Types of Loans

Loans are financial aid awards that require repayment with interest under varying terms and conditions.

Federal Direct Loans

Federal Direct Loans are loans that are borrowed from the Federal Government. There are four different types of federal direct loans:

Subsidized Loan

Loans from this program are awarded to students with financial need. This loan is subsidized because the federal government pays the interest while the student is in school and during the grace period (the first six months after leaving school or dropping to less than half time enrollment status).

Unsubsidized Loan

This loan is not based on financial need and is available to all eligible students, regardless of income. This loan is unsubsidized because the student is responsible for paying all interest due.

Parent PLUS Loan

A parent may borrow up to the annual cost of education minus any estimated financial aid received by the student. The application approval process includes a standard credit analysis for all parent borrowers.

Grad PLUS Loan

A graduate student may borrow up to the annual cost of education minus any estimated financial aid received by the student. The application approval process includes a standard credit analysis for all borrowers.

State Loans

California Dream Loan is a state loan that is borrowed directly from the school. This loan is only available to eligible undocumented students.

Alternative Loans

Alternative loans are loans borrowed from another private source. Alternative loan funds may be available to you when you are not eligible for financial aid or need additional funds to meet educational expenses.