Federal Direct Loan Programs

Please review loan deadlines below, all requests received after the deadlines will be considered for the upcoming semester.

The Direct Loan Program offers the following types of loans:

Direct Subsidized Loans:

  • For students with financial need.
  • You must be enrolled at least half time.
  • No interest is charged while you are in school at least half time, during your grace period, and during deferment periods.
  • You do not have to make payments while you are attending school at least half time and during your grace period.
  • You will receive a six month grace period after you drop below half time.
  • Subsidized Usage Limit Applies (SULA)-As of July 1,2013, a first-time borrower is subject to additional provisions authorized under the Moving Ahead for Progress in the 21st Century Act (MAP-21). SULA eligibility for a Direct Subsidized Loan cannot go beyond 150% of the length of the program the borrower is enrolled in. Exceeding the 150% limit will cause the borrower to lose Direct Subsidized Loan eligibility and loss of subsidy on previously borrowed subsidized loans.

Direct Unsubsidized Loans:

  • Not based on financial need.
  • You must be enrolled at least half time.
  • Interest is charged during all periods.
  • You do not have to make payments while you are attending school at least half time and during your grace period, but interest will continue to be charged.
  • You will receive a six month grace period after you drop below half time.

Direct PLUS Loans:

  • Unsubsidized loans for graduate or professional students (and for parents of dependent undergraduate students).
  • You must be enrolled at least half time.
  • You can borrow up to the school's cost of attendance, less all other financial assistance you receive.
  • Interest is charged during all periods.
  • Direct PLUS Loans do not have a grace period. The repayment begins as soon as the loan is fully disbursed, but you may defer repayment while you are enrolled at least half time and for an additional six months after you drop below half time.
  • To qualify for a Direct PLUS Loan, you must not have an adverse credit history. A credit check will be conducted.
  • If you have an adverse credit history, you may still qualify for a Direct PLUS Loan if you obtain an endorser who does not have an adverse credit history, or if you document to our satisfaction that there are extenuating circumstances related to your adverse credit history. (An endorser is someone who agrees to repay a Direct PLUS Loan if you do not repay the loan.
  • Parents of dependent students who want to borrow should contact the Financial Aid Office to apply for a PLUS loan.

Students may borrow up to the amounts listed on the Federal Direct Loan Request Form but cannot exceed their Cost of Attendance (COA). You will be required to complete a Master Promissory Note (MPN). All loans will have multiple disbursements, normally 2 per semester. See your loan disclosure statement for dates. A fee will be deducted equally from each disbursement of your loan. Follow the steps below to complete the Federal Direct Stafford Loan process. Failure to follow steps in order may delay processing of the loan. If you have any questions, please contact our office. Borrowers must submit requst form prior to October 6th  for Fall loans and March 9th  for Spring loans and June 8th for Summer loans.

Step 1:  Complete Online Entrance Counseling. As a student loan borrower, you must complete Entrance Counseling so you can be completely informed before borrowing a loan. You must sign in using your FSAID. All borrowers under the Federal Direct Loan Program are required to complete online Entrance Counseling before receiving their loan. Counseling must be completed prior to submitting the Federal Direct Loan Request Form.

About the Quiz

  • Each Counseling Session page will provide you with information about Federal Direct Loans. There will be a quiz at the end of each section. You must complete each section and answer all the questions in order to select the "Continue" button and view the next page.
  • Each Counseling Session page will contain right links on the right hand side to indicate the current counseling page. You may select one of the links in order to go to that page. Only completed pages will be accessible via the right navigation links.
  • Your answers to the quiz will be saved if you choose to navigate to other screens. If you do not complete the counseling prior to logging out of the Direct Loan web site, your answers will not be saved, and you will have to begin a new counseling session from Step 1.
  • Once you have completed the Counseling Session and quiz you will be taken to the Completion Verification page, which will display your information, the date you completed the counseling session and the type of counseling you have completed based on the type of student you told us you are. You may print a copy of the verification page for your records. The school(s) you choose will be informed electronically when you complete your counseling.
  • There is a loan calculator that you can use to determine what you should borrow (for all the years you are in school). Also, based on what you have already borrowed and what you expect to borrow, you can get an idea of how much you should earn in order to repay your loans. Entrance Counseling is required each year you request a Federal Stafford Loan.

Step 2:  Complete Online Master Promissory Note (MPN).  To sign the MPN electronically, you will need to use your FSAID. If you don’t have one or you forgot FSAID, you may go to www.fsaid.ed.gov. MPN must be completed prior to submitting Federal Direct Loan Request Form. Your rights and responsibilities as a borrower are further explained on your MPN.

Step 3:  Complete the Federal Direct Loan Request Form and return it to the Financial Aid Office at Central Arizona College.

Exit Loan Counseling

After you have taken a federal student loan, you will need to prepare to repay it. Exit Counseling will provide you with the important information you will need. This process will take 20-30 minutes to complete and you will be able to do so by visiting: 14 www.studentloans.gov, logging in and Completing Exit Counseling. You are required to do this when you graduate, leave school or reduce your course load to below half-time status (less than 6 hours). You will need your FSA ID as well as names, addresses, email addresses and phone numbers for your next of kin, two references who live in the US and your future employer (if known). You will review and sign your Borrower's Rights and Responsibilities and be reminded of all of the terms and conditions of your loans. More specific information regarding Exit Counseling may be found at www.studentloans.gov.

Upon Graduation and/or leaving CAC student borrowers want to make sure and complete online exit counseling to ensure successful repayment of your Federal Direct Loans. 


Content on this page is provided by Financial Aid.

Central Arizona College - District Office 8470 N. Overfield Road, Coolidge, AZ 85128 Phone: 800-237-9814