Grants-Federal aid that does not have to be repaid

Federal Pell Grant - The Federal Pell Grant is a need-based grant from the federal government intended for undergraduate students who have not earned a bachelor’s degree. After the Free Application for Federal Student Aid (FAFSA) is filed, the Department of Education sends you a Student Aid Report (SAR) or an Information Acknowledgement if you filed online. These documents will indicate if you are Pell eligible and it is important to review them for accuracy.

Federal Supplemental Educational Opportunity Grant (FSEOG) - The Federal Supplemental Educational Opportunity Grant is awarded to undergraduate students with exceptional financial need and is administered by the OSU Office of Financial Aid and Scholarships. Funds are limited and eligibility is based in part by meeting the OSU priority FAFSA submission deadline of February 28.

 

Earned aid-Awarded to the student but earned through employment

Federal College Work-Study Program (FWS) - The Federal Work-Study (FWS) program provides part-time jobs for students with financial need to help them pay for their education. It's designed to put you to work in the community or in a job related to your studies, whenever possible. The program is administered by the OSU Office of Financial Aid and Scholarships. Funds are limited and eligibility is based on need and in part by meeting the OSU priority FAFSA submission deadline of February 28. The amount of FWS indicated on your award is the maximum amount you may earn for the academic year. Funds are paid monthly on the basis of hours worked in the pay period not to exceed 20 hours per week.

 

Loans-Federal aid that must be repaid

Federal Perkins Loan - A Federal Perkins Loan is a low-interest loan. Funds are limited and eligibility is based on need and in part by meeting the OSU priority FAFSA submission deadline of February 28. Perkins Loans are made through OSU's financial aid office. Although the loan is made with government funds, OSU will be your lender. Repayment and Deferment options are handled by the OSU Business Affairs Student Loan Office. The maximum loan amount per year at OSU depends on available institutional funds and may not meet the federal yearly maximum.

Important Changes to the Federal Direct Loan Program-Federal Student Loan Interest Rates have changed effective July 1, 2014. Interest rates on student loans are now tied to the 10-year Treasury note plus a fixed percentage amount depending on the loan type. These rates will vary on a yearly basis based on the legislation that was passed. Current interest rates are listed at https://studentaid.ed.gov/types/loans/interest-rates

Subsidized Federal Ford Direct Loan

  • Awarded to undergraduate students with financial need.
  • The amount you are awarded is determined by your financial need and class rank.
  • The loan is subsidized meaning the U.S. Department of Education pays the interest while you are attending school at least half time.
  • The interest rate on the Subsidized Federal Ford Direct Loan is 4.66%, but is subject to change based on legislation.
  • If you have not received a Federal Ford Direct Loan at OSU in the past, you must complete Entrance Counseling and a Master Promissory Note online at StudentLoans.gov.

The Subsidized Federal Direct Ford Loan is need-based with the government paying the interest on the loan while the student is enrolled. Effective July 1, 2013 there will be a limit on the amount of time that a student is allowed to borrow subsidized loan funds which will be tied to their program length. Students that exceed 150% of their program length will no longer be eligible to receive subsidized loan funds, regardless of any extensions granted based on the Satisfactory Academic Progress appeal process through the Office of Financial Aid and Scholarships. For a standard program 270 credits is the limit. For more information on Maximum Timeframe standards, please visit our Satisfactory Academic Progress webpage.

Unsubsidized Federal Ford Direct Loan

  • Awarded to undergraduate and graduate students.
  • The amount you are awarded is determined by your class rank.
  • The loan is unsubsidized meaning you are responsible for paying the interest during times of deferment.
  • The interest rate for an Undergraduate Unsubsidized Federal Ford Direct Loan is fixed at 4.66%, and for a Graduate student the rate is 6.21%, but is subject to change based on legislation.
  • If you have not received a Federal Ford Direct Loan at OSU in the past, you must complete Entrance Counseling and a Master Promissory Note online at StudentLoans.gov.

Parent PLUS Loan

  • The Federal Direct Parent PLUS Loan is a credit based loan borrowed by the parent on behalf of a dependent student to assist with educational expenses.
  • Your parent is eligible to borrow up to your remaining cost of attendance after all other aid.
  • The loan is unsubsidized meaning you are responsible for paying the interest during times of deferment.
  • The interest rate on the Parent PLUS Loan is 7.21%, but is subject to change based on legislation.
  • The parent borrower must complete a Direct PLUS Loan Application and Master Promissory Note (MPN) online at StudentLoans.gov
  • The credit check, run as part of the application, is only valid for 180 days. Do not complete the application more than 180 days before the start of the term, or before May 5 if attending summer term.

