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Student Loans

Student Loans

Student loans are a type of federal financial aid. To be eligible, you must complete a , Or . Â鶹ÊÓƵ participates in the Federal Direct Loan Program, which offers low-interest student loans from the U.S. Department of Education.

There are two types of Federal Direct Loans available to undergraduate students:

Direct Subsidized Loans

  • Available to students with financial need.
  • The government pays the interest while you’re in school at least half-time.
  • Interest does not accrue during deferment periods (such as during school or a grace period).

Direct Unsubsidized Loans

  • Available to all eligible students, regardless of financial need.
  • Interest begins accruing as soon as the loan is disbursed.
  • You can choose to pay the interest while you're in school or allow it to be added to the loan balance.

Note: There is a time limit on how long you can receive Direct Subsidized Loans. Generally, you may not receive subsidized loans for more than 150% of the length of your academic program. For more information, visit .

  1. Submit your FAFSA.

  2. Wait for your financial aid award notice. You'll be notified by email and can view your offer on the Financial Aid Portal.

  3. First-time borrowers must complete the:

    • Master Promissory Note (MPN)

    • Loan Entrance Counseling
      (Both are completed at )

  4. Submit your Direct Loan Acceptance Form to the Financial Aid Office.

  5. Allow 1 to 2 weeks for processing.


Annual and Lifetime Loan Limits

Academic Year (45 credits) Dependent Students Independent Students
1st Year $5,500 total (up to $3,500 subsidized) $9,500 total (up to $3,500 subsidized)
2ed Year $6,500 total (up to $4,500 subsidized) $10,500 total (up to $4,500 subsidized)
3ed & 4th Year $7,500 total (up to $5,500 subsidized) $12,500 total (up to $5,500 subsidized)
Aggregate Limit $31,000 total (up to $23,000 subsidized) $57,500 total (up to $23,000 subsidized)

These are the maximum federal loan limits for undergraduate students. The exact amount you’re eligible to borrow depends on your financial need, cost of attendance, and other aid you receive.

 

Interest Rates for 2025-2026

For undergraduate students at YVC, the interest rate for Direct Loans first disbursed between July 1, 2025, and June 30, 2026 is:

  • 6.39% fixed
    (This rate applies to both Direct Subsidized and Direct Unsubsidized Loans)

This interest rate is based on the 10-year Treasury note high yield 4.342% from May 6, 2025, plus a 2.05% federal add-on set by law.

Interest rates are set each year but remain fixed for the life of the loan. For current rates and more details, visit .

Loan fees are subtracted from your loan before funds are disbursed. These fees can change each year. Check with the YVC Financial Aid Office for current loan fees.

Â鶹ÊÓƵ’s most recent official student loan default rate is 0.0% for the 2022 fiscal year, according to the U.S. Department of Education.

Default rates have remained very low nationwide in recent years due to the pause on federal student loan payments during the COVID-19 pandemic.

Before the pause, YVC’s default rate for the 2019 fiscal year was 3.5%, down from 10.9% in 2018 and 13.8% in 2017.

For schools with more than 30 students in repayment, the U.S. Department of Education calculates the default rate by dividing the number of borrowers who default within three years of entering repayment by the total number who entered repayment in that same year.

As federal student loan repayments resume, future default rates are expected to rise somewhat as borrowers adjust after several years without payments.


Resources for Student Borrowers

A one-stop resource for:

  • Completing the Master Promissory Note (MPN)
  • Completing Entrance and Exit Counseling
  • Managing your loans and working with loan services
  • Information about deferments, forbearance, and repayment plans

Log in to:

  • View your financial aid status
  • Access award offers and loan information
  • Submit forms and check for missing documents