Student Education Loans

Student loans are a reality for many students completing graduate and professional education. While you may not enjoy the thought of having them, education loans can be an important investment in your future.

 

Federal (Direct) Student Loans

Federal Direct Unsubsidized Loan

To apply for a Direct Loan, students must submit the Free Application for Federal Student Aid (FAFSA). The unsubsidized loan is not based on financial need and is available to all eligible students, regardless of income. Interest accrues from the date of the first disbursement. Students who are first-time borrowers must complete an online Entrance Counseling and an Unsubsidized Loan Master Promissory Note (MPN) at the Federal Student Aid website.

Lender: U.S. Department of Education

Interest Rate: Fixed at 8.08% for loans disbursed July 1, 2024 - June 30, 2025; Fixed at 8.05% for loans disbursed July 1, 2023 – June 30, 2024

Origination Fee: 1.057% (e.g., if $2,000 is borrowed, $1,979 will be disbursed to the school)

Repayment: Begins six months after graduation, withdrawal, or less than half-time enrollment. Standard repayment is 10 years following grace period, though other repayment options may be available.

For more information, please visit the Federal Student Aid website.

Federal Direct Graduate PLUS Loan

To apply for a Direct Loan, students must submit the Free Application for Federal Student Aid (FAFSA). Unlike other federal student loans, there is a credit check requirement – the student cannot have an adverse credit history. Interest accrues from the date of the first disbursement. Students who are first-time borrowers must complete an online Entrance Counseling and a Graduate PLUS Loan Master Promissory Note (MPN) at the Federal Student Aid website.

Lender: U.S. Department of Education

Interest Rate: Fixed at 9.08% for loans disbursed July 1, 2024 - June 30, 2025; Fixed at 8.05% for loans disbursed July 1, 2023 – June 30, 2024

Origination Fee: 4.228% (e.g., if $2,000 is borrowed, $1,916 will be disbursed to the school)

Repayment: Begins six months after graduation, withdrawal, or less than half-time enrollment. Standard repayment is 10 years following grace period, though other repayment options may be available.

For more information, please visit Federal Student Aid website.

Non-Federal Student Loans

UT Southwestern wants to help you borrow smart. While Federal loans are often the best solution for many students, there are other options.

Most non-federal loans require schools to verify your student status and provide cost of attendance information, which the Office of Student Financial Aid will send electronically to the lender for you. The maximum amount we will certify depends on your cost of attendance for the year or semester you’re trying to fund.

The company you choose to get a private loan from is entirely up to you – but historically UTSW students have borrowed from the entities listed below.

Lenders Providing Non-Federal Education Loans at UTSW, 2017 – present

Sallie Mae

College Ave

Lend Key

College Access Loan (State of Texas, for Texas residents only)

Texas Medical Association (Medical Students only)

 

The Office of Student Financial Aid can help you navigate these options and make the best loan choice for you. Contact us anytime – the earlier you start the application process, the better!

UT Southwestern’s Education Loan Code of Conduct

UT Southwestern does not have a preferred lender list. We cannot limit students to recommended lenders. The Office of Financial Aid will process loans from any eligible lender and will seek the maximum federal student aid available.