Federal Direct Unsubsidized Loan

• Maximum Loan Amount: $20,500
• Interest Rate: 7.05% fixed
• Origination Fee: 1.057% – this will be subtracted from your gross loan amount
• Loan Disbursement: 1/3 increments across 3 quadmesters
• Interest Accrual: begins to accrue on the amount disbursed from the point of disbursement
• Minimum Enrollment: a minimum of half-time (3.0 credits/quadmester)
• Approval: completion of the FAFSA

Federal Direct Graduate PLUS Loan (Grad PLUS)

You may borrow up to the Cost of Attendance less other funding.

• Interest Rate: 8.05% fixed
• Origination Fee: 4.228% 
• Loan Disbursement: 1/3 increments across 3 quadmesters
• Interest Accrual: begins to accrue on the amount disbursed from the point of disbursement
• Minimum Enrollment: a minimum of half-time (3.0 credits/quadmester)
• Approval: completion of the FAFSA and a review of your credit history

Please reference the Loan Comparison tab on the Cost & Funding Calculator spreadsheet for more detail.

The FAFSA is only the first step in the Federal Student Loan application process and there are unique steps required for each loan type: Unsubsidized vs. Graduate PLUS. 

The following steps are needed for the Federal Unsubsidized Loan

• Complete the Master Promissory Note (MPN) for Unsubsidized Loans
• Complete Loan Entrance Counseling

Once we receive your FAFSA you will automatically be awarded the Unsubsidized Loan. At that point, we will send a notification to your Rice email address to let you know to log-in to ESTHER and accept the award.

The following steps are needed for the Graduate PLUS Loan

• Apply for the Grad PLUS Loan
• Complete the Master Promissory Note (MPN) for Direct PLUS Loans

Once we receive notification that you've been approved for the Grad PLUS Loan, we will add the award to your funding plan.  At that point, we will send a notification to your Rice email address to let you know to log-in to ESTHER and accept the award.

Disbursement

Assuming you have completed all loan application steps, funding begins to disburse on during the first week of the term. 

Funding is transferred from the lender directly to Rice University and is then applied toward your ESTHER Student Account.

Refund

If you decide to borrow above the cost of tuition, the credit on your account will be refunded to you by the University Cashier's Office. We recommend that add your bank account information to your ESTHER Payment Suite so that funds can be transferred via direct deposit. If you choose not to add your bank account information, it can take 2-3 weeks for you to receive your refund check in the mail. 

Navigation tip: ESTHER => Student Services => Payment Suite  => Electronic Refunds

The Free Application for Federal Student Aid (FAFSA) is an online application and is STEP 1 in the Federal Student Loan application process. It must be completed each academic year you wish to pursue Federal Student Loans. The Rice University school code is 003604.

US Citizens and Permanent Residents (green card holders).

Personal and household information.

You will need your tax information from 2 year's prior. 

Example: When completing the 2023-2024 FAFSA, you will use you 2021 tax year information.

It’s entirely up to you; however, having the FAFSA on file saves time should you at some point decide to pursue Federal Student Loans.

Completing the FAFSA does not obligate you to pursue loan funding.

The Department of Education generally processes your FAFSA and sends it to Rice University within 3-7 business days.

Federal regulation allows for you to defer your loan repayment while you are enrolled at least half time (3.0 credit hours per quadmester). Contact your Loan Servicer for a deferment request form. Complete your portion of the form and then forward to Student Financial Services to input the institutional information.

Go to ESTHER => Financial Aid => Award Status => Award for Aid Year (select appropriate academic year).

You will be able to accept, adjust or decline your award(s) in this same page.

Go to ESTHER => Financial Aid => Financial Aid Requirements

You will also be notified of any requirements via your @rice.edu email account.