These are low interest loans for eligible students to help cover the cost of higher education. Eligible students borrow directly from the U.S. Department of Education (USDE) at participating schools.

Direct Loans include the following types of loans:

1. Subsidized Loans – these are for students with financial need. You are not charged interest while you’re in school at least half-time and during grace periods and deferment periods
   
2. Unsubsidized Loans – You are not required to demonstrate financial need to receive an Unsubsidised Loan. Interest accrues on an unsubsidized loan from the time it’s first paid out

Further information about the Direct Stafford Loans and eligibility for loans is available via Federal Student Aid webpages.

The USDE has set borrowing limits for the Subsidized and Unsubsidized Loans:

The total aggregate loan limit from all Direct Loans combined at any one time is:

1. $31,000 for dependent undergraduate students excluding those whose parents are unable to borrow a PLUS Loan (no more than $23,000 may be Subsidized)
2. $57,500 for independent undergraduate students and dependent undergraduates whose parents are unable to borrow a PLUS loan (no more than $23,000 may be Subsidized)
3. $138,500 for graduate or professional students (no more than $65,500 may be Subsidized; includes loans for undergraduate study).
   

Interest rates for July 1, 2021 – June 30, 2022:

The interest rates shown above are fixed rates for the life of the loan.

Origination fees:

PLUS Loans

1. Parent PLUS loans - these are available to parents of dependant students pursuing undergraduate study only; dependency status is determined through the FAFSA and will be shown on your ISIR
2. Graduate PLUS loans - these are only available to graduate (or professional) study students

The maximum PLUS loan available in any academic year is limited to your calculated annual Cost of Attendance (CoA) minus any other sources of funding.

Private Student Loans

We will work with all private lenders as long as they are happy to issue loans to our students. We cannot recommend any private lenders specifically, but if a student applies for private funding, we can certify such loans. Students will be required to complete the relevant COA spreadsheet to enable us to certify the loan and submit this to the Student Financial Support team stating that you wish to apply for a private loan. Please also state the amount of the Sallie Mae loan you have applied for in your email.

• You must complete the FAFSA each academic year.
• You must be a U.S. citizen or permanent resident.
• You must be enrolled at least half-time.

1. Complete the FAFSA. The School Code for Imperial College London is G11567. Ensure it generates an Expected Family Contribution (EFC).
2. Review your budget/ Cost of Attendance (COA). For undergraduate courses , please review the Undergraduate COA For postgraduate courses, please review the Postgraduate COA‌. The total COA is the maximum loan(s) you can take out, minus any scholarships or stipends. Use the various components in the COA to estimate the amount of loan(s) you need for the academic year. 
3. Complete the Master Promissory Note if you are taking out a new loan.
4. First time borrowers must complete loan Entrance Counselling.
5. For PLUS applicants, if your loan was approved with an endorser you will also need to complete a credit counselling session.
6. Send an email to student.funding@imperial.ac.uk  providing your completed Cost of Attendance & Loan Calculation spreadsheet. Please do not send copies of any other documents unless directed to do so by a member of our team.

Upon receipt we will review your documents and notify you if anything is incomplete or if any changes are required. Once you loan has been originated, you will be emailed a US loans notification letter which can be used as evidence of funding for your visa application.

The last date to apply for the 2021/22 academic year is Friday, June 3, 2022.

You will receive two emails from Western Union Business Solutions ahead of your first disbursement. The first is an email with instructions and a password. The second email will contain a secure link and User ID to access the system. Once you have registered, you will be able to securely upload you bank details to their system for payment.

The emails from Western Union Business Solutions are valid for 72 hours so it's important you action them quickly upon receipt. 

Disbursement dates:

Disbursements are dependent on:

1. Enrolment confirmation prior to each disbursement
2. Students registering their UK bank account details on the Western Union Business Solutions system
3. The completion of a Satisfactory Academic Progress report (SAP) by your Tutor/Supervisor sent to Student Financial Support team prior to the January and May disbursements.

All disbursements are made in British Pound Sterling. 

Students must ensure that that have sufficient funding for the period leading up to Disbursement 1.

Tuition fee deposits

US students receiving any of the loans mentioned in this document are not required to pay the 10 percent deposit in advance of registering.  Please refer any correspondence requesting a deposit payment to this webpage or directly to the Student Financial Support team.

Tuition fee payments

Imperial College requires that tuition fees receive priority before any maintenance payments are made. Tuition fees will therefore be proportioned in line with your disbursements. This will result  in your disbursement being applied to a third of your total tuition fees with the remaining loan funds paid into your UK bank account for maintenance.

If your disbursement is less than the proportioned tuition fees payable, the whole disbursement amount will be used towards tuition fees.  Students are responsible for paying any outstanding tuition fee debt not covered by disbursements.

Your eligibility for Direct Loans is dependent upon your continued attendance and participation on the relevant degree programme.

If there is any change to your circumstances (for example temporary or permanent withdrawal, extensions, etc.) you must inform us and the US Department of Education immediately. 

You will be required to provide the Student Financial Support team with the name and contact details (including email address) of your supervisor/tutor within the first two weeks of the start of the academic year.  We are required to contact them and confirm your satisfactory academic progress at the end of each study term (trimester). Please read the full Satisfactory Academic Progress Policy 2021 for further information.

Without this progress confirmation we are unable to process any of your Direct Loan disbursements.

Please note that in the event that a student’s SAP report is not satisfactory they will be put on probation for 3 months.  Failure to improve academic results during this period will affect future disbursements.

Subsidized and Unsubsidized loans enter repayment six months after a student graduates or drops below half-time (grace period). Payments to the principle and interest on Federal Direct Unsubsidized Loans can be deferred while the student is in school and during the grace period (although interest will still accrue). Deferred interest will be capitalized (added to the principle) at repayment or the borrower can pay while in school.

A Parent PLUS loan will enter repayment 30 days after the final disbursement. Parents have the option to defer payment until after their dependent student graduates or drops below half time enrolment by contacting their loan servicer.

The standard repayment period for all Federal loans is 10 years but can be extended. Please go to studentaid.gov for information about different repayment plan options, deferments and forbearances available through the Department of Education.

The College’s code of conduct for US loans is as follows:

In order to prohibit a conflict of interest of an agent with respect to private education loans, all agents at the University with responsibility for US loans are prohibited from the following:

• Revenue-sharing arrangements with any lender
• Receiving gifts from a lender, a guarantor, or a loan servicer
• Contracting arrangements providing financial benefit from any lender or affiliate of a lender
• Directing borrowers to particular lenders, or refusing or delaying loan certifications
• Offers of funds for private loans
• Call centre or financial aid office staffing assistance
• Advisory board compensation.

 All agents with responsibility for US loans are reminded at least annually of the code.