FAQs on Student Loans

Dependent Undergraduates
Under the Federal Direct Loan Program: freshmen may borrow up to $3,500, sophomores up to $4,500 and juniors/seniors up to $5,500 per academic year in the Subsidized Stafford Loan. Under this program students may also borrow an additional $2,000 each academic year in the Unsubsidized Stafford Loan. To review the next steps please visit our Federal Direct Loan Programs website.

Independent Undergraduates
Under the Federal Direct Loan Program independent undergraduates have the same borrowing limits as dependent undergraduates for the Subsidized Stafford Loan. However, under this program independent students may borrow more than dependents in the Unsubsidized Stafford Loan: freshmen and sophomores may borrow up to $6,000 and juniors and seniors up to $7,000 per academic year. To review the next steps please visit our Federal Direct Loan Programs website.   

Graduate Students
Graduate students attending at least on a half-time basis may borrow up to a total of $20,500 in the Federal Unsubsidized Stafford Loan per academic year. To review the next steps please visit our Federal Direct Loan Programs website.

There are processing fees:

All loans are subject to fees that are paid to the federal government to offset administrative and insurance costs. Fees are deducted proportionately from each disbursement. These are called origination fees. To see the current origination fees for Direct Loans for Direct PLUS Loans please visit:

• Direct Loan Programs
• Parent PLUS Loan Program
• Graduate PLUS Loan Program

There are special disbursement terms for these loans:  

Your loan will be disbursed in two or more installments. Loan proceeds are sent directly to the University, either by electronic transmission or check. You will be notified when the funds arrive.

The term subsidized means that the federal government will be covering the interest payments on your loan while you are in school. The term unsubsidized means that the student, rather than the federal government, will be responsible for interest payments while you are in school.

The principal plus interest for your Federal Direct Loan will begin 6 months after graduation and you have 10 years to complete the payments.

Direct Loan(s)

If you plan to borrow student loans, it is recommended that you borrow conservatively. You are not required to borrow the entire amount offered. Only borrow what you need. Refer to your award notification or view SHU Awards for your eligible loan amount. You are also advised to review your Financial Aid Disclosure in SHU Awards. You may only use your loan to pay for education-related expenses. Direct Loan borrowers are restricted to annual loan limits per academic year as well as aggregate lifetime loan limits for undergraduate and graduate study. You can review your Student Account online to determine your semester billed tuition and fee costs. Need help planning for the academic year? Contact us!

Direct Parent PLUS Loans

Direct Parent PLUS loans can be processed for up to your student’s remaining cost of attendance. Refer to your student’s Financial Aid Disclosure in SHU Awards. The PLUS loan may only be used to pay for education-related expenses. Your student can authorize you access to their Student Account online to determine semester billed tuition and fee costs. Need help planning for the academic year? Contact us!

Direct Graduate PLUS Loans

Direct Graduate PLUS loans can be processed for up to your remaining cost of attendance. Refer to your Financial Aid Disclosure in SHU Awards for this amount. Your cost of attendance includes estimates for direct and indirect costs, such as living expenses, transportation, books, and supplies. You are not required to borrow the entire amount of your cost of attendance; only borrow what you need. It is recommended that you borrow conservatively and stick to a budget if you are using loan funds for living costs. Your Grad PLUS loan may only be used to pay for education-related expenses. You can review your Student Account online to determine your semester billed tuition and fee costs. Need help planning for the academic year? Contact us!

Direct Loans are typically divided into equal disbursements for each semester. You may review SHU Awards for the semester installment amounts of your loans. After the start of your classes (typically after the add/drop period), your loans will post to your Student Account. To be eligible for federal loan disbursement, you must initiate attendance, be enrolled at least half-time, and be meeting satisfactory academic progress. At least half-time is defined as 6 or more credits for undergraduate students and 3 or more credits for graduate students. All outstanding financial aid requests related to eligibility must be received as indicated in SHU Awards. When your loans disburse, you will receive a disbursement notification from the Office of Student Accounts, so it is important to stay connected and keep your contact information current.

If your federal aid exceeds your billed charges for the term, you will receive a refund of your credit balance within 14 days of aid disbursement. For more information, refer to the Student Accounts Credit Balance Processing webpage. Alternatively, you may elect to have the credit held for future academic year charges.

Changes in your enrollment status may impact your financial aid. If you drop below half-time enrollment, you may be ineligible for federal loan disbursement. It is important to keep your Financial Aid Counselor informed so that you can be advised concerning any changes to your aid eligibility. Before you make any decisions about dropping or withdrawing, please read our Financial Assistance Withdrawal Policy and go over the changes with your Financial Aid Counselor. Failed attendance (unofficial withdrawals) and official course withdrawals affect your satisfactory academic progress, which may also impact your aid eligibility.

After your loans disburse, you will be assigned a federal loan servicer who will manage the repayment of your student loans. Direct loan borrowers are automatically assigned to the 10-year standard repayment plan. However, there are several repayment plans available to Direct Loan borrowers. You may contact your loan servicer for information on the different repayment strategies and request an alternate repayment option.

Please visit the Federal Student Aid website and log in with your FSA ID. The My Aid page will display your loan history for federal student loans. Private loans are not included.