Direct Unsubsidized Loan

Offered to all eligible undergraduate and graduate students, even those not demonstrating financial need. The Direct Unsubsidized Loan should be borrowed cautiously since the borrower will be responsible for paying all the interest on the loan.  

Interest will begin accruing after the first disbursement even though payment is not required until six months after graduating or dropping below half-time status. Interest only payments may be made while in school, but it is not required. If interest is not paid while in school, the interest is capitalized (added to the original loan amount) once repayment begins.