| The Direct Loan Program is
a federal student loan program. These loans are
awarded to students who have successfully completed a
Free Application for Federal Student Aid (FAFSA) and become admitted to Ferris State University.
There is no other application necessary to be
considered for these loans. You will automatically be
awarded a loan equal to your maximum eligibility. The lender is the US
Department of Education rather than a bank or credit union.
Students must be enrolled half-time to receive Direct Loans.
Undergraduate half-time credit load is six credits and
graduate half-time credit load is five credits.
There are two types of Direct Loans: subsidized and
unsubsidized. The interest rates on both of
these loans are fixed at 6.8%
(effective 7/1/06).
These loans are paid directly to the student's billing
account at Ferris.
Direct Student Loan
Guide
Subsidized Direct Loans are
need based, and the federal government will pay the
interest on the loan while the student is enrolled at
least half-time. Repayment begins 6
months after the student graduates or drops below
half- time enrollment.
Unsubsidized Direct Loans
are not need based. The student is responsible for interest
that accrues on the loan while the student is in school. The student may choose to
defer the interest on these loans until after graduation or attendance drops below half-time.
It is to the student's advantage to pay the
interest while in school.
Annual Loan Limits are applied to the Direct Loan amounts awarded per academic year
(fall through summer semesters) and are directly related
to the class standing (number of completed credit
hours) of the student. Please refer to the chart below
to determine your maximum loan amount per year.
NOTE - These are the maximum loan limits per
year; however you may qualify for less depending on other aid
you receive. For dependent
students whose credit hours exceed 25.9, there is a
$4,500 yearly loan maximum for all associate degree
programs. For independent students whose credit hours
exceed 25.9, there is a $8,500 yearly loan maximum for
all associate degree programs.
Dependent Student (as
determined by the FAFSA)
Beginning Fall 2007
| Grade Level |
Subsidized and/or
Unsubsidized loan |
Cumulative Credit Hours
in Current Curriculum
|
| Freshman |
$3,500 |
0-25.9
|
| Sophomore |
$4,500 |
26-55.9
|
| Junior |
$5,500 |
56-85.9
|
| Senior |
$5,500 |
86 and over
|
Independent Student (as
determined by the FAFSA)
Beginning Fall 2007
| Grade Level |
Subsidized loan |
|
Unsubsidized loan |
Cumulative Credit Hours
in Current Curriculum
|
| Freshman |
$3,500 |
+ |
$4,000 |
0-25.9
|
| Sophomore |
$4,500 |
+ |
$4,000 |
26-55.9
|
| Junior |
$5,500 |
+ |
$5,000 |
56-85.9
|
| Senior |
$5,500 |
+ |
$5,000 |
86 and over
|
| Graduate |
$8,500 |
+ |
$12,000 |
N/A
|
| |
| Lifetime Loan Limits are the maximum amounts you may receive from the Direct Loan Program, Federal Stafford Loans, and Federal Supplemental Loans for Students (SLS) programs combined throughout your college career as shown below: |
| |
Subsidized and Unsubsidized |
| Dependent Undergraduate Student |
$23,000 |
| Independent Undergraduate Student |
$46,000 |
| Graduate or Professional Student |
$138,500 |
|
