophomores (30-59)

$4,500

$2,000

$6,000

$6,500 ($10,500)

Juniors (60-89)

$5,500

$2,000

$7,000

$7,500 ($12,500)

Seniors (90+)

$5,500

$2,000

$7,000

$7,500 ($12,500)

Undergraduate students who do not qualify for need based assistance may be offered all or portion of their Base Amount in an Unsubsidized loan.

In addition to the annual limits, students are also subject to aggregate (total lifetime) limits.  The following are the aggregate limits for undergraduate students.  Note that loans borrowed for graduate programs are not included in the total undergraduate loans borrowed.

Undergraduate Aggregate Federal Loan Limits

Dependency Status

Maximum Subsidized

Total Limit

Dependent Undergraduate

$23,000

$31,000

Independent Undergraduate
and dependent students with PLUS denial

$23,000

$57,500

150% Direct Subsidized Loan Limits

New borrowers after July 1, 2013 are subject to limits on Subsidized loans that are relative to the length of the student’s academic program. For example a student in a 4 year bachelor’s degree program has a maximum of 6 years (150% of the program length) of subsidized loan eligibility. If after the 150% point in time, the student is still in school, the interest subsidy will end for all outstanding subsidized loans disbursed after July 1, 2013. Although repayment does not begin when a student is enrolled at least half time, the student will be responsible for interest accumulation from that point forward. For more information about this limit and its impacts please refer to the following: https://studentloans.gov/myDirectLoan/images/DirectSubsidizedLoanTimeLimitation.pdf.

Federal Loan Interest Rates

DISBURSEMENT
DATES
UNDERGRADUATE
SUB AND UNSUB
GRADUATE
SUBSIDIZED
GRADUATE
UNSUBSIDIZED
GRADUATE AND
PARENT PLUS 

PERKINS
07/01/16 - 06/30/17 3.76% N/A 5.31% 6.31% 5.0%
07/01/15 - 06/30/16 4.29% N/A 5.84% 6.84% 5.0%
07/1/14 – 06/30/15 4.66% N/A 6.21% 7.21% 5.0%
07/1/13– 06/30/14 3.86% N/A 5.41% 6.41% 5.0%
07/1/12– 06/30/13 3.40% N/A 6.80% 7.90% 5.0%
07/1/11– 06/30/12 3.40% 6.80% 6.80% 7.90% 5.0%
07/1/10– 06/30/11 4.50% 6.80% 6.80% 7.90% 5.0%
07/1/09– 06/30/10 5.60% 6.80% 6.80% 7.90% 5.0%
07/1/06– 06/30/09 6.80% 6.80% 6.80% 7.90% 5.0%

 

Entrance Counseling / Promissory Note

All first-time loan borrowers and students who have not borrowed a Federal Direct Subsidized or Unsubsidized Loan within the last 10 years will be required to complete a Subsidized/Unsubsidized MPN (Master Promissory Note) on the Federal Student Loans website before the loan funds will disburse to the student's University account. Additionally, Entrance Counseling must also be submitted on the above website if not previously completed.

Exit Counseling

Students who have borrowed Federal Direct Loans at GW are required to complete Exit Counseling when they graduate, leave the University or drop below half-time enrollment. Exit Counseling provides students with pertinent information regarding their rights and responsibilities as a student loan borrower, knowledge on repayment options and provisions, details on deferment and forbearance and useful financial planning tools to manage your student loans successfully. Exit Counseling can be completed on the Federal Student Loan website.

Federal Direct Subsidized Loan

The Federal Direct Subsidized Loan has more favorable terms to help out students with financial need. The U.S. Department of Education pays the interest on a Direct Subsidized Loan while a student is in school at least half-time, for the first six months after a student leaves school (referred to as a grace period), and during a period of deferment (a postponement of loan payments). Direct Subsidized Loans are available only to undergraduate students who have financial need.

Federal Direct Unsubsidized Loan

For a Federal Direct Unsubsidized Loan, the student is responsible for paying the interest on the loan during all periods. If a student chooses not to pay the interest while in school or during grace periods, deferment or forbearance periods, the interest will accrue (accumulate) and be capitalized (interest will be added to the principal amount of your loan).  Federal Direct Unsubsidized Loans are available to both undergraduate students, graduate students or professional degree students. Students are not required to show financial need to receive a Federal Direct Unsubsidized Loan.

