Federal Direct Loans
A Few Words of Advice...Borrow only if absolutely necessary.
MiraCosta Financial Aid Office does not participate in certifying alternative/private education bank loans or Parent Plus loans.
Attention NEW 2013-14 Direct Loan Borrowers
Beginning July 1, 2013 there is a new time limit on borrowing Direct Subsidized loans for NEW borrowers. If you have NEVER borrowed a Direct Subsidized loan and you will be borrowing for the first time during the 2013-14 school year, please click on the link below for IMPORTANT information regarding your new loan:
Federal Direct Loans: Direct Loans are low-interest loans for students to help pay for the cost of a student's education after high school. The lender is the U.S. Department of Education, though most of the contact will be with your loan servicer. A loan origination fee of 1.05% will be deducted from each loan received during the academic year.
The maximum eligibility for grade level 1 (freshmen 0 - 29 college units) is $3,500 per academic year, and the maximum eligibility for grade level 2 (sophomores 30 college units or more) is $4,500 per academic year. Students receiving loan funds for one semester at MiraCosta in order to complete their educational program may receive prorated amounts.
Direct Subsidized Loans: Subsidized loans are based on financial need. The federal government pays the interest on the loan while you are in school at least half-time (6 or more units). Interest begins accruing during the 6 month grace period for loans received on or after July 2, 2012 and before July 1, 2014.
Direct Unsubsidized Loans: Unsubsidized loans are not based on financial need. Interest is accruing while you are in school and added to the principal loan amount when you go into repayment. MiraCosta’s Financial Aid Office strongly encourages you to explore all options before requesting an unsubsidized loan.
You will not be required to make principal payments while you are in school at least half-time. Six months after leaving school, dropping below half-time or graduating, you will begin to make regular monthly payments on both the principal (the amount you borrowed) and the interest (the amount charged to you for borrowing the money). Depending upon the total amount you borrowed, it may take up to ten years to repay your loan(s).
Direct Loan funds are disbursed in equal payments throughout the entire loan period. No loan checks will be released under any circumstances prior to the thirtieth day of a semester or summer session. ALL loan disbursements will be mailed to students or through direct deposit.
A Few More Words of Advice. . . Borrow only what is absolutely necessary. You may be paying back this loan for a long time. Take the time now to ask questions and make the right decision, that decision can save you money.
- The DEADLINE to submit a loan packet is as follows:
- Fall Only Students: December 12, 2013
- Spring Only or Full Year Students: April 3, 2014
Student Loan Information