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Federal Direct Student Loan (FDSL)

Subsidized and Unsubsidized Direct Student Loan (FDSL)

Subsidized Direct Loans are available to undergraduate students who demonstrate need based on the results of the FAFSA. The maximum amount of a subsidized loan is based on a student’s class level. 

Unsubsidized Student Loans are available to both undergraduate and graduate students.

The Tarleton Financial Aid Office determines the loan type(s), if any, and the actual loan amount you are eligible to receive each academic year. However, there are limits on the amount in subsidized and unsubsidized loans that you may be eligible to receive each academic year (annual loan limits) and the total amounts that you may borrow for undergraduate and graduate study (aggregate loan limits). The actual loan amount you are eligible to receive each academic year may be less than the annual loan limit. These limits vary depending on

  • What year you are in school and
  • Whether you are a dependent or independent student.

If you are a dependent studentt whose parents are ineligible for a Direct PLUS Loan, you may be able to receive additional Direct Unsubsidized Loan funds.

Borrowing Limits

The annual borrowing limit is determined by your degree status grade level and your dependency status (based upon information you supplied on your FAFSA). In addition to annual loan limits, there are also lifetime Stafford loan borrowing limits, also known as aggregate limits.

Annual limits for loans disbursed on or after July 1, 2012.

Annual Limits

Dependent Students (except students whose parents are unable to obtain PLUS Loans)

Independent Students (and dependent undergraduate students whose parents are unable to obtain PLUS Loans)

Undergraduate prerequisite

$2625

$8625

First Year Undergraduate or
(0-29 credit hours earned)

$5,500

$9,500

Second Year Undergraduate or (30-59 credit hours earned)

$6,500

$10,500

Third year + Undergraduate (60 + credit hours earned)

$7,500

$12,500

Graduate Prerequisite, Teacher Certification or License Renewal

$5,500

$12,500

Graduate / Professional

N/A

$20,500

In addition to the annual borrowing limits, there is also an aggregate, or cumulative, lifetime borrowing limit.

AGGREGATE LIMITS

Subsidized

Total

Dependent Undergraduate, Teacher Certification, License Renewal or Prerequisite

$23,000

$31,000

Independent Undergraduate, Teacher Certification, or  License Renewal or Prerequisite

$23,000

$57,500

Graduate / Professional

$65,500

$138,500

Interest Rates

The interest rates for Direct Subsidized Loans and Direct Unsubsidized Loans are shown in the chart below.

Loan Type

Borrower Type

Loans first disbursed on or after 7/1/13 and before 7/1/14

Loans first disbursed on or after 7/1/14 and before 7/1/15

Direct Subsidized Loans

Undergraduate

3.86%

4.66%

Direct Unsubsidized Loans

Undergraduate

3.86%

4.66%

Direct Unsubsidized Loans

Graduate or Professional

5.41%

6.21%

The interest rates shown above are fixed rates for the life of the loan.

Got other questions about interest?

Origination Fees

Yes, there is a loan fee on all Direct Subsidized Loans and Direct Unsubsidized Loans. The loan fee is a percentage of the loan amount and is proportionately deducted from each loan disbursement. The percentage varies depending on when the loan is first disbursed, as shown in the chart below.

Loan Fees for Direct Subsidized Loans and Direct Unsubsidized Loans

First Disbursement Date

Loan Fee

On or after DEC. 1, 2013, and before Oct. 1, 2014

1.072%

On or after Oct. 1, 2014, and before Oct. 1, 2015

1.073%

Loans first disbursed prior to DEC. 1, 2013, have different loan fees.

Additional Steps

If your financial aid package includes federal student loans, your school will tell you how to accept the loan. 

If it is your first time receiving a Direct Loan, you will be required to

Contact the financial aid office at the school you are planning to attend for details regarding the process for receiving a loan at your school.

Loan Disbursement

With the exception of student employment programs TSU first applies all of your financial aid to your student account including student loan proceeds. If after the payment of tuition, required fees, and room and board (if you live on campus) is addressed you may have remaining loan funds. If that is the case you will receive a refund of your credit balance from Tarleton's servicer, Higher One. For information about the Higher One card, please click here.

For additional information regarding federal student loans, click here.