Federal student loans offered by the U.S. Department of Education to help eligible students cover the cost of higher education at an accredited institution.
- Students who are U.S. citizens and eligible non-citizens can apply
- FAFSA is required
Federal loans offered by the U.S. Department of Education to parents of dependent undergraduate students that they can use to help pay for college.
- Parents can apply
- Only U.S. citizens or eligible non-citizens can apply
- FAFSA is required
Private loans offered by private lenders to provide funds to pay for educational expenses.
- All students and parents can apply
- Does not require the FAFSA
Interest rates for Federal Direct Loans are set annually by federal law and are based on the high yield of the 10-year U.S. Treasury note plus a fixed statutory add-on that varies by loan type (Direct Subsidized, Direct Unsubsidized, or Direct PLUS Loan). The interest rate is determined each spring for loans first disbursed during the upcoming award year and remains fixed for the life of that loan.
In addition to interest, all Federal Direct Loans are subject to a federal loan origination fee. This fee is established by federal law and is calculated as a percentage of the total loan amount. The origination fee is deducted proportionally from each loan disbursement before the funds are applied to your student account.
National Student Loan Data System (NSLDS)
As a Federal Student Aid Programs Eligible Institution, Rensselaer is required to report detailed information on certified Federal Student Loans to the National Student Loan Data System (NSLDS). This includes eligibility details for Federal Direct Loans, Perkins Loans, and Pell Grants, along with award periods, amounts, and schools where funds were used. Authorized users, such as guarantee agencies, lenders, and schools, can access NSLDS data, as determined by the U.S. Department of Education.
Schools must review a student’s award history on NSLDS before disbursing new funds to ensure compliance with Federal Student Aid Program rules. When new awards are issued, schools also update the NSLDS with the latest details.
Students can access their NSLDS Federal Student Aid history directly on the Federal Student Aid website, where they can view their loan servicing agent, loan, and grant award details throughout their enrollment.
