Subsidized and Unsubsidized Student Loans

Federal Direct Subsidized Student Loan

A Federal Direct Subsidized Student Loan is awarded based on your demonstrated financial need. The federal government pays interest on a subsidized loan while you are enrolled in school in at least half-time. The interest rate for Federal Direct Subsidized loans disbursed on or after July 1, 2019, for undergraduate students will have a fixed interest rate of 4.53%, while in repayment status.


Federal Direct Unsubsidized Student Loans

A Federal Direct Unsubsidized Student loan is not based on your financial need. The interest rate for Federal Direct Unsubsidized loans disbursed on or after July 1, 2019 is fixed at 4.53%. You are not required to pay the interest on this loan while in school, but we recommend that you do. You will be charged interest starting at disbursement until it is paid in full. If the interest accumulates, it will be added to the principal amount of the loan and increase the amount to be repaid.