Borrowing Amounts and Loan Limits

Annual Limits

Grade Level (credits)

Base Amount*

Additional Unsubsidized

Total (Independent)

Dependent Students

Independent Students

Freshmen (0-29)

$3,500

$2,000

$6,000

$5,500 ($9,500)

Sophomores (30-59)

$4,500

$2,000

$6,000

$6,500 ($10,500)

Juniors (60-89)

$5,500

$2,000

$7,000

$7,500 ($12,500)

Seniors (90+)

$5,500

$2,000

$7,000

$7,500 ($12,500)

Undergraduate students who do not qualify for need based assistance may be offered all or portion of their Base Amount in an Unsubsidized loan.

In addition to the annual limits, students are also subject to aggregate (total lifetime) limits.  The following are the aggregate limits for undergraduate students.  Note that loans borrowed for graduate programs are not included in the total undergraduate loans borrowed.

Undergraduate Aggregate Federal Loan Limits

Dependency Status

Maximum Subsidized

Total Limit

Dependent Undergraduate

$23,000

$31,000

Independent Undergraduate
and dependent students with PLUS denial

$23,000

$57,500

150% Direct Subsidized Loan Limits

New borrowers after July 1, 2013 are subject to limits on Subsidized loans that are relative to the length of the student’s academic program. For example a student in a 4 year bachelor’s degree program has a maximum of 6 years (150% of the program length) of subsidized loan eligibility. If after the 150% point in time, the student is still in school, the interest subsidy will end for all outstanding subsidized loans disbursed after July 1, 2013. Although repayment does not begin when a student is enrolled at least half time, the student will be responsible for interest accumulation from that point forward. For more information about this limit and its impacts please refer to the following: https://studentloans.gov/myDirectLoan/images/DirectSubsidizedLoanTimeLimitation.pdf.

Federal Loan Interest Rates

DISBURSEMENT
DATES
UNDERGRADUATE
SUB AND UNSUB
GRADUATE
SUBSIDIZED
GRADUATE
UNSUBSIDIZED
GRADUATE AND
PARENT PLUS 

PERKINS
07/01/16 - 06/30/17 3.76% N/A 5.31% 6.31% 5.0%
07/01/15 - 06/30/16 4.29% N/A 5.84% 6.84% 5.0%
07/1/14 – 06/30/15 4.66% N/A 6.21% 7.21% 5.0%
07/1/13– 06/30/14 3.86% N/A 5.41% 6.41% 5.0%
07/1/12– 06/30/13 3.40% N/A 6.80% 7.90% 5.0%
07/1/11– 06/30/12 3.40% 6.80% 6.80% 7.90% 5.0%
07/1/10– 06/30/11 4.50% 6.80% 6.80% 7.90% 5.0%
07/1/09– 06/30/10 5.60% 6.80% 6.80% 7.90% 5.0%
07/1/06– 06/30/09 6.80% 6.80% 6.80% 7.90% 5.0%

 

Entrance Counseling / Promissory Note

All first-time loan borrowers and students who have not borrowed a Federal Direct Subsidized or Unsubsidized Loan within the last 10 years will be required to complete a Subsidized/Unsubsidized MPN (Master Promissory Note) on the Federal Student Loans website before the loan funds will disburse to the student's University account. Additionally, Entrance Counseling must also be submitted on the above website if not previously completed.

Exit Counseling

Students who have borrowed Federal Direct Loans at GW are required to complete Exit Counseling when they graduate, leave the University or drop below half-time enrollment. Exit Counseling provides students with pertinent information regarding their rights and responsibilities as a student loan borrower, knowledge on repayment options and provisions, details on deferment and forbearance and useful financial planning tools to manage your student loans successfully. Exit Counseling can be completed on the Federal Student Loan website.

Federal Direct Unsubsidized Loan

For a Federal Direct Unsubsidized Loan, the student is responsible for paying the interest on the loan during all periods. If a student chooses not to pay the interest while in school or during grace periods, deferment or forbearance periods, the interest will accrue (accumulate) and be capitalized (interest will be added to the principal amount of your loan).  Federal Direct Unsubsidized Loans are available to both undergraduate students, graduate students or professional degree students. Students are not required to show financial need to receive a Federal Direct Unsubsidized Loan.

Borrowing Amounts and Loan Limits

Graduate students at the George Washington University may borrow up to $20,500 in Federal Direct Unsubsidized Loan funds per academic year dependent upon their enrollment. The Federal Subsidized and Unsubsidized Loan Aggregate Maximum for graduate students, including those Federal Subsidized and Unsubsidized Loans disbursed for use towards undergraduate study, is $138,500.  Students who feel they need more than the $20,500 maximum may wish to seek a Federal Direct Graduate PLUS Loan or private alternative loan to further finance their educational costs. Students working on a graduate degree in Public Health or Health Administration, or a Doctoral Degree in Clinical Psychology may have higher annual and aggregate Federal Direct Loan limits.

