What is a Direct Subsidized
Loan?
This is the largest educational loan program at UNLV; the
formal title of the program is the William D. Ford Federal
Direct Stafford Loan. Funds are provided by the U. S. Treasury.
These are insured by the federal government and have replaced
the Federal Stafford Loan.
Do I have to have
financial need to receive a Direct Subsidized Loan?
In order for the federal government to pay the interest on
your loan while you are in school, you must have financial
need. You would be eligible for a Direct Subsidized Loan.
So, I don't have to have financial
need to get a student loan?
That's correct. Students without financial need may borrow
a Direct Unsubsidized Loan (officially called the William
D. Ford Federal Direct Unsubsidized Loan.) The borrower, not
the federal government, is responsible for paying the interest
on this loan; however, the program allows borrowers to defer
the interest payment until the borrower is no longer enrolled
on at least a halftime basis.
Are there other eligibility
requirements?
You must be formally admitted to UNLV, be attending at least
halftime and cannot have defaulted on a previous federal student
loan.
Am I required to complete an
"Entrance Debt Management Counseling Session" online?
Yes, you MUST do so online, by either clicking on the "Entrance
Counseling" button in "Quick Tools" at the
bottom of the Financial aid Home Page; or, by clicking on
the "Entrance Debt Management Counseling Online"
link located in the "UNLV Financial Aid Site Navigator,"
which is on every page in the UNLV Financial Aid Site.
When you have completed the online
counseling, be sure to print two copies of the "Rights
& Responsibilities" page. One copy is for your files
and one copy is to be turned in to Financial Aid & Scholarships
(FAS) either in person or via facsimile to (702) 895-1353.
If this form is not turned in to FAS your "Direct Loan"
funds will not be released!
- How much can I borrow?>
The annual maximum cannot exceed the grade level limits stated
here OR your cost of attendance minus financial aid, whichever
is less. First year undergraduates may borrow $2625, second
year students may borrow $3500 and students who have completed
two years may borrow $5500 per year. The maximum amount you
can borrow for your undergraduate program is $23,000. Graduate
students may borrow up to $8500 per year with a maximum total
of $65,500 including amounts borrowed as an undergraduate.
These amounts are effective for loans for which the first
disbursement was made on or after 10/1/93.
What is
the interest rate on Direct Loans?
If you have a Stafford Loan that was first disbursed on
or after July 1, 1994, the interest rate could change each
year of repayment, but it will never exceed 8.25 percent.
The interest rate is adjusted each year on July 1. You'll
be notified of interest rate changes throughout the life
of you loan. If you had a loan prior to July 1, 1994, the
interest rates might be different; check with the lender
or agency that holds your loan.
Is there
any charge for making a Direct Subsidized or Unsubsidized
Loan?
You'll be charged fees of up to 3%, deducted proportionately
from each disbursement of your loan.
When do I begin
repayment on this type of loan?
Repayment begins after you graduate, leave school or drop
below half-time enrollment. Depending on when you first
received a loan, your first payment would be due in six
to twelve months. Of course you can make payments while
in school, if you wish.this will reduce the over all
amount to be repaid and the overall interest costs.
Will my loan be
applied to my UNLV fee account?
Yes. See the section on DISBURSEMENT OF FINANCIAL AID.
I don't
think I need a loan right now. If I find I need money later
in the year, can I still borrow then?
Yes; simply complete a Revision Request at Student Financial
Services to reactivate your loan eligibility.
