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Office of Enrollment Management

Federal Direct Loan Amounts

Loan Amounts

Grade Level Base Loan Amount Additional Unsubsidized Eligibility for Dependent Students Additional Unsubsidized Eligibility for Independent Students and Dependent Students
  Subsidized and Unsubsidized Loans (Exclusive of dependent students whose parent(s) is not eligible to borrow a Direct PLUS loan) (whose parent(s) is not eligible to borrow a Direct PLUS Loan)

Freshman year

$3,500

$2,000

$4,000

Sophomore year

$4,500

$2,000

$4,000

Junior year

$5,500

$2,000

$5,000

Senior/5th year

$5,500

$2,000

$5,000

Graduate Students

$20,500 in Unsubsidized Loan

*No Subsidized Loan Eligibility

 

 

There is a $31,000 total borrowing limit for dependent undergraduate students excluding those whose parents are unable to borrow a Direct PLUS Loan and a $57,500 limit for independent undergraduate students and dependent undergraduates whose parents are unable to borrow a Direct PLUS Loan of which no more than $23,000 may be in Subsidized Loans. Graduate students may borrow a total of $138,500, however, no more than $65,500 of this amount may be in Subsidized loans; includes loans for undergraduate students.

 

2021-2022 Interest Rates for Undergraduate Students:

1st Disbursement of

Subsidized Loan

1st Disbursement of

Unsubsidized Loan
All loans 1st disbursed between 7/1/21 through 6/30/22 All loans 1st disbursed between 7/1/21 through 6/30/22
3.73 percent

3.73 percent

2022-2023 Interest Rates for Undergraduate Students:

1st Disbursement of

Subsidized Loan

1st Disbursement of

Unsubsidized Loan
All loans 1st disbursed between 7/1/22 through 6/30/23 All loans 1st disbursed between 7/1/22 through 6/30/23
4.99 percent

4.99 percent

2021-2022 Interest Rates for Graduate Students:

First Disbursement of Unsubsidized Loan

All loans 1st disbursed between

7/1/21 through 6/30/22

5.28 percent

2022-2023 Interest Rates for Graduate Students:

First Disbursement of Unsubsidized Loan

All loans 1st disbursed between

7/1/22 through 6/30/23

6.54 percent

Origination Fee

Loan Type

First Disbursement Date

Loan Fee

Direct Subsidized Loans and Direct Unsubsidized Loans

On or after 10/1/20 

1.057%

Direct PLUS Loans

On or after 10/1/20

4.228%

 

Lender

Direct Loans are funded by the US Department of Education through Villanova University. Under the supervision of the Department of Education, the following servicers are assigned to manage all Direct Loans:

One-to-two weeks after the first disbursement, students will receive a mailer notifying them of their selected loan servicer.

Important Information

Disbursements
Direct loans are equally disbursed, usually at the beginning of each term for loans that will be disbursed over two terms (academic year). Disbursements will be made directly to the student's account . All first-time Direct  loan borrowers at Villanova University must complete an Entrance Interview and an MPN (Master Promissory Note) prior to the disbursement of any funds. You may complete the interview at https://studentloans.gov. All borrowers also need to complete a Direct Loan MPN at https://studentloans.gov.

Fees
Fees are deducted from the loan funds at the time of disbursement and are included in the amount a student will pay back.  For a Direct Loan, the entire fee goes to the government to help reduce the cost of the loans. Also, if you don't make your loan payments when scheduled, you may be charged collection costs and late fees.   

Interest
The accruing interest while in school is paid by the Federal government during your in-school, deferment and grace periods for subsidized borrowers. The interest during these periods is the responsibility of the borrower for unsubsidized loans. Interest will be billed quarterly and it is recommended that unsubsidized borrowers pay the interest at this time. Otherwise unpaid interest will be capitalized for unsubsidized borrowers at the end of the grace period.

Grace Period
Six months after graduating, withdrawing or dropping below half-time enrollment.

Repayment
Begins after the grace period. May be delayed by deferment options available to borrowers. Repayment may extend up to 10 years, or may be extended up to 25 years depending on the amount owed and type of repayment plan selected. A minimum payment of $50 per month is required while in repayment. Consolidation is also available. For more information visit the Direct Consolidation Loan site.