Financial Aid

Federal Direct Stafford Loan Program for Students

FEDERAL DIRECT LOANS Federal Direct Loans are low-interest loans from the U.S. Department of Education that are administered by Claremont McKenna College. It is the U.S. Department of Education's major form of self-help aid and is available through the William D Ford Federal Direct Loan Program. There are two types of Federal Direct Loans: subsidized and unsubsidized.

Types of Direct Loans
There are two types of Direct Loans that you may be offered based on your financial need.

Federal Direct Subsidized Loans:
If you are eligible to borrow from the subsidized loan program, interest will not begin accruing until six months after you graduate or withdraw from school. Six months after you graduate or withdraw, you will begin paying back the interest and principal on the loan/s.

  • The interest rate is fixed at 4.66% for undergraduate students
  • A 1.073% origination fee is applied
  • The minimum monthly repayment amount is $50 but may be more depending on your total amount borrowed
  • For all new borrowers who receive a loan on or after July 1, 2013, a 150% limitation is in effect. This means a student who is eligible for a subsidized loan will reach their subsidized limit at 150% of a program’s length of study. Once a student has reached their 150% limitation, their interest subsidy loan limit will end on all outstanding loans that were disbursed after July 1, 2013, and interest will begin to accrue. Students are therefore encouraged to complete their undergraduate degree in a timely manner.

Federal Direct Unsubsidized Loans:
If you are eligible to borrow from the unsubsidized loan program, interest will accrue while you are in school. Six months after you graduate or withdraw from school, you will begin to pay back accrued interest and principal.

  • The interest rate is fixed at 4.66% for undergraduate and 6.21% for graduate students
  • A 1.073% origination fee is applied
  • The minimum monthly repayment amount is $50 but may be more depending on your total amount borrowed

How to Apply

Exit Counseling

Direct Loan Repayment Calculator

Additional Information