Federal Direct Student Loans are long-term, low-interest loans awarded to students by SUNY ESF which are funded directly through the federal government. Student loans offered through this program are guaranteed, meaning that eligibility is not based on credit history or income. All students who meet the general eligibility requirements for federal student aid and have not reached the aggregate loan limit, defaulted on a previous loan, or do not owe a repayment for a federal grant are eligible for Direct Loan consideration.
Federal Direct Student Loans are available as subsidized, unsubsidized, or a combination of both types. Students are not required to make payments on either type of loan while enrolled at least half-time at an eligible educational institution. However, students may choose to make regular or interest-only payments while enrolled.
Subsidized Direct Loans are awarded based on each student's demonstrated financial need, as determined by the SUNY ESF Financial Aid Office. These loans are interest free while the student is enrolled at least half-time at an eligible educational institution or during authorized deferment periods. Interest is charged when the loan is in a repayment or forebearance status. If you received a Direct Subsidized Loan that was first disbursed between July 1, 2012, and July 1, 2014, you will be responsible for paying any interest that accrues during your grace period. If you choose not to pay the interest that accrues during your grace period, the interest will be added to your principal balance.
Unsubsidized Direct Loans are awarded regardless of each student's demonstrated financial need. These loans begin to generate interest charges immediately after disbursement. These charges may be defered during at least half-time enrollment, grace, and deferment periods.
The amount available in Federal Direct Loan funding will vary for each student. The type and amount of each loan is determined by the SUNY ESF Financial Aid Office based on demonstrated financial need, class level, other financial aid, and previous borrowing totals. Maximum loan eligibility is as follows:
Dependent undergraduate students can borrow up to $5,500 in the first year (no more than $3,500 may be subsidized); $6,500 in the second year (no more than $4,500 may be subsidized); $7,500 in the third, fourth, and fifth years (no more than $5,500 may be subsidized), up to a total of $31,000 aggregate balance (no more than $23,000 may be subsidized).
In addition to the amounts listed above, independent undergraduate students and students whose parents are unable to borrow through the Federal Direct PLUS Program can borrow up to $4,000 in the first and second years; $5,000 in the third, fourth, and fifth years, up to a total of $57,500 aggregate balance (no more than $23,000 may be subsidized) for all Stafford Loans. These additional loan amounts can only be in the unsubsidized form of loan.
Graduate students can borrow up to $20,500 per year, up to a total of $138,500 aggregate balance (no more than $65,500 may be subsidized).
| Class Year | Base Loan Amount | Additional Unsubsidized Loan | Total |
|---|---|---|---|
| First Year | $3,500 | $2,000 | $5,500 |
| Second Year | $4,500 | $2,000 | $6,500 |
| Third Year | $5,500 | $2,000 | $7,500 |
| Fourth Year | $5,500 | $2,000 | $7,500 |
| Subsidized Loans | Total Loans | ||
| Aggregate Totals | $23,000 | $31,000 |