Types of Loans
- Federal Direct Stafford Loans
- Federal Parent PLUS Loans
- Federal Graduate PLUS Loans
- Alternative / Private Loans
- JSU does not participate in the Federal Perkins Loan Program
Federal Direct Stafford Loans
If you apply for financial aid, you may be offered loans as part of your financial aid offer at JSU. A loan is money you borrow and must pay back with interest. If students wish to borrow the loans offered to them, they must accept these on their MyJSU account.
A federal student loan allows students and their parents to borrow money to help pay for college through loan programs supported by the federal government. These loans usually have low interest rates and offer attractive repayment terms, benefits and options. Generally, repayment of a federal loan does not begin until after the student leaves school. Federal student loans can be used to pay school expenses such as tuition and fees, housing, books, supplies, and transportation. Jacksonville State University participates in the Federal Direct Stafford Loan Program. (See more information on the Direct Stafford Loan Program below.)
Annual Loan Limits (combined maximum for subsidized and unsubsidized under the Federal Loan Programs):
- For undergraduate dependent students include a maximum aggregate loan eligibility of $31,000. Award amounts for each academic year up to:
- $5,500 (freshmen)
- $6,500 (sophomores)
- $7,500 (juniors and seniors)
- For undergraduate independent students a maximum aggregate loan eligibility of $57,500. Award amounts for each academic year up to:
- $9,500 (freshmen)
- $10,500 (sophomores)
- $12,500 (juniors and seniors)
- For graduate/professional students a maximum aggregate loan eligibility (including undergraduate loans) of $138,500. Award amount of up to:
The amount a student may borrow is limited to the cost of attendance set annually by JSU minus any other financial aid. You may contact our office for more information on the cost of attendance. A student who receives a loan must be enrolled in at least half time in financial aid eligible coursework within a financial aid eligible program and complete Entrance Counseling and a Master Promissory Note before disbursement of funds. For total amounts borrowed, students may use his/her FSA ID to log in to the National Student Loan Data System (NSLDS)
There are three types of Direct Loans available:
- Direct Subsidized Loans are loans made to eligible undergraduate students who demonstrate financial need to help cover the costs of higher education at a JSU.
- Direct Unsubsidized Loans are loans made to eligible undergraduate, graduate, and professional students, but in this case, the student does not have to demonstrate financial need to be eligible for the loans.
- Direct PLUS Loans are loans made to graduate or professional students or parents of dependent undergraduate students to help pay for education expenses not covered by other financial aid.
Students receiving a Federal Direct Stafford Loan at JSU must complete Federal Direct Loan Exit Counseling during the term that you expect to graduate and/or if you drop below half time enrollment, you will be asked to complete an Exit Counseling/Interview if you have had a Federal Studen Loan while at JSU. Your FAFSA ID will be required to complete Direct Loan Exit Counseling. It is very important to notify your lender(s) of address changes so that you will receive your repayment information when your grace period ends.
Additional Resources for Federal Direct Loans
Instructions for Accepting Federal Student Loans
Parent PLUS Loan Instructions
Loan Repayment Information
Once you graduate, drop below half-time enrollment, or leave school, your federal student loan goes into repayment. However, if you have a Direct Subsidized or Direct Unsubsidized you have a six-month grace period before you are required to start making regular payments.
Your loan servicer will provide you with a loan repayment schedule that states when your first payment is due, the number and frequency of payments, and the amount of each payment.
Tip: Federal Student Aid offers a Loan Simulator that can help you make decisions about your student loans!
Stay in touch with your loan servicer—especially if you are struggling to make payments on your loans. Your loan servicer will explain your repayment options, such as applying for an income-driven repayment plan or a forbearance or deferment, to help you stay on track or get back on track when you fall behind. If you can’t make payments, contact your loan servicer to find out your options.
Alternate/Private Loans are nonfederal loans issued by a lender such as a bank or credit union. Private student loans often have variable interest rates, require a credit check, and do not provide the benefits of federal student loans. A student must be enrolled in at least half time and be making Satisfactory Academic Progress in most cases. Some lenders do allow students to be enrolled in less than half time and/or not meeting Satisfactory Academic Progress. JSU highly recommends exhausting all federal eligibility before pursuing Alternative/Private Loans because they are generally more expensive than federal loans. If you would like to review a historical list of private loan lenders to JSU students, you may visit FASTCHOICE. Steps to apply are listed under the FAQ & Hints tab. For information to compare private loans to federal loans visit Federal Student Aid's site.