Federal and Private Loan Information
UM-Dearborn Code of Conduct for Student Loans (PDF)
All students are required to be enrolled at least half-time to be eligible for all federal student loans.
- Minimum half-time enrollment for undergraduates is six (6) credits
- Minimum half-time enrollment for graduate students is four (4) credits
Federal Direct Loans for Students
- Interest rate for Subsidized Direct Loans is a fixed 3.4% for 2012-13 for undergraduates
- Interest rate for Unsubsidized Direct Loans is a fixed 6.8% for 2012-2013 for undergraduates and graduate students
Please note: Beginning in 2012-2013 academic year, Subsidized Loans are no longer available to graduate students.
What is the difference between subsidized and unsubsidized loans?
Loan Acceptance and Processing Tips:
- All students must accept their loans before the loan can be applied to your account.
- The easiest way to accept your loan is online at the UM-Dearborn Connect (you can use the drop down menu on the Quick Links
- Need help in accepting your Direct Loan?
First time borrowers in the Direct Loan Program must complete loan counseling online and a Master Promissory Note (MPN)
- You can complete the loan counseling even before accepting the loan
- You complete both loan counseling and your MPN at the secure Direct Loan Web site https://studentloans.gov.myDirectLoan/index.action using your FAFSA PIN
Federal Direct Parent Loans (PLUS)
Parents are able to borrow on behalf of their dependent student through a credit-based loan from the Direct Loan Program.
- Interest rate is a fixed 7.9%
- FAFSA must be completed by parent and student
- Student must be half-time and making academic progress
- Must begin the process by completing the Direct Loan Parent PLUS application
Graduate students who need additional funds beyond the graduate loan limitations are able to borrow a credit-based loan through the Direct Loan Graduate PLUS Program
- Interest rate is a fixed 7.9%
- Student is required to complete the FAFSA
- Student must be half-time and making academic progress
- Begin the process by completing the PLUS Application Form
Alternative or private loans can be used to supplement federal student loans or when a student is ineligible for federal student loans. These loans require credit-worthiness and cannot be consolidated with federal student loans.