Federal Student Loans

Federal Loans

For detailed information on all federal loans go to StudentAid.gov.

• Direct Subsidized Loans are for Undergraduates (ABSN) with financial need. The U.S. Department of Education will pay the interest on a Subsidized Loan while the student is in school at least half-time. The interest rate for loans first disbursed between July 1, 2026 and June 30, 2027 is 6.52%.
• Direct Unsubsidized Loans are available to Undergraduate and Graduate students and are not based on need. For Undergraduates, the interest rate for loans first disbursed between July 1, 2026 and June 30, 2027 is 6.52%. For Graduate/Professional students, the interest rate for loans first disbursed between July 1, 2026 and June 30, 2027 is 8.07%.
• Direct Grad PLUS Loans are for Graduate/Professional students and eligibility is based on credit. The interest rate for loans first disbursed between July 1, 2026 and June 30, 2027 is 9.07%. The Graduate PLUS Loan program is eliminated for new borrowers after July 1, 2026. 
  • Roseman students who have started their program and borrowed federal aid before July 1, 2026, will still be eligible for Graduate PLUS Loans as long as they remain enrolled in their program for up to three academic years or the remainder of their expected time to credential, whichever is less. Students who must repeat a course, term, or year will not be eligible for this loan through graduation and should be prepared to pay out of pocket or borrow a private loan.
• Direct Parent PLUS Loans are available to parents of dependent Undergraduates (ABSN) and eligibility is based on credit. The interest rate for loans first disbursed between July 1, 2026 and June 30, 2027 is 9.07%. Effective July 1, 2026, all parents (combined) may borrow $20,000 per year per dependent student, with a $65,000 aggregate limit per dependent student (without regard to amounts forgiven, repaid, canceled, or discharged).
  • Roseman dependent students who began their program and whose parent or student borrowed federal aid before July 1, 2026, will remain eligible to borrow Parent PLUS Loans under the prior limits, provided they stay continuously enrolled in their program for up to three academic years or the remainder of their expected time to credential, whichever is less. Students who must repeat a course, term, or year will not be eligible for the prior loan limits through graduation and should be prepared for reduced loan eligibility. This may require paying out of pocket or borrowing a private loan.

The U.S. Department of Education calculates a cohort default rate (CDR) for each eligible higher education institution each fiscal year.  Roseman’s CDR for the most recently published fiscal year before the pandemic payment pause (FY18) is 0.3%.  The overall national CDR was 7.3% for the same period, and the rate for Private institutions similar to Roseman (i.e., offering Bachelor’s degrees and higher) was 5.3%.  Additional information can be found on the U.S. Department of Education’s CDR website here:  https://www2.ed.gov/offices/OSFAP/defaultmanagement/cdr.html

Loan Origination Fees

Federal student loans have loan fees that are a percentage of the total loan amount. The loan fee is deducted proportionately from each loan disbursement you receive. This means the money you receive will be less than the amount you actually borrow. You are responsible for repaying the entire amount you borrowed and not just the amount you received.

• Direct Subsidized Loans and Direct Unsubsidized Loans have an origination fee of 1.057%.
• Direct PLUS or Grad PLUS Loans have an origination fee of 4.228%.

Federal Direct Subsidized/Unsubsidized Loan Maximums Per Award Year

* Students who have started their program and borrowed federal aid before July 1, 2026 have a lower Unsubsidized annual limit and will still be eligible for Graduate PLUS Loans.
**AEODO is not eligible for Professional maximums because residents receive a post-doctoral certificate in Orthodontics.

Federal Direct Subsidized/Unsubsidized Aggregate and Lifetime Loan Limits

Borrowers of federal Title IV loans are subject to loan limits. There is a cap on the total amount a student is allowed to borrow. It is very important for students to be aware of their aggregate or lifetime loan totals. Students need to borrow conservatively, consider how much they will need to borrow in the future, and know when they will reach their limits.

Effective July 1, 2026 for new students: the new lifetime borrowing limit is $257,500 across all federal Direct Loans, which includes Undergraduate and Graduate borrowing (excludes Parent PLUS loans) even if previously repaid, canceled, forgiven, or discharged.

*AEODO is not eligible for Professional limits because residents receive a post-doctoral certificate in Orthodontics.