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Undergraduate
Federal and
State Loan
Financial Aid and Scholar-
ships
A129 Murphy Hall, Box 951435
Los Angeles, CA 90095
www.nancialaid.ucla.edu
Message Center
There are several types of
student loans available to
undergraduate students and
the parents of dependent
students. This guide will pro-
vide you with informaon on
the dierent loans available to
help fund your educaon at
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Types of Loans
There are several dierent types of loans avail-
able for undergraduate students and their
families to help cover college costs.
Federal Direct Loans
Federal direct loans consist of low-interest subsidized
(no interest while in school), unsubsidized loans
(interest accrues while in school) and parent PLUS
loans. All of these are nanced by the U.S Department
of Educaon.
Subsidized and Unsubsidized loans are borrowed by
the student. Parent PLUS loans are borrowed by the
parent.
California DREAM Loan
DREAM loans are available to California students who
meet the applicaon requirements for the California
DREAM Act Applicaon. Dream loan has the same
interest rate as Federal Direct Subsidized Loan.
Private Student Loans
Private loans are available for both students and par-
ents. These loans are oered by lenders independent-
ly of the Department of Educaon. Interest rates are
credit based and repayment opons will vary. Private
loans are best ulized only if eligibility for Federal Di-
rect Loans has already been exhausted. For detailed
You must complete the Free Applicaon for Federal Student Aid (FAFSA) each
academic year. (For Federal Loans)
You must Complete a CA DREAM Applicaon each year (for DREAM Loans)
You must be a US cizen or an eligible non-cizen. (For Federal Loans)
You must be enrolled at least half-me (6 units).
Eligibility for Federal Direct Unsubsidized Loans, PLUS loans and Private loans is
not need based.
Loan Eligibility
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How To Apply
Subsidized and Unsubsidized Loans
Students who submit a FAFSA will receive nocaon
of their loan eligibility via their Financial Aid
Nocaon (FAN) on MyUCLA.
Loans must be accepted via the student’s FAN. First
me borrowers must also complete a Master
Promissory Note and Loan Entrance Counseling. Direct
loans will not disburse unl these have been
Parent PLUS Loans
The PLUS loan must be accepted on the FAN, then one
of the student’s parents must complete addional
applicaon steps.
A Federal Direct Parent PLUS Loan applicant is
considered to have an adverse credit history if he or
she:
Is 90 or more days delinquent on any debt as of the
date of the credit report, or
Has been the subject of a default determinaon,
bankruptcy discharge, foreclosure, repossession,
tax lien, wage garnishment or write-o of debt
under Title IV of Higher Educaon Act during the 5
years preceding the date of the credit report.
Has unpaid collecon accounts and/or charge-os
as of the date of the credit report.
If the parent is denied a PLUS loan due to adverse
credit, and the family chooses not to appeal the
decision or proceed with an endorser, UCLA
Financial Aid and Scholarships will award the
student addional unsubsidized loan funds.
Approval on Appeal or with an Endorser:
Borrowers who have adverse credit but are approved
for a Direct Parent PLUS Loan as a result of appealing
the credit decision or applying with an endorser are
subject to a new counseling requirement. This new
Subsidized and Unsubsidized Loan
Documents
For First me Borrowers only.
1. Loan Entrance Counseling is completed
with the U.S. Department of Educaon at:
hps://studentaid.gov/debt-management
2. The Master Promissory Note is completed
Parent PLUS Loan Documents
The students parent must request a PLUS
Loan at: hps://studentaid.gov A new
request must be completed each year.
The parent must also complete a Master
Promissory Note on the same website.
hps://stundentaid.gov/mpn This
requirement is for rst me borrowers
only, with the excepon of Loans
approved with an endorser.
Students who submit a California DREAM Applicaon
and meet AB540 Criteria will receive nocaon of
their loan eligibility on their FAN. Students must
accept the loan on their FAN and complete their loan
documents through the UCLA Loan Oce.
