Federal Direct Subsidized and Unsubsidized Loans

Available to undergraduate and graduate students, there is no requirement to demonstrate financial need. HU will determine the amount a student can borrow based on the cost of attendance and other financial aid the student receives. The student is responsible for paying the interest on a Direct Unsubsidized Loan during all periods. 

Eligibility

• Complete the Free Application for Federal Student Aid (FAFSA)
• Financial need is not a requirement
• Must enroll at least halftime
• Must not be in default on any federal student loans
• Must complete Entrance Counseling and the Loan Agreement for Subsidized/Unsubsidized Loan (MPN) prior to first disbursement
• Must complete Exit Counseling if student drops below half time or ceases enrollment
• Must maintain SAP eligibility by meeting the standards set forth in Howard University’s financial aid policy on Satisfactory Academic Progress (SAP).

Interest Rates and Loan Fees

• Please view the U.S. Department of Education's Federal Student Aid website, for the most current and up-to-date information regarding Federal Student Loan Interest Rates and Loan Fees.

Annual Loan Limits

• Dependent Undergraduate Students (regardless of credits earned) - $2,000 ($1,000 per semester)
• Independent Undergraduate Students and Dependent Undergraduate Students with a denied Federal Direct Parent PLUS Loan
  • Freshman Students (0-29 credits) - $6,000 ($3,000 per semester)
  • Sophomore Students (30-59 credits) - $6,000 ($3,000 per semester)
  • Junior/Senior Students (60+ credits) - $7,000 ($3,500 per semester)
• Graduate and Professional Students - $20,500 ($10,250 per semester)

Aggregate Loan Limits

• Dependent Undergraduate Students
  • Federal Direct Subsidized Loan: $23,000
  • Federal Direct Unsubsidized Loan: $8,000
  • Total: $31,000

• Independent Undergraduate Students and Dependent Undergraduate Students with denied Parent PLUS Loan
  • Federal Direct Subsidized Loan: $23,000
  • Federal Direct Unsubsidized Loan: $34,500
  • Total: $57,500

• Graduate Students
  • Federal Direct Subsidized Loan: Not eligible
  • Federal Direct Unsubsidized Loan: $135,000
  • Total: $138,500
• Professional Students
  • Federal Direct Subsidized Loan: Not eligible
  • Federal Direct Unsubsidized Loan: $224,000
  • Total: $224,000

Federal Student Loan Repayment

• Borrower's Responsibilities - Repayment
  You are required to begin making payments on your Federal Direct Stafford Loans after you graduate, leave school, or drop below half-time enrollment.Plan ahead for repayment and budget wisely. You have a six month grace before you must begin repayment. The Federal Direct Stafford Loan Program offers loan repayment plans designed to meet the needs of almost every borrower and allows you to choose which repayment plan is best for you. Federal Direct Stafford Loan borrowers may choose between the standard, extended, graduated, income contingent, and income-based repayment plans.

  Your loan will be originated with the Direct Loan Servicing Center (1-800-848-0979), which, in addition to information on repayment plans, provides a repayment estimator to help you determine how much you pay and how long it will take to repay your loan based on the plan chosen. Calculations are estimates and the values may not reflect the actual amount computed by the Direct Loan Servicing Center.

  Approximately 7-10 business days after the first disbursement of your loan, your loan is assigned to a loan servicer who will then send you information regarding your loan. Repayment of your loan is managed by your loan servicer. To review your loans and to obtain your loan servicer contact information, you may access nslds.ed.gov. You will need to login using your FSA ID.

• If You Already Have a Federal Student Loan
  If you already have a student loan that was made through the Direct Stafford Loan Program along with a FSA ID, you can get your most recent account information from nslds.ed.gov.
   
• Deferment / Forberance
  If you have a problem making your monthly loan payments, you may be able to postpone your payments through a deferment or forbearance request. Deferments are also an option if you are returning to school after an absence. You may also be eligible to have your Federal Direct Stafford Loan or Federal Perkins Loan forgiven (see listing of forgiveness programs).

  If you have exhausted your deferment and forbearance options, and/or want to avoid a default, you may also want to consider a loan consolidation. A Direct Consolidation Loan allows you to combine one or more of your federal education loans into a new loan that offers several advantages. For more information, see Direct Consolidation Loans.

• How to Repay Your Federal Student Loans
  Please visit the U.S. Depart of Education's Federal Student Aid website on steps to repay your federal student loans and for additional information regarding federal student loans.