Unsubsidized Loans are federally guaranteed loans that are not based on financial need. Both undergraduate and graduate students are eligible for the unsubsidized loan. Interest does accrue from the time the loan is disbursed to the school. The 2018-19 interest rate is 5.05 percent for undergraduate students and 6.6 percent for graduate students.
Students are not required to start making payments on this loan until six months after they graduate or drop below part-time. This is known as the “grace period.”
Comprehensive information on these loans is available from the U.S. Department of Education.
Page last reviewed/updated 08/01/18