Bond University participates in the William D. Ford Direct Loan Program, which offers Direct loans (Subsidized and Unsubsidized) and PLUS loans to U.S. Citizens. Loans can only be used for bachelor's, master's and doctorate programs.
The maximum loan amount that you are eligible to borrow is determined by a process called Financial Needs Analysis (FNA). Firstly, your Cost of Attendance (COA) is determined based on the cost factors below. This is an estimate of your expected educational costs for the period in which you enrol (maximum period one year).
Your Other Financial Assistance (OFA), e.g. sponsorships or scholarships, is deducted from the COA to establish the amount that you can borrow.
In the case of dependent undergraduate students, the Student Loan Index (SAI), reported on the top right corner of your SAR, as well as your OFA, is deducted from your COA to determine your financial need and eligibility for a Subsidized loan.
These are the loans that are available:
Subsidized Direct Loans are awarded to undergraduate students who demonstrate financial need. The federal government pays your interest while you are in school at least half-time, during the grace period and any periods of deferment. Although you are not required to make payments whilst you are studying, you will start repayment six months after you graduate, leave school, or drop below half-time enrolment.
Unsubsidized Direct Loans are available to all eligible students, regardless of income. Unlike the subsidized Stafford Loan, you are responsible for paying the interest. Interest accrues from the time of the first disbursement; however, you have the option of deferring your interest and principal payments until you enter the repayment period (at which point this interest is ‘capitalized’). Alternatively, you can opt to make a minimum repayment of $50 per month or the unpaid balance including interest, whichever is less. This will save you a lot of money in the long run.
Parent PLUS Loans for Undergraduate Dependent Students are federally guaranteed loans that allow parents to borrow funds to pay for the educational expenses of their dependent student. The program requires the borrower to pass a simple credit check. Interest begins to accrue when funds are disbursed and repayment begins within 60 days after the loan has been fully disbursed. However, the parent can apply to defer repayment whilst the student is enrolled at least half time and for an additional six months after the student ceases to be enrolled.
PLUS Loans for Graduate Students are federally guaranteed loans that allow graduates to borrow funds to pay for educational expenses on their own or with an eligible co-signer. The program requires the borrower to pass a simple credit check. Before applying for this loan the borrower must apply for, and the school must determine, their eligibility for the maximum annual Stafford loan amount.
Helping you choose
Direct loans and PLUS loans are available for both undergraduate and graduate studies.
The main advantages of Direct loans are that they have lower interest rates and better repayment terms. However, because there are annual loan limits (please see below), many students apply for both a Direct loan and a PLUS loan in order to meet the costs of their education.
| Year of study | Annual subsidised loan limits | Annual total combined loan limits (sub and unsub) | Aggregate subsidised loan limits | Aggregate combined loan limits (sub and unsub) |
|---|
| Undergraduate dependent students |
| 1st year | $3,500 | $5,500 | $23,000 | $31,000 |
| 2nd year | $4,500 | $6,500 | $23,000 | $31,000 |
| 3rd year & above | $5,500 | $7,500 | $23,000 | $31,000 |
| Undergraduate independent students |
| 1st year | $3,500 | $9,500 | $23,000 | $57,000 |
| 2nd year | $4,500 | $10,500 | $23,000 | $57,000 |
| 3rd year & above | $5,500 | $12,500 | $23,000 | $57,000 |
| Graduate and professional students |
| All years | $0 | $20,500 | $65,500 | $138,500 |
