Federal Direct Subsidized/Unsubsidized Loans All eligible students may apply for the Federal Direct Subsidized/Unsubsidized Loan for up to the amount shown on the financial aid award letter. How to Apply Request Loan Amount: Request your Federal Direct Subsidized/Unsubsidized Loan amount online via Piperline. (The amount requested will be split evenly between the terms for which you are awarded.) - Use the link above to log in to Piperline. - Choose the Financial Aid Services tab - Click on the Award link. - Choose Award by Aid Year. - Select Academic Year from the drop down list. (For Fall 2016-Summer 2017, choose the 2016-2017 academic year) - Click the Accept Award Offer tab, decide how much of your Federal Direct Subsidized/Unsubsidized Loan you wish to borrow for the academic year and follow the instructions on the screen. - Click the Submit Decision button to save your request If you prefer not to accept your loan online, you may complete and submit a paper Federal Direct Subsidized/Unsubsidized Loan Request Form. Your Federal Direct Subsidized/Unsubsidized Loan will not be processed until you have requested the loan amount. 2016-2017 Federal Direct Subsidized/Unsubsidized Loan Application Complete a Master Promissory Note: First time Hamline borrowers must complete a new Master Promissory Note (MPN) at StudentLoans.gov. You will need your FSA ID to sign in and complete the MPN. Entrance Counseling: First time borrowers must complete Subsidized/Unsubsidized Loan Entrance Counseling online at StudentLoans.gov. The average Hamline Undergraduate student Federal DIrect Subsidized/Unsubsidized loan debt is $23,829. The average Hamline Master and Doctorate student Federal Direct Subsidized/Unsubsidized loan debt is $29,573. You may use the Loan Payment Calculator on the Federal Student Aid website to determine your estimated loan payments. Loan Fees The loan fee is a processing fee the lender takes out from the loan prior to each disbursement sent to Hamline. For loans with a first disbursement paid to Hamline between October 1, 2015 and September 30, 2016, the fee is 1.068% of the amount requested. For loans with a first disbursement paid to Hamline on or after October 1, 2016, the fee is 1.069% of the amount requested. Subsidized* VS Unsubsidized Subsidized Loans* Unsubsidized Loans Only available to Undergraduate, Post baccalaureate, and Licensure students Loan amount dependent on income (need-based) Interest-free until the repayment period Repayment starts six months after student drops below half-time status Interest rate for 2016-2017 academic year is 3.76% fixed Available to Undergraduate, Post baccalaureate, Licensure, Masters and Doctorate students Loan amount not dependent on income (not need-based) Interest starts once loan has been paid to the student Interest can be paid while in school or student can wait until repayment starts (talk to loan servicer for info about in-school payments) Repayment starts six months after student drops below half-time status Undergraduate interest rate for 2016-2017 academic year is 3.76% fixed Graduate and Doctorate interest rate for 2016-2017 academic year 5.31% fixed Annual and Aggregate Loan Limits by Student Type Year Dependent Undergraduate Students Independent Undergraduate Students Master and Doctorate Students First Year $5,500 including a max of $3,500 in subsidized* $9,500 including a max of $3,500 in subsidized* $20,500 unsubsidized Second Year $6,500 including a max of $4,500 in subsidized* $10,500 including a max of$4,500 in subsidized* $20,500 unsubsidized Third Year and Each Year After** $7,500 including a max of $5,500 in subsidized* $12,500 including a max of $5,500 in subsidized* $20,500 unsubsidized Subsidized*/Unsubsidized Loan Lifetime Limits $31,000 including a max of$23,000 in subsidized* $57,500 including a max of $23,000 in subsidized* $138,500 including a max of $65,500 in subsidized The graduate debt limit INCLUDES loans received from undergrad. * Time limitation (150%) - Students can only receive subsidized loans for 150% of the published length of the borrower's educational program (assuming the borrower hasn't reached their annual or aggregate limit listed above). For example, a student in a 4 year program can only receive subsidized loans for 6 years at most. Please view this Federal Student Aid announcement for more information. ** Post Baccalaureate students, including initial teaching licensure not in the MAT program, follow the undergraduate loan limits for third year. To estimate your loan repayment visit the Student Loans website.