Federal Direct Unsubsidized Loans US citizen and eligible non-citizen graduate students have the option to Borrow Federal Unsubsidized Loan to assist with their educational cost.

This Information is applicable to existing or new borrowers with federal loans prior to the implementation of the new regs under the One Big Beautiful Bill Act on July 1st 2026. If you have already borrowed Federal Direct Loans or Grad PLUS Loans, or will do so prior to July 1, 2026, for your current degree program, the new law will not impact the amount you may borrow for your current program for up to three more academic years or the remainder of your published program length at MICA, whichever is shorter. This exception applies only as long as you continue in your current degree program without a break in enrollment.

Direct Unsubsidized Loans

Direct Unsubsidized Loans are available to graduate students regardless of financial need. The student is responsible for paying the interest on the Unsubsidized Loan during all periods. If a student chooses not to pay the interest while enrolled in school and during grace and/or deferment periods, the interest will accrue and be capitalized (added to the principal loan amount).

How to Apply

Federal Direct Unsubsidized Loan is available to graduates who have at least half-time enrollment. We encourage all students to borrow this loan before borrowing PLUS or private student loans

The Annual Loan Limit for the Federal Direct Unsubsidized Loan is $20,500 and the aggregate Lifetime loan limit is $138,500 (includes the amount borrowed as an undergraduate)

 

Important Information for New Borrows on or After July 1st 2026

Effective July 1, 2026 based on the One Big Beautiful Bill Act , Federal Direct Unsubsidized Loan borrowers will be limited to $20,500 per year and a maximum aggregate limit of $100,000, not including undergraduate loan debt and they will no longer be eligible to apply for the Federal Direct Graduate PLUS Loan.

As a result, graduate students will rely on other financial resources such as Private Educational Loans,  Private Scholarships, VA benefits, Employee Tuition Benefits, Payment Plans to finance remaining educational costs.

Students are encouraged to secure financing before billing due date to avoid past due balances.

Questions? We can help.

Office of Financial Aid

Location

Bunting Center1401 W Mount Royal AveBaltimore, MD 21217
 

 

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