Important Information: Time limitation on direct subsidized loan eligibility for first-time student loan borrowers effective July 1, 2013. Find out more.
The William D. Ford Federal Direct Loan Program
Direct Loans are low-interest loans for students and parents to help pay for the cost of a student's education after high school. The lender is the U.S. Department of Education (the Department), though the entity you deal with, your loan servicer, can be a private business.
With Direct Loans, you:
The Direct Loan Program offers the following types of loans:
Student borrowers are not required to begin making payments until after they drop below half-time attendance. See When you graduate or leave school for more information.
Note: All Federal Direct loans originated after July 1, 2012 will have an increased Origination Fee. The Budget Control Act of 2011, signed into law on August 2, 2011, eliminated the upfront rebate for all federal direct loans. Starting July 1, 2012 Federal Direct Subsidized and Unsubsidized loan disbursements will have a 1% origination fee, and Federal Direct PLUS loans will have a 4% origination fee applied at disbursement.
Undergraduate borrowers will begin accruing interest on new loans during the six-month grace period. The Consolidated Appropriations Act of 2012, dated December 14, 2011, initiated Federal Direct Subsidized loan interest to begin accruing during the six-month grace period for all loans originated from July 1, 2012 through June 30, 2014.
Applying for a Loan
If you have been offered a student loan and are a first-time borrower, you will be required to complete the following steps. First time borrowers must accept loans by returning the award letter or loan amount request form to Rogers State financial aid office. (Either by mail or in person)
Upon completion of these steps, your loan will be certified at the Office of Financial Aid. Students and Parents, please be aware that the loan will be submitted to the National Student Loan Data System (NSLDS), and will be accessible by guaranty agencies, lenders, and institutions determined to be authorized users of the data system.
Amount You May Borrow
The amount you are eligible to receive is determined by many factors. This amount will be outlined in your award letter. Consult with the financial aid office for additional information.
The maximum amount you can borrow each year in Direct Subsidized and Unsubsidized Loans depends on your grade level and on whether you are a dependent student or an independent student. The following table shows the maximum amount of money you may borrow each academic year in Direct Subsidized and Unsubsidized Loans as well as the total or aggregate amount you may borrow:
1 Except those whose parents are unable to borrow a PLUS loan.
The actual loan amount you are eligible to receive for an academic year is determined by your school and may be less than the maximum annual amounts shown in the chart above. The aggregate limits include both Direct Subsidized and Unsubsidized Loans and any subsidized and unsubsidized Stafford Loans received through the Federal Family Education Loan (FFEL) Program.
The purpose of Exit Counseling is to:
You will receive a notice when it is time for you to complete the Exit Counseling requirement. If the Exit Counseling requirement is not met within the designated time frame--typically one semester, you may experience a delay in the disbursement of your financial aid. Also, a hold will be placed on your account and no transcripts will be released.
Rogers State University Student Loan Code of Conduct
Rogers State University Student Loan Code of Conduct was developed in adherence with the requirements of the Higher Education Opportunity Act (HEOA) of 2008. HEOA requires all institutions participating in the Title IV Loan Programs to develop, publish, and administer specific bans and prohibitions on certain conduct as it relates to student lending. The Student Loan Code of Conduct was created to ensure that student and families continue to receive sound and impartial advice from the Office of Financial Aid and all offices at the Rogers State University as they relate to education loans.