Federal Direct Unsubsidized Stafford Loans

A Federal Direct Unsubsidized Stafford Loan is not based on financial need. It is available to you if you have not reached your annual maximum loan limit combined with your Federal Direct Subsidized Stafford Loan eligibility.

The interest rate for Federal Unsubsidized Stafford Loans is variable and changes every July 1st. The interest on an Unsubsidized Stafford Loan is your responsibility from the time the loan funds are sent to the university until it is paid in full. You can opt to allow the interest to accumulate; however, it will be added to the principal amount of the loan and increase the amount to be repaid. If possible, it is recommended that you contact the lender to make quarterly payments on the interest.

There is also an origination fee that will be deducted before the loan proceeds are sent to the school. The origination fee is a processing fee assessed by the Department of Education. Repayment of the loan begins six months after you are no longer enrolled at least half time (six credits).

New! Effective Fall 2015, students must accept their Federal Direct Unsubsidized Stafford Loan online via their myUMBC account before it can be considered as payment toward the bill. For more information on how to accept the loans online, please visit our Loan Acceptance page.

Stafford Loan Eligibility Requirements

  • You must be working toward a degree or approved certificate at UMBC
  • You must be meeting Satisfactory Academic Progress (SAP) standards
  • You must be enrolled for at least six credits each semester
  • A current year FAFSA is required
    • If the FAFSA is selected for verification, all required documents must be submitted and reviewed before the loan can be processed

Apply for a Federal Direct Unsubsidized Stafford Loan

If you are eligible for a Federal Direct Unsubsidized Stafford Loan, it will be included in their financial aid award package.

First-Time Stafford Loan Borrowers

In most cases, you will only be required to complete the Master Promissory Note (MPN) and Entrance Counseling once during their college career.

Prior Stafford Loan Borrowers

Loan Application Deadlines

Application Priority Processing Dates

Your loan application must be on file with our office by these dates in order for the loan funds to be available for the first billing due date.

Priority Processing
Summer 15 Fall 15 Only Fall 15/ Spring 16 Spring 16 Only Summer 16
MPN and Entrance Counseling received by the following dates: April 12, 2015 June 26, 2015 June 26, 2015 Dec. 11, 2015 April 15, 2016

Final Application Deadline Dates

Loan applications submitted after the priority deadline dates will be processed throughout the semester; however, MPNs and Entrance Counseling received after the following deadline dates cannot be processed.

Final Deadlines
Summer 15 Fall 15 Only Fall 15/ Spring 16 Spring 16 Only Summer 16
Last day to submit a MPN and Entrance Counseling: June 26, 2015 Dec. 11, 2015 May 1, 2016 May 1, 2016 June 24, 2016

Application Priority Processing Dates

Your loan application should be received in our office by these dates in order for the loan funds to be available for the first billing due date.

Priority Processing
Summer 14 Fall 14 Only Fall 14/ Spring 15 Spring 15 Only Summer 15
MPN and Entrance Counseling received by the following dates: April 18, 2014 June 27, 2014 June 27, 2014 Dec. 12, 2014 April 12, 2015

Final Application Deadline Dates

Loan applications submitted after the priority deadline dates will be processed throughout the semester; however, MPNs and Entrance Counseling received after the following deadline dates cannot be processed.

Final Deadlines
Summer 14 Fall 14 Only Fall 14/ Spring 15 Spring 15 Only Summer 15
Last day to submit a MPN and Entrance Counseling: June 27, 2014 Dec. 12, 2014 May 1, 2015 May 1, 2015 June 26, 2015

Reduce or Cancel a Federal Direct Unsubsidized Stafford Loan

You must accept some or all of your Subsidized Stafford Loan, if offered, before considering your Unsubsidized Stafford Loan. You may reduce or cancel an Unsubsidized Stafford Loan online via your myUMBC account if it has not yet disbursed. If the loan has already disbursed, you should complete the Loan Decrease/Cancel Request Form no later than 14 days after you receive the disbursement notification.

It is best to make the adjustments online or submit the form to our office for processing well before the funds are set to disburse to your billing account in order to avoid complications with the return of these funds.