You are here

Educational Loans

If you apply for financial aid by filing the FAFSA, you may be offered loans as part of your financial aid award offer. A loan is money you borrow and must pay back with interest. Some loans are need-based; others are available to any enrolled student.  

Borrowing can be costly. We recommend you consider borrowing only if you have exhausted all other options and only borrow what you need. Make a budget for yourself to keep your debt within manageable limits.  

All Temple University students should read the Temple University Student Lending Code of Conduct (PDF).

All federal loans (Direct Subsidized and Unsubsidized, Parent Loans for Undergraduate Students, Graduate Student PLUS and Perkins) students receive are reported on the National Student Loan Data System. The information is accessible to guaranty agencies, lenders and authorized users at schools. Students can access their information using their Department of Education with their Federal Student Aid ID through studentaid.gov.

The Additional Loan Options handout is available for review within the Forms section of this website. The options listed on the handout include information for the Federal Parent Undergraduate Student Loan (PLUS) and Alternative private student loans. 

federal LoanS

The William D. Ford Federal Direct Loan Program is the largest federal student loan program. Under this program, the U.S. Department of Education is your lender.

Loan Type

Origniation Fees

 

First disbursed on/after 
Oct 1, 2018 and before October 1, 2019

On or after 
October 1, 2019 and before October 1, 2020

Direct Subsidized & Unsubsidized

1.062%

1.059%

Graduate & Parent PLUS

4.248%

4.236%

There are several types of Federal Direct Loans available:     

Direct Subsidized Loans
Loans made to eligible undergraduate students who demonstrate financial need to help cover the costs of higher education. The federal government pays the interest on the loan during certain periods of time.

Direct Unsubsidized Loans
These loans are made to eligible undergraduate, graduate, and professional students, but in this case, the student does not have to demonstrate financial need to be eligible for the loan. You are responsible for paying all interest on the loan.

Direct PLUS Loans
Direct Federal Parent Loan for Undergraduate Students (PLUS is an option for parents of dependent undergraduate students to help pay for education expenses not covered by other financial aid. Parents should wait to apply for the upcoming academic year until mid-June.

Direct Graduate PLUS Loans
The Direct Federal Graduate PLUS Loan is offered to qualified graduate or professional students with or without financial need who meet all financial aid eligibility requirements. Students should wait to apply for the upcoming academic year until mid-June.

Direct Consolidation Loans
Consolidation loans allow you to combine all of your eligible federal student loans into a single loan with a single loan servicer. 

Federal Borrowing Levels

Undergraduate students

  • $5,500 to $12,500 per year in Direct Subsidized Loans and Direct Unsubsidized Loans depending on certain factors, including total number of completed credits.

Graduate students

  • Up to $20,500 each year in Direct Unsubsidized Loans
  • The remainder of your educational costs not covered by other financial aid in Direct PLUS Loans. NOTE: A credit check is required for a PLUS loan.

Parents of a dependent undergraduate student

  • The remainder of your child’s annual educational costs that are not covered by other financial aid sources. NOTE: A credit check is required for a parent PLUS loan.

private Loans

Private Alternative Loans
Private alternative loans are managed through private lenders, issued in the student’s name, and require a credit-worthy co-signer. Eligibility, rates, terms, and conditions vary.