Loans | Undergraduate Students

Federal Loans

Federal loans are available to United States citizens and eligible noncitizens who are enrolled at least half-time in a degree program at Pacific University. Eligibility is determined by the information you provide on the FAFSA. A Repayment Estimator is available at studentloans.gov.

Subsidized Federal Direct Loan

Eligibility for the subsidized Federal Direct Loan is based on financial need, as determined by the information submitted on the FAFSA. The loan principal is deferred, and the government pays the interest on the loan while borrowers are enrolled at least half-time.

Annual Maximum Subsidized Direct Loan Limits
First Year $3,500
Sophomore  $4,500
Junior  $5,500
Senior $5,500

Unsubsidized Federal Direct Loan

The unsubsidized Federal Direct Loan is available to students who file the FAFSA and meet general federal student aid eligibility requirements, regardless of financial need. The loan principal may be deferred, but interest accrues once the loan is disbursed.

Annual Maximum Unsubsidized Direct Loan Limits*
First Year $5,500
Sophomore $6,500
Junior $7,500
Senior $7,500

*Includes any subsidized Direct Loan eligibility. Independent students and dependent students whose parents are denied a Federal Direct PLUS Loan may borrow an additional $4,000.

Interest Rate, Fees & Repayment
  • 3.76% for subsidized and unsubsidized loans disbursed after July 1, 2016.
  • Fixed interest rate
  • Interest paid may be tax-deductible
  • Fees of 1.068% are deducted from the loan when disbursed to the school. NOTE: Direct Loans that are disbursed for the first time after Oct. 1, 2016, will have an origination fee of 1.069%.
  • Standard 10-year repayment begins six months after graduation, or ceasing to be enrolled at least half-time. Other repayment options may be available and are described at studentaid.gov
  • Deferment, cancellation, forbearance, forgiveness, and discharge information is available at studentaid.gov.

Federal Direct PLUS Loans for Parents

The Federal Direct PLUS Loan is available to parents of dependent undergraduates. Students whose parents wish to borrow under the Federal Direct PLUS Loan for Parents must file a FAFSA. Parent borrowers may borrow up to the entire cost of attendance, less any financial aid the student receives. Eligibility for the Federal Direct PLUS Loan is credit-based; borrowers must not have negative credit. For more information about Federal Direct PLUS loans, please visit studentaid.gov.

Interest Rate, Fees & Repayment
  • 6.31% for Direct PLUS Loans disbursed after July 1, 2016
  • Fixed interest rate
  • Interest paid may be tax-deductible
  • Fees of 4.272% are deducted from the loan when disbursed to the school. NOTE: Direct Loans that are disbursed for the first time after Oct. 1, 2016 will have an origination fee of 4.276%.
  • Standard 10-year repayment begins 60 days after the loan has been fully disbursed, but can be deferred while the student is enrolled at least half-time. Other repayment options may be available and are described at studentaid.gov
  • Deferment, cancellation, forbearance, forgiveness, and discharge information is available at studentaid.gov.

Perkins Loans

Eligibility for the Perkins Loan is based on financial need as determined by the information submitted on the FAFSA. At Pacific University, loans of up to $5,500 are awarded to eligible, full-time undergraduate students with exceptional financial need. Annual loan amounts vary depending on available funds. No interest accrues on the Perkins Loan while the borrower maintains at least half-time enrollment. Interest will accrue at a 5-percent fixed rate when the loan enters repayment nine months after student ceases to be enrolled at least half-time. This loan program is scheduled to sunset on Sept. 30, 2017. Information on the Perkins Loan is available at studentaid.gov.

Alternative Loans

A variety of private lenders offer alternative loans funded through non-governmental sources. Once you and your family have considered all of the federal loan options, you can view and compare alternative loan options using FASTChoice. FASTChoice is a tool that provides detailed information for various loans, as well as the terms and benefits offered by lenders that have provided alternative loans to Pacific University students in prior years. While this tool can help you and your family make an informed decision about the most appropriate loan for you, you are not required to select a lender using the FASTChoice tool.

 

Pacific University staff members follow the Education Loan Code of Conduct (pdf) in administering education loans.