Federal Direct Loans

The Direct Loan program is provided and administered by the Federal government, U.S. Department of Education. Student loan borrowing cannot exceed the cost of attendance, nor may you borrow over the annual and lifetime aggregates that are set for the Direct Loan. The Department of Education assesses an origination fee on each loan upon disbursement. The type of loan you are offered is based upon the results of the FAFSA.

Types of Loans

Direct Subsidized Loan (Subsidized)

Direct Unsubsidized Loan (Unsubsidized)

Federal William D. Ford (Direct) PLUS Loan

Federal William D. Ford (Direct) Graduate PLUS Loan

Processing Your Direct Loans

Processing Steps for your Direct Subsidized and Unsubsidized Loan: Click Here

Processing Steps for your PLUS and GradPLUS Loan: Click Here

Interest Rates

Congress has passed and the President has signed the Bipartisan Student Loan Certainty Act of 2013, which ties federal student loan interest rates to financial markets. Under this Act, interest rates will be determined each June for new loans being made for the upcoming award year, which runs from July 1 to the following June 30. Each loan will have a fixed interest rate for the life of the loan.

The following table provides the interest rates for new Direct Loans made on or after July 1, 2015. These rates will apply to all new Direct Loans made during this time, even loans already disbursed before the passage of the Act. 

Perkins Loans (regardless of the first disbursement date) have a fixed interest rate of 5%.


Interest Rate

Direct Subsidized Loans (Undergraduates)


Direct Unsubsidized Loans (Undergraduates)


Direct Unsubsidized Loans (Graduate or Professional Students)


Direct PLUS Loans (Parents and Graduate or Professional Students)


Learn about interest rates and fees associated with federal student loans.

Other Important Direct Loan Information

Direct Loan Limits

Direct Loan FAQ

Loan Exit Counseling

Direct Loan Limits

Student Loan Calculator

Information about Student Loans (Video)

PLUS Loan Calculator