About Student Loans

Student loans are sources of financial aid which must be repaid at a later time; for this reason, they are considered self-help financial aid.

Most student loan programs offer favorable terms reserved for students. Interest rates on federal student loans (such as the Ford Federal Direct Subsidized or Unsubsidized or Federal Perkins loans) are typically lower than on other types of consumer loans, and repayment often does not begin until you are done with school or drop below half-time enrollment. Federal loans may offer an interest-free grace period before repayment begins, and some loans offer forgiveness options if you work in a particular program or position after you graduate.

There are three main types of student loans available to you as a UMD student:

• federal loans,
• Minnesota SELF Loan, and
• alternative loans offered through private lenders.

You may be offered some of these loans as part of your financial aid award. It is important to remember that these are funding options; you are not obligated to borrow any of the loans that are offered to you. However, if you do need to borrow, you are encouraged to use federal loan programs before using other loans.

You are encouraged to review your loan options carefully so that you can make informed decisions about your finances. Click on each loan type below for additional information:

Ford Federal Direct Student Loans (Subsidized and Unsubsidized)
Ford Federal Parent Loan for Undergraduate Students (PLUS)
Ford Federal Graduate PLUS Loan (for graduate and professional students only)
Minnesota SELF Loan
Alternative Loans from private lenders
Commonly used lenders for alternative loans

Useful links

Alternative Loan Guide
Undergraduate Loan Comparison Chart
Calculate Monthly Loan Payments
Direct Loans - Glossary of Loan Terms
View Your Federal Loan History or Make Online Payments
Federal Loan Consolidation