Loans For Students

Federal Direct Loan Program

This is one of the federal student aid programs of the US Department of Education. These loans are sometimes referred to as Stafford Loans. The loan is available when enrolled at least half-time and is the only source of federal aid for students pursuing a second bachelor’s degree. Since the loans are borrowed directly from the government, borrowers make loan payments to the Department of Education’s loan servicers upon entering repayment. Information about the interest rates, loan origination fees, and repayment can be found at

Prospective borrowers must first complete the Free Application for Federal Student Aid (FAFSA). Based on the information provided on the FAFSA, our office will determine the type and amount of Direct Loan for which you are eligible. There are two kinds of Federal Direct Loans.

  • Direct Subsidized Loan: Eligibility is need-based. No interest accrues on the principal while you are attending college at least half-time. Repayment of the loan does not begin until you finish your degree or stop being enrolled at least half-time.
  • Direct Unsubsidized Loan: Eligibility is not need-based. You are responsible for the interest that accrues while you are enrolled in school and during the grace period. Repayment of the loan and interest does not begin until you finish your degree or stop being enrolled at least half-time.
  • Electronic Master Promissory Note (MPN) And Entrance Counseling: Federal regulations require that first-time borrowers and students new to UE complete a Master Promissory Note and Entrance Counseling. Both are done at You will sign in using the same FSA ID that is used when completing the FAFSA. Loan proceeds will not be disbursed until both the MPN and Entrance Counseling have been completed. Students complete these steps only as first-time borrowers.
  • Exit Counseling: Direct Loan borrowers must complete online Exit Counseling at before they graduate or withdraw from the University. In-person loan repayment sessions are also offered during each semester. Borrowers of the Federal Perkins, Nursing, and the Schell Loan must also attend an individual exit appointment prior to graduating or withdrawing.

Annual Direct Loan Limits

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Academic Level Dependent Undergraduate Students Independent Students
Freshman (0-29 credits earned) $5,500 (max $3,500 subsidized) $9,500 (max $3,500 subsidized)
Sophomore (30-59 credits earned) $6,500 (max $4,500 subsidized) $10,500 (max $4,500 subsidized)
Junior and Senior (60+ credits earned) $7,500 (max $5,500 subsidized) $12,500 (max $5,500 subsidized)
Graduate / Professional Students N/A $20,500 (unsubsidized)
Aggregate Limits
Undergraduate $31,000 (max $23,000 subsidized) $57,000 (max $23,000 subsidized
Graduate N/A $138,500

Method of Loan Delivery

Loan proceeds will be credited directly to your UE student account at the beginning of each semester along with your other financial aid. After your University charges for tuition, mandatory fees, and room and meal plan (if on campus) have been satisfied, any amount remaining as a credit on the account will be refunded to you each semester by the UE Office of Student Accounts.

Federal Perkins Loan

The Office of Financial Aid awards this federal loan to a limited number of our students whose FAFSAs indicate a large, unmet financial need. These loans are interest-free while the student is in school and have a grace period of nine months after graduation or withdrawal before repayment begins. Repayment is made monthly with an interest rate of five percent. The maximum loan is $5,500 per year, but UE rarely offers that much to one student because of limited funds. Students awarded a Federal Perkins Loan will receive an application form and detailed instructions once the loan is accepted. First-time recipients of a Federal Perkins Loan must sign a Master Promissory Note (MPN) in the Office of Financial Aid when classes begin. Completion of the MPN is a one-time process and is good for all Federal Perkins Loan borrowing for up to 10 years. This program is currently set to expire September 2017.

Federal Nursing Loan

Federally-funded loans available to qualified full- and half-time nursing students. The interest rate is five percent with repayment beginning nine months after graduation or withdrawal from UE. Students may borrow up to $3,300 for each of the freshman and sophomore years and up to $5,200 for each of the junior and senior years. The cumulative borrowing limit is $17,000. Nursing students interested in a Federal Nursing Student Loan should contact the Office of Financial Aid. Once awarded, first-time recipients must sign the Master Promissory Note (MPN) in the Office of Financial Aid. Completion of the MPN is a one-time process and is good for all Federal Nursing Student Loan borrowing for up to 10 years.

Charles Edson Schell Foundation Interest-Free Loan

The University of Evansville has limited funds to loan out in $1,000 loans to UE students. Students must be from Indiana, Illinois, Ohio, Kentucky, West Virginia, Michigan, Missouri, Pennsylvania, or Tennessee. These are private funds and repayment begins no later than six months after the student graduates from UE. No interest is charged at any time. Since funds are limited, they are awarded on a first-come, first-served basis. Contact the Office of Financial Aid if interested.

United Methodist Loan

The United Methodist Scholarship and Loan Programs are a church wide educational service providing scholarships and loans to help supplement the financial needs of today's students. Funding for these loans and scholarships are provided through offerings, wills, annuities, and other designated gifts. Find more information here: United Methodist Loan.

Private Student Loans

Private educational loans (often called 'alternative' loans) are available on a credit-approval basis from private lenders and offer additional financial assistance if you have exhausted all other sources of funding for your education. Filing the FAFSA is not required for private loans; however, you should use all grants, scholarships and federal loans for which you are eligible before considering any private loan. Most lenders allow the loan to be in the student’s name; however, most require a creditworthy adult cosigner to qualify for a private loan. Each private lender has different eligibility requirements, loan rates, repayments terms, and conditions. Some will not require loan repayment until after college, but may require payment of interest while you are in school.

Please use the links below to access private lender comparison tools and online applications via INvestEd Marketplace and/or ElmSelect. The lenders listed in these links are offered here for the convenience of comparing loan terms. You may select any lender you wish for a private educational loan.

All private loan lenders are required to provide to student borrowers three disclosure statements and a Self-Certification Form prior to the school being able to certify the loan. The student will be required to complete and return the Self-Certification Form to the lender.

Other types of disclosures the student will receive include:

  1. Application Disclosure
  2. Loan Approval Disclosure
  3. Final Disclosure (prior to disbursement)

If you plan to apply for a private loan, you will need to be timely and proactive in acknowledging and providing any information requested. Delays in acknowledgement of the above disclosures or in completion of the Self-Certification Form will delay disbursements.

Costs of Attendance for Private Loan Self-Certification

The Cost of Attendance (COA) is the fall and spring total of tuition, fees, room, meals, books, personal, and transportation costs the University has built into your overall budget and is the maximum total financial aid you may have for this year. Various COA budgets for UE students can be found online.

All private lenders must require students applying for a private loan to complete a Self-Certification Form indicating the amount of the UE COA, the student's financial aid, and the difference between the two.

Questions about the Cost of Attendance can be answered by contacting the Office of Financial Aid.

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Room 116, Olmsted Administration Hall