The exact amount of money that you will be able to borrow depends on factors like student status. Whether you are an undergraduate student, graduate student, professional student, or parent will determine your borrowing limits. General guidelines to keep in mind include:
Undergraduate students that have Direct Subsidized Loans or Direct Unsubsidized Loans can borrow between $5,500 to $12,500 a year. Factors that will impact this amount include the year of the student and the student’s dependency status.
Graduate and professional students can borrow up to $20,500 a year with Direct Unsubsidized Loans.
When it comes to Direct PLUS Loans, there is no limit. The amount that you can borrow is determined by the school.
Bottom Line
When you need to handle the cost of higher education, there may be more opportunities than you realize. One opportunity that many students use is federal student loans. These student loans include four types of Direct Loans which are:
Subsidized Loans
Unsubsidized Loans
PLUS Loans
Consolidation Loans
Each loan can provide a different set of opportunities to the recipient. That is why it is important to review your options. If you have any questions, you can reach out to your school’s financial aid office for more information!