Loans for Graduate Students
Borrowing loans for college is an investment in yourself. At 萌妹社区, we are committed to helping you understand your options. Student loans can come from the federal government, from private sources such as a bank or financial institution, or from other organizations. .
Federal Loans
The U.S. Department of Education’s is the William D. Ford Federal Direct Loan Program. Under this program, the U.S. Department of Education is your lender. There are two types of Direct Loans available to graduate and professional students:
- Federal Direct Unsubsidized Loan
- Federal Direct Graduate PLUS Loan (eliminated for new borrowers effective July 1, 2026)
Up to 2% of the total amount of the Federal Direct Unsubsidized Loan, and up to 5% for the Federal Direct PLUS Loan may be deducted by the U.S. Department of Education. In addition, if a student graduates or ceases to attend half-time, they are required to complete an exit loan counseling session for their federal student loans.
For information and resources about student loan repayment, or to submit a complaint relating to your student loan or student loan servicer, please visit or contact the Student Loan Advocate at loanadvocate@wsac.wa.gov.
Types of Federal Loans
Federal Direct Unsubsidized Loan
Eligibility: Not need-based
Amount: The annual limit for graduate students is $20,500.
Effective July 1, 2026, several Federal Direct Loan changes are going into effect as a result of the One Big Beautiful Bill Act. For new graduate and professional borrowers, this includes revised loan limits.
Federal Direct Loan Borrowing Limits
Graduate and professional students may borrow up to the following amounts:
| Federal Loan Type |
Expiring Limits
|
New Limits
|
|---|---|---|
Unsubsidized Loan – Graduate(applies to all graduate degrees except PsyD) |
Annual Limit: $20,500 |
Annual Limit: $20,500 |
Unsubsidized Loan – Professional(only applies to PsyD degree) |
Annual Limit: $37,167 |
Annual Limit: $50,000 |
Federal Loan Lifetime Limit(all federal loans, excluding PLUS; without regard to any amounts repaid, forgiven, canceled, or discharged) |
Lifetime Limit: No unified cap across all loan types |
Lifetime Limit: $257,500 |
Note: Graduate students are no longer eligible for Federal Direct Subsidized Loans, but existing balances on such loans count toward aggregate loan limits.
Legacy Provision: Students who have already borrowed federal loans for their current degree program may continue to borrow under the expiring limits for a limited time if certain conditions are met.
Who Qualifies? (both must be true)
- Program Continuity: The student was enrolled in their current degree program at 萌妹社区 as of June 30, 2026.
- Prior Borrowing: A Federal Direct Loan (Subsidized, Unsubsidized, or PLUS) was borrowed for that same degree program before July 1, 2026.
If both criteria are met, a student may continue to borrow under the expiring limits for up to three additional academic years, OR for the remainder of the student’s degree program, whichever is less. Note: Transferring schools, changing programs, taking a leave of absence, or other academic changes may affect a student’s ability to be included in the Legacy Provision. Please reach out to Student Financial Services to discuss the implications of any academic program adjustments.
Renewal: Must re-apply for financial aid annually and maintain satisfactory academic progress.
Terms: The interest rate is fixed at the time of disbursement, and loan fees are charged according to Federal laws. Interest on unsubsidized loans accrues from the date of disbursement and continues throughout the life of the loan. Borrowers are responsible for the interest during all periods, regardless of enrollment or loan status. Interest payments can be deferred while the student is in school and during the grace period, but interest will continue to accrue and will be capitalized (added to the principal balance of the loan). Repayment of principal and interest begins six months after the student graduates, leaves school, or drops below half-time enrollment. See more information on and .
Apply: Complete the required to review your responsibilities and rights as a borrower, and to agree to the terms and conditions under which you must repay the loan.
Accept Loan: Student loan borrowers at 萌妹社区 must sign and submit the annual 萌妹社区 Terms and Conditions to accept their loan.
Federal Direct Graduate PLUS Loan
(Eliminated for new borrowers effective July 1, 2026)
Eligibility: Borrower must be a graduate student enrolled at least half-time in an eligible degree program; must not have an adverse credit history (a credit-check will be performed); and must be a U.S. citizen or eligible noncitizen and meet all other for federal student aid.
Amount: The maximum amount is the student’s estimated cost of attendance minus financial aid.
Effective July 1, 2026, several Federal Direct Loan changes are going into effect as a result of the One Big Beautiful Bill Act. For new graduate and professional borrowers, this includes the elimination of the Graduate PLUS program.
Federal Direct Loan Borrowing Limits
| Federal Loan Type |
Expiring Limits
|
New Limits
|
|---|---|---|
Graduate PLUS Loan |
Annual Limit: Up to cost of attendance |
Eliminated for new borrowers |
This is a significant change from the expiring PLUS Loan program, which allows current graduate and professional students to borrow up to their full annual cost of attendance (minus other aid). The elimination of the PLUS Loan program means some students may need to explore alternative financing options if their Unsubsidized Loan is not enough. See Private Loan section below for more information.
Legacy Provision: Students who have already borrowed federal loans for their current degree program may continue to borrow under the expiring limits for a limited time if certain conditions are met.
Who Qualifies? (both must be true)
- Program Continuity: The student was enrolled in their current degree program at 萌妹社区 as of June 30, 2026.
- Prior Borrowing: A Federal Direct Loan (Subsidized, Unsubsidized, or PLUS) was borrowed for that same degree program before July 1, 2026.
If both criteria are met, a student may continue to borrow under the expiring limits for up to three additional academic years, OR for the remainder of the student’s degree program, whichever is less. Note: Transferring schools, changing programs, taking a leave of absence, or other academic changes may affect a student’s ability to be included in the Legacy Provision. Please reach out to Student Financial Services to discuss the implications of any academic program adjustments.
Renewal: Graduate PLUS application is required annually. In addition, the student must re-apply for financial aid annually and maintain satisfactory academic progress.
Terms: The interest rate is fixed at the time of disbursement, and loan fees are charged according to Federal laws. Interest on PLUS loans accrues from the date of disbursement and continues throughout the life of the loan. Student borrowers are responsible for the interest during all periods, regardless of enrollment or loan status. Repayment of principal and interest begins six months after the student graduates, leaves school, or drops below half-time enrollment. See more information on and .
Apply: Student must complete the online (includes a credit check) and sign the .
Private Loans
Private loans are available to help pay for education related expenses. However, before pursuing a private education loan, the student should apply for federal aid if they have not already done so. The federal loan programs may have terms and conditions that are more favorable than the provisions of the private education loans.
Private education loans are available from many lenders. Each of these lenders will have their own terms and conditions for borrowing and repayment. 萌妹社区 does NOT endorse any one lender and encourages borrowers to thoroughly research and compare different lenders to find the one that best meets their present and future needs.
Private education loans are based primarily on credit scores and the overall creditworthiness of the applicant (and any potential cosigner).
Visit 萌妹社区’s webpage to research, compare, and apply for private education loans that 萌妹社区 students have utilized over the past 5 years. Note: You are not required to use any of the lenders presented in FastChoice. You may choose any private education loan lender you wish.