Graduate Programs Eligible for Higher Loan Limits

Students working on graduate degrees in the health professions displayed below are eligible to borrow up to a total of $37,167 in Federal Direct Unsubsidized funding per Academic Year; Eligibility is determined based on the number of credits for which the student plans to enroll and the total number of months the student is registered and borrowing loan funds. Students enrolled in up to nine months of instruction time may borrow up to $33,000. For each additional month of enrollment during the summer semester, they may borrow an extra $1,389. Therefore, a student enrolled for the Fall and Spring terms and all three months during the summer semester is eligible to borrow up to $37,167.  The Federal Subsidized and Unsubsidized Loan Aggregate Maximum for Health Professions students working on a graduate degree, including those Federal Subsidized and Unsubsidized Loans disbursed for use towards undergraduate study, is $224,000.

Eligible Programs

  • Executive Master of Health Administration: Health Administration
  • Master of Science in Public Health Microbiology & Emerging Infectious Diseases
  • Master of Health Services Administration
  • Master of Public Health: Biostatistics
  • Master of Public Health: Community Oriented Primary Care
  • Master of Public Health: Environmental Health Science and Policy
  • Master of Public Health: Epidemiology
  • Master of Public Health: Epidemiology-Biostatistics
  • Master of Public Health: Global Environmental Health
  • Master of Public Health: Global Health
  • Master of Public Health: Global Health Epidemiology and Disease Control
  • Master of Public Health: Global Health Policy
  • Master of Public Health: Global Health Program Design, Monitoring and Evaluation
  • Master of Public Health: Health Policy
  • Master of Public Health: Health Promotion
  • Master of Public Health: Maternal and Child Health
  • Master of Public Health: Physical Activity in Public Health
  • Master of Public Health: Public Health
  • Master of Public Health: Public Health Communication and Marketing
  • Master of Public Health: Public Health Nutrition
  • Doctor of Public Health: Environmental and Occupational Health
  • Doctor of Public Health: Global Health
  • Doctor of Public Health: Health Behavior
  • Doctor of Public Health: Health Policy
  • Doctor of Philosophy in Public Health: Biostatistics
  • Doctor of Philosophy in Public Health: Epidemiology
  • Doctor of Philosophy in Public Health: Health Policy
  • Doctor of Philosophy in Public Health: Social & Behavioral Sciences in Public Health
  • Doctor of Psychology in Clinical Psychology

Students in the Physician Assistant program are eligible for these extended limits only if they are in a joint MPH program with one of the above majors. Students working on degrees in Physical Therapy, Nursing, Healthcare MBA, or any other health related program not listed in the bullets are eligible for up to the $20,500 Federal Direct Loan annual maximum.  

Federal Loan Interest Rates

DISBURSEMENT
DATES
UNDERGRADUATE
SUB AND UNSUB
GRADUATE
SUBSIDIZED
GRADUATE
UNSUBSIDIZED
GRADUATE AND
PARENT PLUS 

PERKINS
07/01/16 - 06/30/17 3.76% N/A 5.31% 6.31% 5.0%
07/01/15 - 06/30/16 4.29% N/A 5.84% 6.84% 5.0%
07/1/14 – 06/30/15 4.66% N/A 6.21% 7.21% 5.0%
07/1/13– 06/30/14 3.86% N/A 5.41% 6.41% 5.0%
07/1/12– 06/30/13 3.40% N/A 6.80% 7.90% 5.0%
07/1/11– 06/30/12 3.40% 6.80% 6.80% 7.90% 5.0%
07/1/10– 06/30/11 4.50% 6.80% 6.80% 7.90% 5.0%
07/1/09– 06/30/10 5.60% 6.80% 6.80% 7.90% 5.0%
07/1/06– 06/30/09 6.80% 6.80% 6.80% 7.90% 5.0%

 

Entrance Counseling / Promissory Note

All first-time loan borrowers and students who have not borrowed a Federal Direct Subsidized or Unsubsidized Loan within the last 10 years will be required to complete a Subsidized/Unsubsidized MPN (Master Promissory Note) on the Federal Student Loans website before the loan funds will disburse to the student's University account. Additionally, Entrance Counseling must also be submitted on the above website if not previously completed.

Exit Counseling

Students who have borrowed Federal Direct Loans at GW are required to complete Exit Counseling when they graduate, leave the University or drop below half-time enrollment. Exit Counseling provides students with pertinent information regarding their rights and responsibilities as a student loan borrower, knowledge on repayment options and provisions, details on deferment and forbearance and useful financial planning tools to manage your student loans successfully. Exit Counseling can be completed on the Federal Student Loan website.