Federal Direct Loans
JC is concerned about the high debt level of our students. All Federal Direct Subsidized and Unsubsidized Loans are based on a standard institutional budget. Federal Direct Loans are intended to be used for direct educational expenses including tuition, fees, student room and board, books and transportation. You may not be eligible to borrow the maximum amount. Loan funds cannot be used to pay for non-education expenses.
Additionally, your actual loan amount is based on your loan period and other financial aid/educational resources you receive during the loan period. If you are applying for a loan for one semester of attendance at JC, your loan amount will not exceed half of your annual loan limit. One semester loans will also have two disbursement dates. You must be enrolled in a minimum of 6 credit hours to receive any loan funds. You will automatically be considered for subsidized loan funds first.
Original loans will only be processed for the Fall and Winter semesters. You will receive an email at your JC email account when your award has been determined. You may reduce the amount of your loan when you accept/reject your loan through e-Services. Loan requests for Spring will be available in mid-March. You will only be eligible for a Spring loan if you are making satisfactory academic progress and have not received the maximum amount during the Fall and Winter semesters. (See chart below.)
Maximum Annual Borrowing Limits for the Entire Academic Year
(Fall, Winter & Spring)
(Subsidized + Unsubsidized)
|Freshman (0-23 credits)||$3,500||$5,500|
|Sophomore (24+ credits)||$4,500||$6,500|
|Independent (as determined by FAFSA)|
|Freshman (0-23 credits)||$3,500||$9,500|
|Sophomore (24+ credits)||$4,500||$10,500|
If you change from a freshman status to a sophomore status during the academic year, your maximum eligibility is the total for the sophomore status.
The U.S. Department of Education will deduct fees from the approved amount of your loan before the funds are sent to JC. (See charts below)
|Loan Type||First Disbursement Date||Origination Fee|
|Direct Subsidized & Unsubsidized||10/01/15 - 09/30/16||1.068%|
|Direct Subsidized & Unsubsidized||10/01/14 – 09/30/15||1.073%|
|Direct PLUS||10/01/15 - 09/30/16||4.272%|
|Direct PLUS||10/01/14 – 09/30/15||4.292%|
|Loan Type||First Disbursement Date||Fixed Interest Rate|
|Direct Subsidized & Unsubsidized||07/01/15 - 06/30/16||4.29%|
|Direct Subsidized & Unsubsidized||07/01/14 – 06/30/15||4.66%|
|Direct PLUS||07/01/15 - 06/30/16||6.84%|
|Direct PLUS||07/01/14 – 06/30/15||7.21%|