Loans

Providing essential funds

Loans help you pay for college, filling financial gaps and providing necessary funding for tuition and other educational expenses. Student loans from the federal government offer many advantages, such as fixed interest rates. Plus, they often have more flexible repayment plans and access to loan forgiveness programs under certain conditions.

If you have been offered a Federal Direct Student Loan as part of your aid package, you will need to log into UIndy Self-Service to accept, modify, or decline your loans. For incoming students, you can access Self-Service once you have submitted your deposit or received your UIndy email information.

If you are accepting Federal Student Loans for the first time, you will also need to complete a Master Promissory Note (MPN) and Entrance Counseling Session at studentaid.gov.

Types of Loans

  • Description: Low-interest loans available to undergraduate students
  • Amount: Varies depending on academic level and dependency status
  • Eligibility:
    • Half-time enrollment (at least 6 hours per semester for undergraduate students or 4.5 hours for graduate students)
    • Costs not already covered by other financial aid sources
  • Types: Direct Subsidized Loans are available to undergraduate students with financial need. Direct Unsubsidized Loans are available to undergraduate and graduate students.
  • Terms: Repayment of the loan begins six months after the student ceases half-time enrollment
  • Interest and Fees: Fixed interest rate on loans (interest does not accrue on subsidized loans). Origination fee assessed by the government. See current interest rates
  • Applying: Complete the Free Application for Federal Student Aid (FAFSA) at fafsa.gov to be considered for federal loans.
  • Description: Loans for parents of dependent students
  • Amount: Up to the student’s cost of attendance minus other aid received.
  • Eligibility:
    • Be the biological or adoptive parent (or in some cases, the stepparent) of a dependent undergraduate student enrolled at least half time
    • Not have an adverse credit history 
  • Terms: Repayment begins within 60 days of the final disbursement each year
  • Deferment: May request while student enrolled in at least six credit hours and for an additional six months after your child graduates, leaves school, or drops below half-time enrollment 
  • Interest and Fees: Fixed interest rate on loan. Origination fee assessed by the government. See current interest rates
  • Applying: Students will first need to complete their FAFSA. Parents can apply online at studentaid.gov. First time parent borrowers will also need to complete a Master Promissory Note.
  • Description: Additional federal loan for graduate students
  • Amount: Up to the student’s cost of attendance minus other aid received.
  • Eligibility:
    • Be a graduate student enrolled in at least 4.5 credits in a degree program
    • Not have an adverse credit history 
  • Terms: Repayment of the loan begins six months after the student graduates, withdraws, or drops below half-time enrollment (4.5 credits per term)
  • Interest and Fees: Fixed interest rate on loan. Origination fee assessed by the government. See current interest rates
  • Applying: Students will first need to complete their FAFSA. The application can be completed online at studentaid.gov. First time borrowers will also need to complete a Master Promissory Note and Entrance Counseling session.
  • Description: Loans offered by some banks, credit agencies, and other lenders to students and parents to cover educational costs
  • Amount: Up to the student’s cost of attendance minus other aid received.
  • Terms: Varies. Some private lenders may require payments while the student is still in school.
  • Interest and Fees: Varies based on lender and borrower. Check with your private loan lender for more info.
  • Applying: Application process varies by lender. Visit Private Loan Information page for more details.
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