Student Loans

Federal Direct Loans: A fixed interest student loan from the federal government for students enrolled at least half time (six credits) each semester. A student must file a Free Application for Federal Student Aid (FAFSA) to be eligible for federal direct loans.

There are two types of Federal Direct Student loans

  • Subsidized: A student loan awarded to students with financial need as determined by the FAFSA.  It is a loan for which the government pays the interest while the student is in school, during a grace period, and during any deferment periods.
  • Unsubsidized: A student loan awarded to students regardless of financial need. The student borrower is responsible for the interest while enrolled in school. The student may choose to defer the interest payments while in school and during the six-month grace period but the interest will be capitalized.

The student begins repayment of all federal loan(s) six months after the student graduates, leaves school, or drops below half-time enrollment (less than 6 credits).

To simulate what your student loan payment would be based on your borrowing click here.


What is the difference between a subsidized and unsubsidized loan?

The key difference between a subsidized and unsubsidized loan is the federal government pays (or ‘subsidizes’) interest on the subsidized loan during select periods. With the unsubsidized loan, there is no federal help with the interest.

Fees and Interest Rates for 2023-2024

    • The interest rate for the Federal Direct Student loan is 5.50%
    • The Origination Fee is the up-front charge by the U.S. Department of Education for processing the loan. The fee is 1.057% for all loans disbursed after October 1, 2020

Annual Maximum Amounts: These loan amounts cannot exceed your cost of attendance minus other financial aid.


Grade Level & Amount

  • Dependent First Year (0 - 30 credits) $5,500
    ($3,500 total subsidized and/or unsubsidized, plus an additional $2,000 unsubsidized)
  • Dependent Second Year (31 or more credits) $6,500
  • ($4,500 total subsidized and/or unsubsidized, plus an additional $2,000 unsubsidized)
  • Independent First Year (0 - 30 credits) $9,500
    ($3,500 total subsidized and/or unsubsidized, plus an additional $6,000 unsubsidized)
  • Independent Second Year (31 or more credits) $10,500
    ($4,500 total subsidized and/or unsubsidized, plus an additional $6,000 unsubsidized)


Lifetime Limits: The maximum amount undergraduate students may borrow during their entire academic career is:

  • Dependent Students $31,000 (up to $23,000 may be subsidized)
  • Independent Students $57,500 (up to $23,000 may be subsidized)

For Service Members
The Financial Aid Office liaison for Service Members is Helen Vargas. If you are interested in learning more about loans and your other eligibility options please contact Helen at vargash@middlesex.edu or by calling (781) 280-3649.

Loan Repayment Information

Information on loan repayment and the servicer of an existing Federal Student Loan can be found on the following websites:

For information on the percentage of our students who borrow federal student loans: https://collegescorecard.ed.gov/


Cohort Default Rate

For information on the National Cohort Default Rate: https://fsapartners.ed.gov/sites/default/files/2022-09/NationalCDR.PYComparisonCharts.pdf 


For information on MCC's Cohort Default Rate: https://nsldsfap.ed.gov/cdr-searchable-database/school/search

If our Cohort Default Rate is greater than the national average all Service members with a loan at MCC will be notified and we will provide them loan repayment data.
Last Modified: 10/3/24