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Student loans are a form of federal financial aid, and you must complete a FAFSA to be eligible for federal loans. Pierce College participates in the Direct Loan Program, a low-interest, federal loan program.
Steps for Applying for Federal Direct Loans
- Submit a FAFSA Application
- Your Award Letter will be available in ctcLink to accept your loans.
- First time borrowers must complete the Master Promissory Note and Loan Entrance Counseling at the Federal Student Aid website. You will find this under Complete Aid Process.
- Allow 1 to 2 weeks for processing.
Types of Loans
There are two forms of Federal Direct Loans: Subsidized and Unsubsidized. Direct Subsidized Loans do not accrue interest while the student is enrolled at least half-time. Direct Unsubsidized Loans begin to accrue interest at the time of disbursement. Students have the option make interest-only payments while they are still in school for Direct Unsubsidized Stafford Loans.
Pierce College’s Current Loan Cohort Default rate is 9.5.
There is a limit on the maximum period of time (measured in academic years) that a student can receive Direct Subsidized Loans. In general, students may not receive Direct Subsidized Loans for more than 150% of the published length of their program. More information regarding this 150% limitation on Direct Subsidized Loans.
| Student Level | Maximum Stafford (Subsidized and Unsubsidized) | Maximum Subsidized |
|---|---|---|
| Dependent | ||
| First Year | $5,500 | $3,500 |
| Second Year | $6,500 | $4,500 |
| Third or Fourth Year** | $7,500 | $5,500 |
| Independent | ||
| First Year | $9,500 | $3,500 |
| Second Year | $10,500 | $4,500 |
| Third or Fourth Year** | $12,500 | $5,500 |
| **For students in their third or fourth year pursing Bachelor’s Degree at Pierce College. | ||
For questions regarding your student level and loan eligibility, please contact the Financial Aid Office.
| Lifetime Limits | ||
|---|---|---|
| Maximum Stafford (Subsidized and Unsubsidized) | Maximum Subsidized | |
| Dependent Undergraduate Student | $31,000 | $23,000 |
| Independent Undergraduate Student or Dependent Student Whose Parent is denied for the Parent PLUS Loan | $57,500 | $23,000 |