Undergraduate students can borrow either a subsidized or unsubsidized loan depending on the student’s financial need as determined by that year’s FAFSA. Subsidized loans are need based and will not accrue interest while the student remains enrolled for at least 6 credits unlike unsubsidized loans which begin accruing interest the moment the loan disburses. There are limits to loans to keep in mind. The annual limit is dependent both on whether you are considered an independent or dependent student on the FAFSA and your academic year (sophomore, junior, or senior). There are also aggregate limits to consider, so if you have borrowed loans in the past, and are not sure how much you have already borrowed, it is a good idea to log into www.studentaid.gov to look over your loan history.
Graduate students can borrow unsubsidized or graduate plus loans. There are limits, both yearly and aggregate to graduate unsubsidized loans. The annual limit is $20,500. The aggregate limit is $138,500 and this includes all loans borrowed while pursuing prior degrees. If you have borrowed loans in the past, and are not sure how much you have already borrowed, it is a good idea to log into www.studentaid.gov to look over your loan history. Note, graduate plus loans do not have limits, although they cannot exceed your semester’s cost of attendance, and require a credit check.