Begin the Loan Process
Subsidized Student Loan
Loans are financial assistance that must be repaid with interest after you are no longer a student. Your financial aid package may include loans in the form of need-based and/or non-need based financial aid.
Federal Student Loan
Federal Student Loans are awarded to students to help fund costs for higher education. The student (and parent, if applicable) must complete a FAFSA in order to qualify for student loans. For more detailed information on the application process, visit the applying for financial aid page.
Depending on the student’s financial need, federal student loans can be subsidized or unsubsidized. Need is based on the Expected Family Contribution (EFC) calculated by the federal government from FAFSA information.
Note: In order to receive federal student loans, the student must be admitted to a degree-seeking program and be enrolled in 6 credits for undergraduates or 4.5 credits (halftime) for graduate work.
Subsidized Loan
Interest does not accrue on the loan while the student is in school at least halftime, or during any future deferment periods. The federal government “subsidizes” (or pays) the interest during these times. For loans that are disbursed after July 1, 2012 the interest will only be “subsidized” (or paid) while the student is in school at least halftime.
Origination fees for Federal Direct Stafford Subsidized and Unsubsidized Loans are as follows:
- If first disbursed on or after March 1, 2013 and prior to December 1, 2013: 1.051%
- If first disbursed after December 1, 2013: 1.072%
- If first disbursed after October 1, 2014: 1.073%
- If first disbursed after October 1, 2015: 1.068%
- If first disbursed after October 1, 2016: 1.069%
- If first disbursed after October 1, 2017: 1.066%
This amount is automatically deducted upon disbursement by the U.S. Department of Education. For specific information on grace, deferment and repayment, see the loan repayment page.
Interest Rates
Undergraduate Students
Interest rates for Direct Subsidized Loans for undergraduate borrowers have a fixed interest rate as follows:
- If first disbursed on or after July 1, 2006 and prior to July 1, 2008: 6.8%.
- If first disbursed on or after July 1, 2008 and prior to July 1, 2009: 6.0%.
- If first disbursed on or after July 1, 2009 and prior to July 1, 2010: 5.6%.
- If first disbursed on or after July 1, 2010 and prior to July 1, 2011: 4.5%.
- If first disbursed on or after July 1, 2011 and prior to July 1, 2013: 3.4%.
- If first disbursed on or after July 1, 2013: 3.86% (includes Unsubsidized loans)
- If first disbursed on or after July 1, 2014: 4.66% (includes Unsubsidized loans)
- If first disbursed on or after July 1, 2015: 4.29% (includes Unsubsidized loans)
- If first disbursed on or after July 1, 2016: 3.76% (includes Unsubsidized loans)
- If first disbursed on or after July 1, 2017: 4.45% (includes Unsubsidized loans)
- If first disbursed on or after July 1, 2018: 5.05% (includes Unsubsidized loans)
Borrowing Limits
Students may be awarded both Federal Direct Subsidized and Unsubsidized Loans based on Expected Family Contribution (EFC) calculated by the federal government from FAFSA information. Student Loans have annual amount limits based on the student’s credits earned. The actual amount may be less depending on the student’s financial resources (other aid awarded) and cost of attendance.
150% Direct Subsidized Loan Limit
For first time borrowers on or after July 1, 2013 there is a limit on the maximum period of time (measured in academic years) that you can receive Direct Subsidized Loans. In general, you may not receive Direct Subsidized Loans for more than 150% of the length of your program. For additional information click here.
Dependent Students
Borrowing limits are effective July 1, 2008
| Time frame | Subsidized Amount Limit | Additional Unsubsidized Amount | Total Annual Maximum: subsidized + unsubsidized |
|---|---|---|---|
| Aggregate Borrowing Limit | $31,000 (no more than $23,000 can be subsidized) |
||
| First year (1-29 credits) | $3500 | $2000 | $5500 |
| Second year (30-59 credits) | $4500 | $2000 | $6500 |
| Third year and beyond (60+ credits) | $5500 | $2000 | $7500 |
Independent Students
Borrowing limits are effective July 1, 2008
| Time frame | Subsidized Amount Limit | Total Annual Maximum: subsidized + unsubsidized |
|---|---|---|
| Aggregate Borrowing Limit | $57,500 (no more than $23,000 can be subsidized) |
|
| First year (1-29 credits) | $3500 | $9500 |
| Second year (30-59 credits) | $4500 | $10,500 |
| Third year and beyond (60+ credits) | $5500 | $12,500 |
Note for Fall graduates:
In accordance with federal regulation, 34 CFR 682.204 (a), (d), your student loan(s) must be adjusted to directly reflect your enrollment for your final term of study if you were not enrolled in summer term. This regulation requires the school to prorate your student loan(s) based on the number of credits you are enrolled in at the time of disbursement. Proration is done by dividing your maximum student loan eligibility for Fall term. If your loans must be prorated, you will be contacted by our office.
Student Loan Processing
In order to receive your first William D. Ford Federal Direct Loan (referred to as Direct Loan) at UW Oshkosh, federal law requires you to complete Entrance Loan Counseling and the Master Promissory Note (MPN).