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Student & Parent Loans

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Student loans are funds provided to a student for educational expenses and are considered self-help financial aid because you must repay the money loaned to you. Loans are the last type of aid for which you are considered, after gift aid and Federal Work-Study. Federal student loan programs offer favorable terms reserved for students. Interest rates are lower than typical consumer rates and you may have an interest-free grace period before repayment begins. ASU offers the types of loans shown below.

ASU follows the Arizona Student Loan Code of Conduct between schools and lending institutions. Please read the Code of Conduct here.

Types of Loans

Loan Program Program Details Annual Award Limits
Federal Direct Stafford Loans
(subsidized and unsubsidized)
  • For undergraduate and graduate students.
  • Interest charged on this loan is fixed at 6.8 percent for loans disbursed on or after July 1, 2006.
  • The federal government pays interest on subsidized loans during school and certain other periods.
  • The student pays all interest on unsubsidized loans.
  • Undergraduate students are eligible for an interest rate reduction on subsidized loans.
  • Must be must be enrolled at least half-time.
  • Lender is the U.S. Dept. of Education; payment is owed to the federal government.
  • Cancellation and deferment options available for teachers.
  • Between 10 and 25 years to repay this loan, depending on amount owed and type of repayment plan selected.
  • Additional information from the Dept. of Education.
  • Depends on grade level in school and dependency status (see Stafford loan limits)
  • Financial need is required for subsidized loan.
  • Financial need not necessary for unsubsidized loans.
Federal Perkins Loans
  • Undergraduate students - up to $3,000 a year (maximum of $27,500 as an undergraduate)
  • Graduate students - up to $3,000 (maximum of $60,000 as a gradate, including undergraduate Perkins loans)

Federal Direct Parent PLUS Loans

  • For biological and/or adoptive parents of dependent undergraduate students enrolled at least half-time (legal guardian is not considered a parent for financial aid purposes).
  • Interest charged on this loan is fixed at 7.9 percent for loans first disbursed on or after July 1, 2006.
  • Borrower pays all interest.
  • Borrower must not have negative credit history.
  • Lender is the U.S. Dept. of Education; payment is owed to the federal government.
  • Between 10 and 25 years to repay this loan, depending on amount owed and type of repayment plan selected.
  • Income Contingent Repayment Plan is not an option.
  • Please read additional information about the Parent PLUS Loan.
  • Additional information from the Dept. of Education.
Maximum amount is cost of attendance minus any other financial aid the student receives.
Federal Direct PLUS Loans for Graduate and Professional Students
  • For graduate or professional degree students enrolled at least half-time.
  • Interest charged on this loan is fixed at 7.9 percent for loans first disbursed on or after July 1, 2006.
  • Borrower pays all interest.
  • Borrower must not have negative credit history.
  • Lender is the U.S. Dept. of Education; payment is owed to the federal government.
  • Between 10 and 25 years to repay this loan, depending on amount owed and type of repayment plan selected.
  • Income Contingent Repayment Plan is not an option.
  • Additional information from the Dept. of Education.
Maximum amount is cost of attendance minus any other financial aid the student receives.

Private Education Loans
(alternative loans)

List of lenders from Finaid.org

  • For undergraduate, graduate or professional degree students.
  • Interest charged on this loan is determined by the lender.
  • Borrower must not have negative credit history.
  • The lender determines eligibility for this type of loan.
  • Length of repayment depends on amount owed and type of repayment plan selected with the lender.
  • The Private Education Loan Applicant Self-Certification form must be completed by the student and submitted to the lender before disbursement can occur.
  • Additional information.
 Maximum amount is cost of attendance minus any other financial aid the student receives.
Note: The information on this page is periodically reviewed and updated to reflect current federal rates and requirements and is subject to change without prior notice. For up-to-date information please visit www.studentaid.ed.gov.