Federal Direct Unsubsidized Loan

This is a federally financed student loan made to undergraduate and graduate students who meet specific eligibility requirements. You may borrow up to the cost of attendance minus any other financial aid received and may not borrow more than the maximum annual or lifetime amount. Interest is charged throughout the life of the loan. You may choose to pay the interest charged on the loan or allow the interest to be added to the loan principal.


  • Federally funded.
  • Non need-based.
  • The fixed interest rate for loans in the deferment or six month grace period is as follows:

    Disbursement DateUndergraduate %Graduate %Loan Origination Fee
    (originated Oct. 1 annually)
    July 1, 2023 - June 30, 20245.50%7.05%available Oct. 1, 2023
    July 1, 2022 - June 30, 20234.99%6.54%1.057%
    July 1, 2021 - June 30, 20223.73%5.28%1.057%
    July 1, 2020 - June 30, 20212.75%4.3%1.057%
    July 1, 2019 - June 30, 20204.53%6.08%1.059%
  • Effective July 1, 2013: Interest rates are adjusted yearly based on the 10-year U.S. Treasury note index rate. The interest rate cap for undergraduate Federal Direct Subsidized and Unsubsidized Loans is 8.25%. The cap for graduate Federal Direct Unsubsidized Loans is 9.5%.
  • Interest starts accruing upon disbursement.
  • Subject to annual and aggregate loan limits.
  • This is a loan you must repay to the U.S. Department of Education.
  • Complete the student financial aid adjustment form if you wish to cancel or reduce a loan that has not been disbursed to your WMU account. If the loan has already disbursed, you must complete the student financial aid adjustment form within 30 days of the date of disbursement. Please note that canceling or reducing a disbursed loan may result in a balance due on your WMU account.
  • After you have been offered a Federal Direct Unsubsidized Loan, you will receive a Federal Loan Disclosure Statement from the Direct Loan Servicing Center or WMU. The disclosure statement identifies anticipated disbursement dates, gross and net disbursement amounts and loan fee amounts for all your federal loans for the academic year.


  • Undergraduate and graduate students.
  • Completed Federal Master Promissory Note required for first-time borrowers.
  • Federal loan entrance counseling required for first-time borrowers at WMU.
  • Offer eligibility based upon estimated family contribution, cost of attendance, enrollment and other resources.
  • Must be enrolled at least half-time. Offer will be canceled if enrolled less than half-time.
  • Offer may be adjusted or canceled if there is a change to cost of attendance, enrollment, graduating in August or December or if you receive additional resources.
  • Must be making satisfactory academic progress.
  • U.S. Citizen or eligible non-citizen.
  • Not in default on prior educational loans.


  • Accrued interest is billed quarterly and may be deferred (will be added to principal balance).
  • You will begin to repay your loan six months after you cease to be enrolled at least half-time. During this six-month grace period, interest will accrue on your loan. Once the grace period expires, you will begin to repay your loan.
  • Complete an exit counseling session so you are aware of all the information you will need to know about repaying your loan.
  • If you drop to less than half-time, withdraw, drop out, graduate or simply do not return to school, this information will be reported to the servicer and they will begin to count your grace period. You are responsible for notifying WMU immediately if your enrollment changes as described above.
  • Payments will be made to the U.S. Department of Education.
  • To obtain information about consolidating your federal loans, visit studentaid.gov. The interest rate for a consolidation loan is the weighted average of the interest rates on the loans being consolidated and is fixed for the life of the loan.
  • It is important that you maintain all important files and keep copies of your offer notices, Master Promissory Note, borrower's rights and responsibilities and the Loan Disclosure Statement in one place as they provide the details of your loans, and your rights and responsibilities as a student loan recipient.