Federal Direct Unsubsidized Loan

A Federal Direct Unsubsidized Loan is a loan borrowed in the student’s name for educational purposes. These loan funds come from the government. Loan repayment is deferred while the student is enrolled in school at least half-time, as well as during the six-month grace period which begins after the student either graduates or drops below half-time enrollment. When the grace period is finished, the student begins repayment on their loan.

An unsubsidized loan is not awarded based on financial need. The student will be charged interest on the loan from the time it disburses until it is paid in full. The student has two options: to defer interest payments until graduation, in which case the interest will accrue during their studies, or to pay the interest while in school.

How much can a student borrow in Federal Direct Unsubsidized Loans?

Students pursuing an M.A. or Ph.D. in Biblical and Theological Studies are able to borrow a maximum of $20,500 per school year.

Doctoral Psychology students fall into two categories. Those covered by the legacy provisions (see below) are eligible to borrow a maximum of $33,000 for nine months of study (fall-spring) and $37,167 for twelve months of study (fall-spring-summer). These students are also eligible to borrow Graduate PLUS Loans.

Doctoral Psychology students who do not meet the legacy requirements are eligible to borrow $50,000 per school year. They cannot borrow Graduate PLUS Loans.

What is legacy status?

The legacy provisions apply to students for whom all of the following are true:

1. The student borrowed a federal unsubsidized loan or Graduate PLUS Loan prior to 7/1/2026 while enrolled in his/her current program of study at Wheaton. If you take a semester off or switch your degree after the cutoff date, your eligibility is removed.
2. The student remains within the program’s expected time to credential. For example, if your program is a two-year program for full-time students and you’ve been enrolled for fewer than two years, you’re eligible for the PLUS Loan. If you’re entering your third year, you are no longer eligible. Please note that these limits apply regardless of the student’s own enrollment level. If you spend two years as a half-time student in a program that full-time students are expected to complete in two years, your eligibility will be exhausted.
3. The legacy exception regulations remain in place. Regardless of an individual student’s progress toward his/her degree, legacy provisions will cease to apply to any students three academic years after the cutoff date (7/1/2026).

What is the interest rate? Are there fees involved?

Graduate Federal Direct Unsubsidized Loans first disbursed on or after July 1, 2025 and before July 1, 2026 are fixed at a 7.94% interest rate. There is an origination fee of 1.057% for loans first disbursed on or after 10/1/20 and before 10/1/26. The origination fee is deducted at the time of each disbursement.

How Can I Apply for a Federal Direct Unsubsidized Loan?

1. Complete the FAFSA.
2. Complete any documents requested by Student Financial Services.
3. Accept loans via the Financial Aid Dashboard in the Wheaton Gateway.
4. First-time borrowers must complete Loan Entrance Counseling at www.studentloans.gov.
5. First-time borrowers must sign a Master Promissory Note (MPN) at www.studentloans.gov.

Students can manage their loans, including completing loan counseling and e-signing their master promissory note, www.studentloans.gov, the Department of Education’s website for student loan management. (Please be aware that there is also a site called studentloans.com, which is not the same destination.)

You will need to use your FSA ID to access the site and to sign your MPN. If you do not have an FSA ID, you may obtain one at the FSA ID page.

IMPORTANT: Under the “What You Need” section, the federal website includes important information regarding browser requirements. Certain features may be unavailable if you are not using a compatible browser.

Entrance and Exit Counseling

Entrance Counseling

Fulfill your Federal Direct Loan Counseling Requirement by completing the online Entrance Interview.

Exit Counseling

Fulfill your Federal Direct Loan Counseling Requirement by completing the online Exit Interview.