Loans & Financing Options

Federal Direct Unsubsidized Loan Program

Direct Unsubsidized Loans are federal student loans offered by the U.S. Department of Education (ED) to help eligible students cover the cost of higher education. Direct Unsubsidized Loans accrue interest from the date of disbursement. If you do not pay the interest while you are enrolled in school or during your grace period, accrued interest will be added to your loan’s principal. To apply, students must complete a Free Application for Federal Student Aid (FAFSA).

The One Big Beautiful Bill Act, signed into law July 4, 2025, brings changes to federal student aid programs, including the Federal Direct Unsubsidized Loan program. Graduate students are subject to new loan limits and eligibility requirements based on their borrower status as either continuing (legacy) or first-time (non-legacy) borrowers. Non-legacy students are those beginning a graduate program on or after July 1, 2026. Legacy students are those who received a Federal Direct Loan disbursement prior to July 1, 2026, and who remain continuously enrolled at Sacred Heart University in the same program. These students may continue borrowing under the previous loan limits.

Maximum Loan Limits:

  • Graduate students: $20,500 per award year
  • Aggregate (net total) loan limits for combined graduate and undergraduate federal subsidized/unsubsidized loans: $100,000

In accordance with federal regulation, loans are adjusted based on a schedule of reduction for students enrolled less than full-time. Lifetime limit of $257,500 (applies to combined undergraduate and graduate federal student loan borrowing, including Grad PLUS Loans).

Maximum Loan Limits:

  • Graduate students: $20,500 per award year
  • Aggregate (net total) loan limits for combined graduate and undergraduate federal subsidized/unsubsidized loans: $138,500
In accordance with federal regulation, loans are adjusted based on a schedule of reduction for students enrolled less than full-time. Pre-OBBBA or legacy, eligibility would continue for the lesser of three academic years of the student's expected time to credential. The legacy will be broken if a student elects to take any form of leave of absence, withdraws from all classes in a semester or withdraws from the University.

Private Alternative Loans

Private alternative loans help bridge the gap between the actual cost of your education and the amount of financial assistance you receive. Eligibility for private education loans often depends on your credit score and typically requires a co-signer. We encourage you to begin your private loan search at ELMSelect.

This service, provided by Elm Resources, allows you to compare various private loan programs suggested by the University. This resource also provides direct links to lender websites/applications and a loan payment calculator to estimate your loan payments.

Direct PLUS Loans for Graduate (Pre-OBBBA/Legacy Students Only)

Direct PLUS loans can help pay for education expenses not covered by other financial aid. Students who have a federal direct loan disbursed before July 1, 2026, and continue to be enrolled at Sacred Heart University in the same program, may continue borrowing through the Direct Unsubsidized Loans and Graduate PLUS Loans through June 30, 2029, or until the end of their program, whichever comes first. Contact your financial assistance counselor to see if you are eligible.