What is a Federal Direct Student
Federal Direct Student loans are one form of student "self help"
financial aid. Under the Federal Direct Student loan
program students borrow money for college from the federal
How much can I
$20,500 is the maximum annual amount you are eligible to
borrow in the form of a Federal Direct Unsubsidized Loan as a
graduate/law student. NOTE: the federal government has
eliminated subsidized Federal Direct Student loans for graduate/law
students.The Office of Student Financial Services encourages
students to evaluate loan options carefully, borrow only what is
really needed and remember that loans must be repaid.
What are the details of the
Federal Direct Unsubsidized Loan?
Federal Direct Unsubsidized Student Loan payments are deferred
until after graduation, but interest on the loan accrues and is
capitalized on the loan while you are enrolled in school and/or in
deferment. Loan repayment must begin six months after you cease to
be enrolled at least half-time (including leaves of absence or
maintaining matriculation periods). To keep unsubsidized loan
interest from accruing and being capitalized on your loan, you may
decide (at your option) to pay the interest while enrolled in
school. The interest rate for Federal Direct Unsubsidized
Loans for Graduate/Professional students is 5.41%.
Are there any other federal loans
available to graduate students?
The Federal Direct Graduate PLUS Loan is a federal loan available
to graduate students. The maximum amount you will be eligible
to borrow for the 2013-2014 school year will be included in your
St. John’s award package.
Many students decide to limit the Grad PLUS amount
borrowed to the difference between annual direct costs and other
financial aid received. Direct costs are those paid directly
to St. John’s and include tuition and fees, and for resident
students, room and board. Indirect costs consist of all other
expenses that relate to attendance at St. John’s. Your entire
estimated cost of attendance which includes an estimate of both
direct and indirect costs is available on your UIS account.
The interest rate on Federal Direct Graduate PLUS Loans
is 6.41%. Please note the interest is set by the U.S. Department of
Education and is subject to change on an annual basis.
What fees, if any, are associated
with these loans?
For Stafford Loans, an origination fee of 1.051% of the total loan
is assessed and is automatically deducted by the federal
government. For Graduate PLUS loans, an origination fee
of 4.204% is assessed and is automatically deducted. Since
origination fees are deducted before the federal government
disburses loans to St. John’s, the amount credited to the student’s
account will be less than the loan amount borrowed.
Origination fees are determined by the U.S. Department of Education
and are subject to change on a annual basis.
How do I apply for a Federal
Direct Student Loan?
Federal Direct Student Loan
Step 1: All students who wish to borrow a
Federal Direct Student Loan must first accept the loan. Loans
are accepted or declined on the student’s personal UIS account by
following the instructions below:
- Log in to UIS and click on the Financial Aid tab
- Click on My Award Information then Award by Aid Year
- Select the 2013-2014 aid year and submit
- Click on the Accept Award Offer tab
- Follow the on screen instructions to fully accept, partially
accept, or decline your loan award
- St. John’s will begin processing 2013-2014 loans beginning May
- It is the policy of St. John's University to process
loans only after an admission deposit has been paid and the loans
have been accepted by the student on their UIS
account.All program terms and conditions are
subject to Congressional Action.
- If you wish to reinstate a loan you have already declined or
modify a loan you have already accepted, please print, complete and
return a Student Loan Change Form.
Step 2: First time Direct Loan borrowers
at St. John’s University must complete a Federal Student Loan
Entrance Counseling Session in accordance with federal regulations.
Go to www.StudentLoans.gov and
click on Entrance Counseling.
Step 3: First time Direct Loan borrowers
at St. John’s University must complete a Direct Loan Master
Promissory Note (MPN) at www.StudentLoans.gov. Borrowers will
need their FAFSA Personal Identification Number (PIN) in order to
complete the MPN. If you do not have a PIN or cannot recall
it, you can request your PIN at www.pin.ed.gov.
Important Note in both
Step 2 and Step 3:
- Select “New York” as the School State and
“Saint John’s University” as the school name.
Where can I learn more about the
various federal student loan programs?
For more information on loans and debt management, please visit the