Federal Direct Subsidized and Unsubsidized Loans for Students
Federal Direct Subsidized and Unsubsidized Loans are low-interest loans made available to students by the U.S. Department of Education. Repayment is not required until 6 months after students are no longer enrolled at least half-time (taking 6 or more eligible credits per term).
Subsidized Loans are need-based and will not accrue interest while a student is in school at least half-time. Unsubsidized Loans are made available regardless of need, though interest begins accruing at the time of disbursement. Most students will be eligible for a combination of the two loan types, though some students will be eligible only for unsubsidized.
Most students are eligible to receive student loans regardless of family income. However, you must complete a FAFSA before requesting Federal Direct Subsidized and Unsubsidized Loans. Students are generally eligible for Federal Student Loans unless they:
- Are defaulted on a prior federal student loan,
- Are not meeting SAP (Satisfactory Academic Progress) requirements,
- Are enrolled in fewer than 6 eligible credits,
- Have already borrowed the annual limit for the year, or
- Have already borrowed the aggregate limit for their lifetime.
For more information on student loan interest rates, annual and lifetime limits, and repayment, please visit Federal Student Loans.
Any grants awarded through the FAFSA process as well as any BRCC Scholarships and outside scholarships will apply toward tuition and fee charges first. If you need additional funds for tuition and fees, books, or living expenses, you can request student loans to assist with those expenses. Anything that you borrow that exceeds the amount of your tuition, fees, and book charges will be sent to you in a refund.
Complete the steps below to apply for the Federal Direct Student Loan:
- Complete a FAFSA for the relevant aid year if you have not already done so.
- Complete your online Entrance Counseling – use your FSA ID to complete the Entrance Counseling Session.
- Complete an electronic Master Promissory Note (MPN) – use your FSA ID to sign your Master Promissory Note.
- Complete BRCC’s Loan Request Form and submit to the Financial Aid Office.