For applicants who have been determined to have an adverse credit history, but qualify for a Direct Parent or Graduate PLUS loan by documenting extenuating circumstances or obtaining an endorser must complete the counseling online at https://studentloans.gov/myDirectLoan/index.action.Students can review their file status by logging into their ONID account.

Graduate PLUS Loan

  • The Federal Direct Grad PLUS Loan is a credit based loan borrowed by graduate students to assist with educational expenses.
  • You are eligible to borrow up to your remaining cost of attendance after all other aid.
  • The loan is unsubsidized meaning you are responsible for paying the interest during times of deferment.
  • The interest rate on the Federal Direct Grad PLUS Loan is fixed at 7.21%, but is subject to change based on legislation.
  • You must complete a Direct PLUS Loan Application and Master Promissory Note (MPN) online at StudentLoans.gov
  • The credit check, run as part of the application, is only valid for 180 days. Do not complete the application more than 180 days before the start of the term, or before May 5 if attending summer term.

For applicants who have been determined to have an adverse credit history, but qualify for a Direct Parent or Graduate PLUS loan by documenting extenuating circumstances or obtaining an endorser must complete the counseling online at https://studentloans.gov/myDirectLoan/index.action.

 

Federal Loan Details

Federal Loan Type

Details

Current Interest Rate

Direct Subsidized Loan

  • For undergraduates with financial need enrolled at least half-time
  • No interest charged while in school at least half-time and during deferment periods
  • Repayment begins 6 months after graduation or dropping below half time enrollment

https://studentaid.ed.gov/types/loans/interest-rates

Direct Unsubsidized Loan

  • For undergraduate & graduate students enrolled at least half-time
  • Student is responsible for interest that accrues during all periods
  • Repayment begins 6 months after graduation or dropping below half time enrollment

https://studentaid.ed.gov/types/loans/interest-rates

Federal Perkins Loan

  • For undergraduates with financial need enrolled at least half-time
  • Eligibility depends on financial need and availability of funds.
  • No interest charged while in school at least half-time and during deferment periods
  • Repayment begins 9 months after graduation or dropping below half time enrollment

5.00%

 

 

Direct Parent PLUS loan

  • For parent of dependent undergraduate students
  • Financial need is not required
  • Student must be enrolled at least half-time and must be a dependent undergraduate student
  • Parent of dependent undergraduate student must not have adverse credit history
  • Borrower is responsible for interest during all periods

https://studentaid.ed.gov/types/loans/interest-rates

Direct Graduate PLUS loan

  • For graduate or professional students
  • Financial need is not required
  • Student must be enrolled at least half-time
  • Student must not have adverse credit history
  • Borrower is responsible for interest during all periods

https://studentaid.ed.gov/types/loans/interest-rates

 

Federal Loan Program Amounts

Federal Loan Type

Award Academic Year Limits

Aggregate Limit

Direct Subsidized Loan

$3,500 for 1st year (45 credits)

$4,500 for 2nd year (180 credits)

$5,500 for 3rd & 4th year (180+ credits)

$23,000 total

Direct Unsubsidized Loan

$2,000 for dependent students

$6,000 for 1st &2nd year independent students

$7,000 for 3rd& 4th year independent students

$20,500 for Graduate students

$8,000 dependent student

$34,500 independent student

$138,500 Graduate student

Overall Aggregate Limits

If the total loan amount you receive over the course of your education reaches the aggregate loan limit, you are not eligible to receive additional loans. However, if you repay some of your loans to bring your outstanding loan debt below the aggregate loan limit, you could then borrow again, up to the amount of your remaining eligibility under the aggregate loan limit.

 

$31,000 for dependent and $57,500 for independent undergraduates (No more than $23,000 of this amount may be in subsidized loans).

$138,500 for graduate or professional students. The graduate aggregate limit includes all federal loans received for undergraduate study.

 

Federal Perkins Loan

$5,500 (actual award varies based on fund availability)

$27,500

Direct Parent PLUS loan

Up to remaining cost of attendance after student award.

No aggregate limit

Direct Graduate PLUS loan

Up to remaining cost of attendance after unsubsidized loan award.

No aggregate limit