Undergraduate Student Loans
The U.S. Department of Education offers low-interest loans to eligible students to help cover the cost of education.
The U.S. Department of Education offers low-interest loans to eligible students to help cover the cost of education.
Under the William D. Ford Federal Loan (Direct Loan) Program, the U.S. Department of Education offers three types of loans to eligible Undergraduate, degree-seeking students.
In general, the requirements for you to receive a Federal Direct Loan include:
Learn more about the general eligibility requirements to receive federal student aid
In short, Direct Subsidized Loans have slightly better terms to help students with financial need. Review the table below for an overview of the main differences between a Subsidized and Unsubsidized Loan.
|
Subsidized Loan |
Unsubsidized Loan |
---|---|---|
Requires Financial Need |
X |
|
Loan Amount cannot exceed your financial need |
X |
|
Loan amount cannot exceed your Cost of Attendance |
X |
X |
U.S. Department of Education pays the interest during certain periods of time |
X |
|
School determines how much you can borrow |
X |
X |
Six-month grace period after you leave school (repayment postponed) |
X |
X |
Interest accrues during all periods of time if not paid |
|
X |
Your school determines the loan type(s), if any, and the actual loan amount you are eligible to receive each academic year (i.e., at the University of Arizona an academic year consists of the Fall, Spring and Summer terms). There are limits on the amount in loans you may be eligible to receive which is referred to as your annual loan limit and your aggregate loan limit. These limits vary depending on your grade level in school and whether you are a dependent or independent student.
Before you take out a loan, it’s important to understand that a loan is a legal obligation that you will be responsible for repaying with interest. You may not have to begin repaying your federal student loans right away, but you don’t have to wait to understand your responsibilities as a borrower.
Before you borrow or enter repayment, you can use the Department of Education's Loan Simulator to get an early look at which repayment plans you may be eligible for and see estimates for how much you would pay monthly and overall.
To request that additional Direct Loan funds be offered, you must contact our office via the Ask Aid portal or 520-621-1858.
A written request (fax: 520.621.9473) email: via the Ask Aid portal is required to reduce or cancel a Federal Direct Loan. If the funds have already disbursed to your Bursar billing account, you will be required to return the disbursed funds before the loan will be cancelled. Any account balance created as a result of the reduction or cancelation of a disbursed loan must be repaid immediately.
Your consent is not required if the University of Arizona must cancel or reduce your loans to remain in compliance with Federal regulations. Regardless of the type of cancelation, any account balance created as a result of the reduction or cancelation of a disbursed loan must be repaid by the student immediately.
In general, loans can begin to be accepted in mid-July for the following academic year (fall and spring semester) and must be accepted by the last day of the semester in which you attend.
A student is no longer eligible for loan funds if they cease attendance or their enrollment becomes less than halftime and the loans were not accepted before the change in enrollment.
Federal Direct Loans accepted after the following priority deadlines may not be processed. Please review the important dates below to ensure timely processing of your direct loan funds.
Students and parents must accept Federal Direct Loans before the end of the academic term for which they (or their student) is registered. If students are not registered for the spring term, their federal loans must be accepted and processed before the end of the fall term.
Item | Date |
---|---|
Fall 2021 deadline to enroll in Web Refund | August 20, 2021 |
Accept loans for December graduates or students not enrolled in University of Arizona courses for Spring 2022 | December 16, 2021 |
Spring 2022 deadline to enroll in Web Refund | December 31, 2021 |
Must accept 2021-2022 Federal Direct Loans if enrolled in Spring 2022 | April 28, 2022 |