Federal Direct Unsubsidized Stafford Loan Program

This loan program is available to all students, regardless of family income, who are enrolled at least half-time credit hours each semester at the time of awarding and disbursing of funds. Students borrow from the U.S. Department of Education and loan limits are the same as for the Federal Direct Stafford Loan Program.

The total of a Federal Direct Stafford Loan award and a Federal Direct Unsubsidized Stafford Loan award may not exceed the above annual award limits. The U. S. Department of Education will deduct an origination fee of up to 3% and up to 1% default fee of the principal amount of the loan from each disbursement received by a student. These fees are used to offset the cost of default claims and special allowances.

A first year, first time Federal Direct Loan borrower cannot receive a Federal Direct Loan disbursement(s) until 30 days after the first day of class.

Loans of this type are repaid over a period of 10 years, excluding periods of deferment and/or forbearance.

Parent Loans for Undergraduate Students (PLUS)

Direct Parent PLUS loans are for parents of dependent students. Parents who do not have adverse credit history may borrow from the U.S. Department of Education, and may borrow an amount equal to the cost of education minus estimated financial assistance for each dependent student who is enrolled at least half time.

Repayment of PLUS loans begins immediately and are repaid over a period of 10 years, excluding periods of deferment/forbearance.

Borrower should contact the U.S. Department of Education to obtain information regarding possible deferment/forbearance options.

Interest Rates for Direct Subsidized Loans,
Direct Unsubsidized Loans, and Direct PLUS Loans
First disbursed on or after July 1, 2022 and before July 1, 2023

Loan Type	10-Year Treasury Note High Yield	Add-On	Fixed Interest Rate
Direct Subsidized Loans and Direct Unsubsidized Loans	2.943%	2.05%	4.99%
Direct PLUS Loans for Parents of Dependent Students	2.943%	4.60%	7.54%

Loans Requirements for First-Time Borrowers

Before you receive your Direct Loan, the federal government requires that you understand the basics of borrowing. First-time student loan borrowers must complete the following at the StudentLoans.gov website.

May I still borrow a Direct Parent Loan with an adverse credit history?

A credit check will be performed during the application process for the Direct Parent PLUS loan. If you have an adverse credit history, you may still receive a Direct PLUS Loan through one of these two options:

Obtaining an endorser who does not have an adverse credit history. An endorser is someone who agrees to repay the Direct PLUS Loan if you do not repay it. If you are a parent borrower, the endorser cannot be the child on whose behalf you are borrowing.
Documenting to the satisfaction of the U.S. Department of Education that there are extenuating circumstances relating to your adverse credit history.

If the Department of Education reverses your credit decision based on either option 1 or option 2, you must also complete a PLUS Credit Counseling in addition to the PLUS Master Promissory Note on the StudentLoans.gov website.

What is the maximum amount of a Direct Parent Loan I may borrow?

The maximum PLUS loan amount you can borrow is the cost of attendance (determined by the school) minus any other financial assistance received. Should you have further questions, please contact SUSLA Office of Financial Aid & Scholarships at financialaid@susla.edu.

Borrow Responsibly

Borrowing responsibly includes borrowing only what you need to pay your education expenses and what you can realistically afford to repay when you leave school. You will be offered the maximum amount for Direct Student Loans, however you do not have to accept the maximum amount. You have the option to list the amount of loans you would like to borrow, based on your loan offer from your Banner Self-Service account. Once the Office of Financial Aid & Scholarships have released your loans, you have 14 business days to request a reduction or cancellation of your Direct loans. To understand your loans and how they accept your future, you have the option to complete the Annual Student Loan Acknowledgement. You may email this request to financialaid@susla.edu