Students who seek financial aid should be willing to accept educational loans to meet a portion of their educational costs. Student loans are a valuable resource available to assist you in meeting the cost of education and allow you to defray tuition costs over a longer period of time - typically 10 years.
The first step in determining your eligibility for a federal student loan is to file the Free Application for Federal Student Aid (FAFSA). The programs outlined in this section have proven to be excellent resources for our families. Loans, however, are optional and may be declined.
The University of Dayton adheres to the U.S. Department of Education's Student Loan Code of Conduct available to review under the Forms and Resources section of our website.
Federal Direct Loans
Federal Direct Loans are made available to all students who file the FAFSA. The maximum loan is $5,500 per year for the first year, $6,500 for the second year and $7,500 per year for the junior and senior years. Repayment begins six (6) months after the student graduates, leaves school or drops below half-time enrollment status. Repayment can be spread over a ten-year period. Based on the FAFSA, the student will qualify for an Unsubsidized Direct loan, Subsidized Direct loan or a combination of both.
Federal Perkins Loans
The Federal Perkins Loan is a federally-funded student loan, but individual schools determine eligibility requirements. Priority is given to dependent undergraduate students who demonstrate high financial need (as determined by the FAFSA). Repayment begins nine (9) months after the student graduates, leaves school or drops below half-time enrollment status.
Federal Parent Loan for Undergraduate Students
The Federal Parent Loan for Undergraduate Students (PLUS) provides a source of financing to all families regardless of the family income. All credit-worthy parents of dependent undergraduate students may borrow up to the cost of education minus financial aid per academic year for each student attending an accredited college. Standard repayment begins within sixty days after the loan is fully disbursed, however, parents have the option to defer payments until their dependent student graduates. Repayment can be spread over a ten-year period. For more information please visit our website.
Private Alternative Educational Loans
Private Alternative Educational Loans are also available to help meet college expenses. The University of Dayton works closely with several lenders and their private loan programs, however, students or parents are able to borrow from the lender of their choice. These private loan programs offer competitive interest rates, flexible repayment schedules and various co-signer requirements. If you are interested in a private alternative educational loan, please contact the Office of Financial Aid or visit our website.