Loans for Graduate Students
William D. Ford Direct Loan Program
The University participates in the William D. Ford Federal Direct Loan Program, in which borrowers obtain federal loan funds directly from the U.S. Department of Education. Loans are borrowed money and must be repaid by the student.
Federal Direct Unsubsidized Loan
Graduate students who file a FAFSA and enroll at least half time may qualify for a Direct Unsubsidized Loan, a long-term, low-interest loan. The interest rates for Direct Unsubsidized Loans first disbursed on or after July 1, 2023 and before July 1, 2024 is fixed at 7.05%. Loan repayment begins six months after the borrower ceases to be enrolled at least half time.
First-time borrowers must complete two requirements to accept the unsubsidized loan. Entrance Counseling provides information on the rights and responsibilities of the student borrower. The Master Promissory Note (MPN), or loan agreement, is the student's legal promise to repay the loan money borrowed. Both items will be completed at StudentAid.gov.
The following chart outlines the annual and aggregate amounts that graduate students may borrow from the Federal Direct Unsubsidized Loan Program:
Program | Loan Limit |
---|---|
Teacher Certification Programs | $12,500 |
Graduate Degree Programs | $20,500 |
Lifetime Maximum (includes federal loans received for undergraduate study) | $138,500 |
Please note: With Federal Direct Unsubsidized Loans, a 1.057% loan fee is deducted from the gross loan amount before any loan proceeds are sent to Xavier University.
Federal Direct Graduate PLUS Loan
Graduate students who are enrolled at least half-time have the option of applying for a grad PLUS Loan, which is a credit-based loan. The interest rates for Direct PLUS Loans first disbursed on or after July 1, 2023 and before July 1, 2024 is fixed at 8.05%. Loan repayment begins six months after the borrower ceases to be enrolled at least half time. Before you apply for a PLUS loan, take advantage of the Federal Direct Unsubsidized Loan which has a lower interest rate and lower loan fee.
To apply for the Graduate PLUS Loan students must complete the following:
- Federal Loan Entrance Counseling (for first-time borrowers)
- Graduate PLUS Loan Application*
- Direct PLUS Loan Master Promissory Note (MPN)
There is a 4.228% loan fee for all Direct PLUS loans.
*For Summer periods of enrollment, students should complete the PLUS Loan application and Master Promissory Note (MPN) on or after May 1st. For Fall and Spring periods of enrollment, students should complete the PLUS application and MPN on or after June 1st. A credit check will be performed as part of the loan application; the credit is valid for 180 days. If approved, the loan must disburse before the credit check expires.
Private Education Loans
Various private loans are available for students who need additional financial assistance. We strongly recommend that students utilize federal loans before considering private-loan options. Private loans are commercial loans which usually require a credit check and may require credit worthy co-signer. The interest rates are fixed or variable. The loan amount requested cannot exceed the cost of attendance minus other financial aid sources.
We have included several lenders on our private loan list. They were selected on the basis of their loan fees, rates/terms, and customer service. Please note that students may choose any lender and are not limited to lenders on the lender list. Additional information on private-loan options and lenders is available online at the FastChoice website.
Students who decide to apply for a private loan will do so directly on the lender's website. The lender will notify us if the student has been approved. If a loan has been approved, a staff member in the Office of Student Financial Assistance will certify the loan (as long as the student has enrolled for classes). Loan funds will disburse to the student's account 3 days before the start of classes. The loan application and certification process takes approximately 2-3 weeks. The suggested deadline to apply is June 30th for the upcoming fall semester. This should allow enough time for the loan to be certified (if approved) and to appear on the Fall billing statement.