The U.S. Department of Education federal student loan program (also known as the William D. Ford Federal Direct Loan Program) provides loans to eligible borrowers to cover postsecondary education costs. For professional (Medical) students, there are two types of federal student loans which may be available to you:
- Federal Direct Unsubsidized Loan
- Direct Graduate PLUS Loan
Federal Direct Unsubsidized Loan |
Direct Graduate PLUS Loan |
|---|---|
| The federal government sets the fixed interest rate on July 1st of each year. Currently, any direct loan first disbursed on or after July 1, 2022, and before July 1, 2023 has an interest rate of 6.54%. | The federal government set the fixed interest rate on July 1st of each year. Currently, any Direct PLUS loan first disbursed on or after July 1, 2022, and before July 1, 2023 has an interest rate of 7.54%. |
| You are responsible for paying the *interest during all periods. | You are responsible for paying the *interest during all periods. |
| You are not required to you pass a simplified credit check by the government. | You are required to pass a simplified credit check by the government. You must not have an adverse credit history. |
| Department of Education (ED) is the lender; payment is owed to ED. | Department of Education (ED) is the lender; payment is owed to ED. |
| Medical students can borrow up to $40,500 in Direct Unsubsidized Loans each year. | The maximum amount that you can borrow each year is the cost of attendance (determined by the school) minus any other financial aid you receive. |
| Lifetime (aggregate) borrowing limit is $224,000. | There is no lifetime (aggregate) borrowing limit. |
| To accept all or a portion of this loan, you must submit your FAFSA and complete your Direct Loan Request form in SURFS! | To receive the yearly maximum or a portion of this loan you must submit your FAFSA and complete your Direct Loan Request form in SURFS! |