CA DREAM Loans
DREAM Loan Documents
Dream loan counseling is completed
through the UCLA Student Loan
Services website via hps://
loans.ucla.edu/e-sign-portal
The Promissory Note is completed on
paper, students will receive loan
documents from Student Loan
Services. A new Promissory Note
needs to be completed annually.
PLUS Loan Credit Requirements
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LOAN DISBURSEMENTS
The total loan amount you accept on your FAN will be
divided equally among the terms for which you have
been awarded.
Your loan will be disbursed to your BruinBill
account at the start of each quarter. Any funds
remaining aer your Bruin Bill balance is paid will
be refunded to the student.
Repayment
Subsidized and Unsubsidized loans enter repayment
six months aer a student graduates or drops below
half-me (grace period). Payments to the principal and
interest on Federal Direct Unsubsidized Loans can be
deferred while the student is in school and during the
grace period (although interest will sll accrue).
Deferred interest will be capitalized (added to the
principal) at repayment or the borrower can pay
interest while in school.
A Parent PLUS loan will enter repayment 30 days aer
the nal disbursement. Parents have the opon to
defer payment unl aer their dependent student
graduates or drops below half me enrollment by
contacng their loan servicer.
The standard repayment period for all Federal loans is
10 years but can be extended. Please go to hps://
studentaid.gov for informaon about dierent
repayment plan opons, deferments and forbearances
available through the Department of Educaon.
Loan Fees and Interest Rates
We recommend that students sign up for Bruin Direct
Via their BruinBill on MyUCLA. This will allow any
refund to be direct deposited to your bank account,
rather than being processed as a paper check. Paper
checks are processed once a week on Thursdays,
rather than daily.
Please note that UCLA Student Accounts is unable to
separate PLUS loan disbursements from other
nancial aid when refunds are processed. If the parent
borrower wishes to have any excess PLUS loan funds
refunded to them directly rather than to the student,
please contact Financial Aid and Scholarships directly
for instrucons on that process. Please be aware that
separang refunds in this way will take longer, as it
requires paper processing of the PLUS loan funds.
Addionally, PLUS disbursements will not be
automacally applied to the students BruinBill
Loan Type Interest
Rate
Interest Rate
Period
Originaon
Fee
Loan Period
Subsidized/
Unsubsidized
3.73% July 1, 2021-
June 30, 2022
1.057% October 1, 2021-
September 30,
2022
PLUS Loan 6.28% July 1, 2021-
June 30, 2022
4.228% October 1, 2021-
September 30,
2022
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Loan limits for graduang seniors, who will not be enrolled for the enre academic year will be prorated,
resulng in lower than the annual maximum eligibility being awarded.
ANNUAL LOAN LIMITS
Grade Level
Federal Direct Subsidized
Loan Maximum
Federal Direct
Unsubsidized Loan
Maximum*
TOTAL Annual
Maximum**
Freshman $3,500
Dependent = $2,000
Independent = $6,000
Dependent = $5,500
Independent = $9,500
Sophomore $4,500
Dependent = $2,000
Independent = $6,000
Dependent = $6,500
Independent = $10,500
Junior/Senior $5,500
Dependent = $2,000
Independent = $7,000
Dependent = $7,500
Independent = $12,500
Undergrad Aggregate
Loan Limits
$23,000
Dependent = $31,000
Independent = $57,500
Students whose parents do not qualify for a Parent PLUS Loan are eligible to receive unsubsidized loan at the
independent student maximum, not to exceed cost of aendance.
Students who do not qualify for a Federal Direct Subsidized Loan are eligible to receive Federal Direct Unsubsidized
Loans up to their respecve total annual maximum loan limits, not to exceed cost of aendance.
Contacts
Financial Aid and Scholarships
A-129 Murphy Hall
(310) 206-0400
www.nancialaid.ucla.edu
Message Center
hp://nancialaid.ucla.edu/Contact-Us
Student Loan Services
A-227 Murphy Hall
(310) 825-9864
www.loans.ucla.edu
Student Financial Services
1125 Murphy Hall
(310) 825-9194
www.sfs.nance.ucla.edu
Federal Loan Processing Center
(800) 557-7394
hps://studentaid.gov
