Loans
Student loans can be a helpful resource when paying for college. Loans are a form of financial aid that must be repaid, usually with interest, after you graduate or are no longer enrolled in college. The amount of money you can borrow depends on several factors, including your year in school, dependency status and financial need. Loans are offered by the federal and state governments, the University, and private lenders.
Federal Loans
The U.S. Department of Education offers loans directly to eligible students earning their degree and to parents of dependent undergraduate students. Students must complete their FAFSA in order to be considered for Federal Loans.
Subsidized Direct Loans
Subsidized loans are available to undergraduate students with financial need, as determined by your FAFSA. These loans do not accrue interest while you are enrolled in at least half-time hours or during periods of deferment. Visit Studentaid.gov for the current interest rate for subsidized direct loans.
Unsubsidized Direct Loans
Unsubsidized loans are available to both undergraduate and graduate students and are not based on financial need. Unlike subsidized loans, interest begins accruing on unsubsidized loans from the time the loan is disbursed until it is paid in full, including when you are enrolled in school or during deferment or grace periods. Visit Studentaid.gov for the current interest rate for unsubsidized direct loans.
Parent PLUS Loans
Parent PLUS Loans are available to parents of undergraduate students. These loans are subject to the borrower’s credit being approved by the Department of Education. Interest begins accruing on Parent PLUS loans when the loan is disbursed until it is paid in full. Visit Studentaid.gov for the current interest rate for Parent PLUS loans. Parents must complete the online Parent PLUS Loan Application in order to receive this type of loan.
Graduate PLUS Loans
Graduate PLUS Loans are available to graduate and professional students and are intended to supplement unsubsidized loans. Graduate PLUS loans are subject to the borrower’s credit being approved by the Department of Education. Interest begins accruing on Graduate PLUS loans when the loan is disbursed until it is paid in full. Visit Studentaid.gov for the current interest rate for Graduate PLUS loans. You must complete the online Graduate PLUS Loan Application in order to receive this loan.
State and Private Loans
College Access Loans
College Access Loans are educational loans offered by the State of Texas to students classified by the University as Texas Residents. To be eligible for a College Access Loan, you must be registered for or exempt from Selective Service and must receive a favorable credit evaluation or provide a co–signer with good credit standing. Learn more about the additional eligibility requirements, interest rates and repayment information. You can visit the Texas Higher Education Coordinating Board website to apply for a College Access Loan.
FORWARD Loans
Future Occupations & Reskilling Workforce Advancement to Reach Demand (FORWARD) Loans are educational loans offered by the State of Texas to students classified by the University as Texas Residents. FORWARD Loans are low-interest loans designed for students enrolled in programs aligned with high value credentials and high demand occupations.
To be eligible for a FORWARD Loan, you must:
- Be enrolled in a specific program within the fields of Nursing/Patient Care, Teaching, Technology, Transportation/Logistics and Energy, and be able to complete the program within two years or less.
- Visit the list of eligible programs see if your program is eligible. Eligible credentials are reassessed annually.
- Be registered for or exempt from Selective Service.
- Must receive a favorable credit evaluation or provide a co-signer with good credit standing.
Learn more about additional eligibility requirements, interest rates, repayment information and more. You can visit the Texas Higher Education Coordinating Board website to apply for a FORWARD Loan. UT Austin will automatically review certification requests.
Private Loans
Private loans (sometimes referred to as alternative loans) are available to students who are not eligible for federal or state financial aid or who need additional funds to help meet their educational expenses. These loans are not part of the federal government loan program and you should consider these only when you have exhausted your federal and state aid options. All private loans require credit checks and most loans will require a co-signer if the borrower has little or no credit history.
The Office of Scholarships and Financial Aid cannot recommend a lender, but you are encouraged to research various options and select the loan that best fits your circumstance. If you have any questions about specific private loans, please contact the lender.
Things to consider before deciding on a Private Loan:
- What is the interest rate? Is it fixed or variable?
- How is the interest rate calculated and capitalized?
- What fees are applied?
- Can principal and interest be deferred?
- When does repayment begin?
We encourage you to consider all financial options before applying for a private loan. Whenever possible, borrow only what is needed to pay for educational expenses and remember, you can request to cancel the loan or request a lower amount.
Payment Periods for State and Private Loans
When applying for state or private loans, the application will require a payment period. Use the following ranges that correspond with the requested loan application:
- Fall or spring loan: August-May
- Fall loan: August-December
- Spring loan: January-May
- Summer loan: June-August
For College Access and FORWARD Loans, the Coordinating Board is required to calculate the final loan amount based on a student’s “manageable debt” for the borrower’s program of study. The loan may be reduced or canceled after the University the loan application.
Institutional Loans
Two types of short-term institutional loans, Emergency Cash Loans and Tuition Loans, are available to students who require immediate financial assistance.
Due to 2024-25 FAFSA delays and the implementation of the new financial aid system, The University of Texas at Austin offered short-term Emergency Cash Loans and Tuition Loans with no interest if approved between July 30, 2024 and May 11, 2025. As of May 12, 2025, outstanding institutional loans resumed interest accrual as outlined in the promissory note.
Generally, financial holds on past due short-term loans will not be lifted, including to allow registration. A one-time, temporary lift of a hold may be available only if proof of consistent, good-faith payments exists and you are in good academic standing. Lifting of financial holds is not guaranteed and is at the discretion of Student Accounts Receivable.
Emergency Cash Loans
You can borrow a maximum of $500 for emergencies. These loans must be repaid within 30 days.
Requirements:
- High-assurance UT EID and password.
- Minimum half-time enrollment.
- Borrowing is limited to $500.
- All University debts are current and not past due.
- No emergency cash loan currently unpaid or borrowed within the past 30 days.
- All loans are required to be repaid within 30 days. Contact Student Accounts Receivable for other terms and conditions regarding repayment, interest rate and late penalties.
- Note: Misuse of University accounting services such as bouncing checks or excessive borrowing of emergency cash loans can result in an administrative block on your future access to the system.
To apply for an Emergency Cash Loan, visit UT Direct.
Tuition Loans
If you need assistance paying your Tuition Bill on time, Tuition Loans are an available option to consider.
Requirements:
- High-assurance UT EID and password.
- Minimum half-time enrollment.
- Borrowing is limited to the current tuition bill. Nonresidents may borrow up to $5,000.
- All University debts are current and not past due.
- No unpaid tuition loan.
- All loans are due in 30-90 days; Contact Student Accounts Receivable for other terms and conditions regarding repayment, interest rate and late penalties.
You may apply for a tuition loan through UT Direct. Payments for tuition loans may be made on the Tuition Loan website, at the Cashier’s Office or by mailing payment to:
The University of Texas at Austin
Student Accounts Receivable, Main 4
110 Inner Campus Drive Stop K5308
Austin, TX 78712-1669
Loan Disclosures
- UT 3-year cohort default rate (fiscal year 2021): 0%
- National average cohort default rate (fiscal year 2021): 0%
- Percentage of undergraduate students that borrow loans at UT (Fall 2020): 30.6%