For Direct Loan Filers

Basic information about the Direct Loan is on our Programs page see sections on Subsidized Direct Loans, Unsubsidized Direct Loans, and Parent Loans.

The initial step in applying for a Direct Loan is to complete both the FAFSA and the TAP applications. If after your applications are cleared and your eligibility has been determined for other aid, you feel you need to file for a Direct Loan, follow the instructions below.

GPA Requirements

Note that a student applying for a Perkins or Direct Loan must have a cumulative GPA of at least 2.0. Graduate students applying for a Direct Loan must have a cumulative GPA of at least 3.0.

Additional Steps to Apply for a Direct Loan

• You will need to submit a Direct Loan Master Promissory Note (eMPN) on the web at http://dlenote.ed.gov before you submit Direct Loan request papers to us. Be sure to bring a copy of that completed MPN when you submit your loan request.
• If you do not already have a financial aid PIN (the same one you may have used to sign your FAFSA on the web), you must file for one at http://www.pin.ed.gov in order to do the MPN on the web.
• Ask staff in the Financial Aid Office for the Direct Loan Request Papers. Complete and submit the request forms and a copy of your completed Queens College DL eMPN in the Financial Aid Office. If you are filing for a semester that has not yet begun, call to find out when we start accepting applications. Before filing request papers, you must be sure that:
• You receive the Student Aid Report (SAR) and have resolved any problems.
• Your TAP award is determined.
• You have been evaluated for other aid.
• You have registered for at least 6 credits for the first semester of the loan period.
• If you were already approved for a Direct Loan at another college for the same loan period, be sure to cancel it before filing for the loan through us.
  
• We don't like to encourage students to take more than they need in loan. If, however, you find that you need to request review of your eligibility for an INCREASE in the Direct Loan already processed and awarded, you may do so in any one of the following ways:
• Complete our Request for Direct Loan Increase form from the web or in the office.
• Fax or bring in a letter to Financial Aid including the date, your ID #, your name (printed), specific details of your DL increase request (amount, semester, subsidized and/or unsubsidized), and your signature.
• Send all of the above in an email to our Direct Loan Coordinator at socorro.gago@qc.cuny.edu.

Interest Rates

Direct Unsubsidized Loans for graduate and undergraduate borrowers first disbursed on or after July 1, 2006, will have a fixed interest rate of 6.8%.

All Direct Subsidized loans for undergraduate borrowers have a fixed interest rate that will be based on the first disbursement date as listed in the table below:

All Direct PLUS Loans have a fixed interest rate of 7.9%.

The interest rate for Direct Consolidation Loans is based on the weighted average of the current interest rate on the loans that were paid off by the consolidation loan.

Direct Loans first disbursed before July 1, 2006, will continue to have a variable interest rate that is adjusted once a year, on July 1. The rate for the year is based on the 91-day U.S. Treasury bill plus a fixed add-on percentage based on when the loan was first disbursed. The interest rate can never exceed 8.25% for Direct Subsidized and Direct Unsubsidized Loans and 9% for Direct Plus Loans.

Exit Counseling
When you drop below 6 credits, you are required to have an exit interview for your Direct Loan. You may do this in person in the Financial Aid Office. You may also do the exit counseling on the web at http://www.dlssonline.com/: Select the link on the top of the page for Exit Counseling. When you complete the exit counseling, print the Rights and Responsibilities Summary Checklist that is a part of the exit on the web, and return it to the Direct Loan Coordinator in the Financial Aid Office.

Loan Consolidation
Sometimes you can combine loans taken under a variety of student loan programs into one, through a process called student loan consolidation. Loans that have been consolidated often do NOT retain their original provisions. Be sure that you understand the implications of consolidating and what each consolidator offers before you take this step.

CUNY's Model Code of Conduct

More Direct Loan Information
Additional Direct Loan information is available on the web at http://www.ed.gov/offices/OSFAP/DirectLoan/pubs/studentbasics.pdf and http://www.ed.gov/offices/OSFAP/DirectLoan/pubs/entrcounselguide.pdf. See also http://studentaid.ed.gov/PORTALSWebApp/students/english/cancelstaff.jsp?tab=repaying for information on the limited possibilities under this program for teacher cancellation.

Please note: The Direct Loan and the Perkins Loan are two separate programs, with different requirements and provisions.