Loans
Federal Direct Student Loan
This is a federal low-interest loan available to students. A student may borrow up to $5,500.00 the first year, $6,500.00 the second, and $7,500.00 thereafter. Depending upon financial need, the interest from a portion of these loans may be subsidized by the federal government (see chart below). Loans originated after July 1, 2022 carry an annual interest rate of 4.99%.
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Dependent Students (except students whose parents are unable to obtain PLUS Loans) |
Independent Students (and dependent undergraduate students whose parents are unable to obtain PLUS Loans) |
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| First-Year Undergraduate Annual Loan Limit | $5,500 [No more than $3,500 of this amount may be in subsidized loans.] | $9,500 [No more than $3,500 of this amount may be in subsidized loans.] |
| Second Year Undergraduate Annual Loan Limit | $6,500 [No more than $4,500 of this amount may be in subsidized loans.] | $10,500 [No more than $4,500 of this amount may be in subsidized loans.] |
| Third-Year and Beyond Undergraduate Annual Loan Limit | $7,500 [No more than $5,500 of this amount may be in subsidized loans.] | $12,500 [No more than $5,500 of this amount may be in subsidized loans.] |
| Subsidized and Unsubsidized Aggregate Loan Limit | $31,000 [No more than $23,000 of this amount may be in subsidized loans.] | $57,500 [No more than $23,000 of this amount may be in subsidized loans.] |
See full chart →
After you complete the Federal Direct Loan process you must fill out the Federal Direct Loan Permission to Borrow to inform GLCC of the amount you intend to borrow.
Annual Limits
All Qualified Students: All qualified independent & qualifying dependent students
| Subsidized or Unsubsidized* | Additional Unsubsidized** | Unsubsidized** | |
| $3,500 | $2,000 | Freshmen may borrow | $4,000 |
| $4,500 | $2,000 | Sophomores may borrow | $4,000 |
| $5,500 | $2,000 | Jr. & Seniors may borrow | $5,000 |
See full chart →
*Subsidized loans – The government pays the interest until the loan goes into repayment
** Unsubsidized loans accrue interest from the date of disbursement
Student Educational Loans are to be used for Tuition and Fees, gas and transportation (not buying a car), textbooks, school supplies, computers, and living expenses, as explained in the Entrance Counseling.
Your EFC (Estimated Family Contribution) determines whether your Direct loan is subsidized or unsubsidized.
Instructions To Apply
Every new student who wants to use a Federal Student Loan or a Parent PLUS Loan to help pay their bill must apply through the Federal Direct Loan Program.
ON-LINE Student Direct Loan & PLUS (Parent) Loan
Have the following ready to complete your application quickly:
- Your Federal FSA ID
- Your personal information: Social Security number and driver’s license number
- Two references:
- Can be parents, grandparents, family members, a minister, or a friend
- Must live at different addresses
- You’ll need their full address and phone number
You may start the loan application without a completed FAFSA, but no federal aid—including student loans—can be awarded until your FAFSA is submitted.
A FAFSA is not required to apply for a Parent PLUS Loan.
For Parent PLUS Loans, the parent must use their own FSA ID.
To Apply visit https://studentaid.gov/understand-aid/types/loans
New Student Direct Loan Borrowers
1) Sign in with your FSA ID at www.studentloans.gov.
2) Under the Undergraduate Student tab, select “Complete Entrance Counseling.”
Please patiently read through all the information and follow all of the directions. You must complete Entrance Counseling in one sitting as the site will not save your progress. You will be instructed on regulations and restrictions on Federal Loans. You will then be required to answer questions on that information, ensuring that you understand the loan process.
3) Once you have completed Entrance Counseling, select “Complete Loan Agreement for a Subsidized/Unsubsidized Loan” (Also under the Undergraduate Student tab)
Return Student Direct Loan Borrowers
You must complete the Federal Direct Loans Form with the amount you wish to borrow and the time frame you plan to use it in.
PLUS Loans
Instructions To Apply
Every new student who wants to use a Federal Student Loan or a Parent PLUS Loan to help pay their bill must apply through the Federal Direct Loan Program.
Available for parents.
Application for all of these programs is made by filing a Free Application for Federal Student Aid (FAFSA).
New Parent PLUS Loan Borrowers
You must use YOUR Parent FSA ID from the FAFSA! (Not your student’s)
Parent must sign in using parent FSA ID from FAFSA, the student’s FSA ID is also needed as part of the application process to link parent to child.
Under PLUS Loan Process select Request PLUS loan and then return to this page again and select Complete MPN. Both actions are required to complete your PLUS loan application.
A PLUS loan requires a credit check, and this credit check will remain valid for 180 days.
Return Parent PLUS Loan Borrowers
You must use YOUR Parent FSA ID from the FAFSA! (Not your student’s)
Parent must sign in using parent FSA ID from FAFSA, the student’s FSA ID is also needed as part of the application process to link parent to child.
Under PLUS Loan Process select Request PLUS loan. A PLUS loan requires a credit check, and this credit check will remain valid for 180 days.
