Types of Aid - Loans

Your UWF financial aid package will be made up of a combination of awards depending on your academic standing and your financial need. Awards including scholarships, grants, loans, and federal work-study opportunities are all part of what makes a UWF education affordable.

Types of Loans

A loan is borrowed money that must be repaid. Low-interest, long-term loans are awarded on the basis of demonstrated financial need or the cost of attendance.

Federal Direct Loans

When you complete the FAFSA, you are applying for all of the aid programs. You do not complete a separate application for the Federal Direct Loan. There are two types of Direct Loans:

  • Subsidized - awarded on the basis of financial need. You will not be charged interest as long as you maintain half-time (6 hours) enrollment status. Subsidized loans are available to undergraduate students only.
  • Unsubsidized - not awarded on the basis of need. You will be charged interest from the time the loan is disbursed until it is paid in full. If you allow the interest to accumulate, it will be capitalized. The interest will be added to the principal amount of the loan and additional interest will be based upon the higher amount. This will increase the amount of money to be repaid. You will repay less if the interest is paid as it accumulates.

For more detailed information including loan limits and interest rates, visit loan details.

Federal Direct PLUS Loan for Graduate Students 

The Grad PLUS loan allows a graduate student to borrow up to the total cost of attendance minus any other financial aid. The interest rate is currently fixed at 7.21%, and repayment is generally deferred while in school.  

In order to qualify for the Grad PLUS, the student must meet basic eligibility requirement: 

Complete the FAFSA. While it is not required, it is our recommendation that you borrow your maximum unsubsidized loan limites prior to applying for a Grad PLUS loan. 

Be enrolled in a minimum of 6 graduate level credit hours. 

Be a US citizen or eligible Non-Citizen.

Maintain Satisfactory Academic Progress Standards. 

Pass a credit check. 

Graduate students may apply for the Grad PLUS loan at www.studentloans.gov. 


For more detailed information including loan limits and interest rates, visit loan details.

Federal Direct Parent (PLUS) Loans

The Parent PLUS loan allows a parent to borrow on behalf of their dependent, undergraduate children who are enrolled at least half-time (6 hours). A PLUS loan may not exceed the cost of attendance minus other aid awarded.  Parents of dependent undergraduate students may apply for the Parent PLUS loan at www.studentloans.gov. 

  • Please note: You are required to complete the FAFSA prior to obtaining a PLUS loan. Repayment begins within 60 days of the loan being disbursed unless deferred repayment is requested by the parent.

Alternative/Private Loan

In the event you do not qualify for financial aid, have reached the aggregate loan limit, or need aid in excess of what you have been awarded, you may apply for a private loan, often referred to as an alternative loan. Although it is not required, you are encouraged to exhaust all federal loan eligibility prior to applying for a private/alternative loan. The terms of a federal loan are generally more favorable than a private loan.

For more detailed information, visit loan details.