Federal Direct Loans
Federal Direct Loans
The amount on your eligibility letter indicates the maximum loan for which you are eligible. There is currently a 1.068% origination fee deducted from the loan proceeds. The net amount of the loan after these deductions is the amount that will actually be applied to your tuition account.
The standard repayment period for Direct Loans is ten years, beginning six months after graduation or enrolling less than half-time (i.e. less than 6 credits/semester). Failure to make loan payments can result in adverse credit rating, legal action and wage garnishment. Even if your loan servicer changes, you are responsible for making monthly payments, regardless of whether or not the paperwork has been transferred. Filing for personal bankruptcy does not relieve you of your obligation to repay your student loans in most cases.
For Undergraduate Students
Direct Subsidized Loans
The Direct Subsidized Loan is need based. Interest is subsidized (paid) by the federal government as long as the student is attending school at least half-time. The fixed interest rate for the Subsidized Loan is currently set at 4.29%.
Direct Unsubsidized Loan
The Direct Unsubsidized Loan is a non-need-based loan. The fixed interest rate for the Unsubsidized Direct Loan is currently set at 4.29%. Interest begins accruing immediately after the loan is disbursed. Students can opt to defer interest payments while attending school at least half-time.
For dependent students:
- First-Year $5,500/year ($3,500/year may be subsidized if you qualify)
- Sophomore Year $6,500/year ($4,500/year may be subsidized if you qualify)
- Junior and Seniors $7,500/year ($5,500/year may be subsidized if you qualify)
For independent students:
- First-Year $9,500/year ($3,500 may be subsidized if you qualify)
- Sophomore Year $10,500/year ($4,500 may be subsidized if you qualify)
- Juniors and Seniors $12,500/year ($5,500 may be subsidized if you qualify)
For Graduate Students
Federal (Unsubsidized) Direct Loan
The Federal Unsubsidized Direct Loan is a non-need-based loan. The fixed interest rate for the Unsubsidized Direct Loan is currently set at 5.84%. Interest begins accruing immediately after the loan is disbursed. Students can opt to defer interest payments while attending school at least half-time.
- Annual lending limit: $20,500
If a borrower wishes to cancel all or a portion of his or her loan, he or she must submit a written request (email finaidAT_naropa.edu) within 14 days of the disbursement or the first day of classes. The school may return funds on behalf of the borrower if the request is received outside of this timeframe, or, depending on the circumstances, may advise the borrower to contact the appropriate servicer so that the borrower can return the funds directly. The school cannot return funds on behalf of the borrower if the funds were disbursed more than 120 days before the request; in this case, the borrower must contact the servicer and make the return directly.
Coordinator of Student Accounts
Financial Aid Office
2130 Arapahoe Ave.
Boulder, CO 80302