types of loan and how to apply

Page last updated:
06 Sep 2021

There are a few different options available when it comes to funding, so we have broken down what you can apply for and how to apply.

On this page you will find information on the types of loan available, how much money you can get and information on how to apply. You can check if you meet the requirements to apply on our Eligibility page. 

What loans are available?

The US Loans Programme offers the following loans to students studying at a ‘foreign school’:

  • Stafford Loans (Subsidised and Unsubsidised)
  • Graduate Plus Loans
  • Parent Plus Loans

Please note that Pell Grants and Perkins Loans are not available to students studying outside of the US.

Our university also administers private loans. For more information get in touch at USloans@leedsbeckett.ac.uk.

How much loan can I receive?

 Year of course  Subsidised loan  Unsubsidised loan  Maximum loan
1 $3,500 $2,000  $5,500
2 $4,500 $2,000 $6,500
3 and later $5,500  $2,000 $7,500
Subsidised and Unsubsidised Aggregate Loans     $31,000 - No more than $23,000 of this amount may be in subsidised loans.

 Year of course  Subsidised loan  Unsubsidised loan  Maximum loan
1 $3,500 $6,000  $9,500
2 $4,500 $6,000 $10,500
3 and later $5,500  $7,000 $12,500
Subsidised and Unsubsidised Aggregate Loans     $57,000 - No more than $23,000 of this amount may be in subsidised loans.

If you are a dependent student whose parents are ineligible for a Parent Plus Loan you may be able to receive additional Unsubsidised loan funds.


 Year of course  Unsubsidised loan  Maximum loan
All years $20,500  $20,500
Subsidised and Unsubsidised Aggregate Loans  

$138,500 for graduates or professional students. No more than $65,500 of this amount may be in
subsidised Loans.

The graduate aggregate limit includes all federal loans received for undergraduate study

Please note that if your total amount of loans accrued over the duration of your education reaches the aggregate amount, then you are not eligible for further loans. However, if you repay some of the loans to bring the outstanding loan debt below the aggregate limit, you can borrow up to the amount of your remaining eligibility, under the aggregate loan limit set out above.

For the Subsidised loan the US Government will pay the interest on the loan whilst you, the student:

  • Are at university for at least half- (part-)time
  • For the six-month grace period after leaving university, drop below the half-time enrolment
  • Qualify for deferment

For the Unsubsidised loan, the student is responsible for paying the interest on the loan from the point of disbursement.

Type of loan Borrower type Interest before 7/02/2020 Originating fee after 10/01/2019*
Direct Subsidised

Undergraduate

You’re not usually charged interest on the loan during certain periods, such as when you’re in school at least half-time.

The U.S. Department of Education (ED) is the lender; payment is owed to ED.

4.53% 1.057
Direct Unsubsidised

Undergraduate

You’re responsible for paying the interest during all periods.

ED is the lender; payment is owed to ED.

 4.53% 1.057
Direct Unsubsidised Loans

 Graduate / professional

You’re responsible for paying the interest during all periods.

ED is the lender; payment is owed to ED.

6.08% 1.057

*The originating loan fee is a percentage of the loan amount and is proportionately deducted from each loan disbursement.

Federal Direct Parent and Grad PLUS Loans may be used as supplementary funding when subsidised and unsubsidised loan maximums are reached. As always, the total amount you may borrow in student loans for any academic year is limited to your annual calculated cost of attendance minus all other sources of funding such as Scholarships/Bursaries.

Only available to graduates. Application for this loan can be made on the studentaid.gov website.

 Type of loan Borrower type Interest before 7/01/2020 Originating Fee after 10/01/2019*
 Direct Plus loan

For parents who are borrowing money to pay for their dependent undergraduate child's education, and for graduate or professional degree students**; financial need isn't required

You must not have an adverse credit history (unless you meet certain additional eligibility requirements)
***

ED is the lender; payment is owed to ED

7.08% 4.228%

*The originating loan fee is a percentage of the loan amount and is proportionately deducted from each loan disbursement.

**You can learn about dependency status on the studentaid.gov website

***You can learn about PLUS loans and adverse credit on the studentaid.gov website

Only available to parents of undergraduate students, who are enrolled in at least half-time.

Interest is charged from the date of the first disbursement up until the loan has been fully paid. Find out more on the studentaid.gov website.

How to apply for your US Federal loan

All loans are handled by the US Loans Office and all students should register as soon as possible by emailing USloans@leedsbeckett.ac.uk.

Step 1: When applying for your US loans, the first step is to complete the Free Application for Federal Student Aid (FAFSA) online.

You will need to quote the Leeds Beckett School code: G35014.

Please note that the school finder may list the school under their old name of Leeds Metropolitan University. The US Department of Education has not updated this. If you click on this, it will link to Leeds Beckett University.

The FAFSA is available from 1 October and you will need to complete a new FAFSA for every year of study at university. The deadline to apply for 2021/22 is 30 June 2022.


Step 2: The university will send you a student information form to fill in and return to USloans@leedsbeckett.ac.uk. This form will allow the team to download the Student Aid Report generated by your completion of the FAFSA and is a requirement when a student is applying for their Federal Funding.

If any information is missing or there are comments stating further information is required, you will need to make corrections and re-submit your application. If there is a ‘C’ shown next to the Expected Family Contribution (EFC), further information will be required. Check the comments codes and make any necessary corrections. In some cases, we may need to ask you to provide documentary evidence (such as proof of US citizenship).

Once this has been received, the Loans Office will send an information form to the course administrator for your course to obtain further details about the course you have chosen to study.

Please note that courses which are distance learning only are not eligible for Federal Funding. Currently the US have permitted funding for students who cannot attend classes in the normal way due to the pandemic and are studying online.


Step 3: Following receipt of these two documents and once we have reviewed your SAR to ensure eligibility, the US Loans team will calculate a cost of attendance (COA) (which will be an estimated figure and only for guidance purposes). The COA is made up of fixed costs and is not based upon an individual’s circumstances. The student’s EFC will be considered.

Please note you are not able to borrow more than your total calculated COA.

What is the Cost of Attendance?

Find out more
A desk with a laptop, open notepad and pen and a coffee

Step 4: The next step varies according to the type of loan you are applying for. 

To apply for your William D. Ford Federal Direct Loans a student must register in the registration portal.

You will only qualify as an independent student if you meet the following criteria:

  • You were 24 years old by 31 December of the award year
  • You were married when you applied for your loan
  • You have at least one child who receives more than half of their support from yourself
  • You are an orphan or ward of court or were so until the age of 18
  • You are a US Armed Forces Veteran

If you intend to apply for a Graduate Plus Loan (or your parents apply for a Parent Plus Loan), you / they will need to also complete a master promissory note (MPN) and credit check through the Studentaid.gov website.

Parents of students who have applied for a Parent Plus Loan will have to undergo a credit check and complete entrance counselling, and will also need to complete a document that states who the money should be paid to. The form will be sent to the student for the parent to complete prior to any funds being disbursed.

Students and parents have the right to cancel all or part of their loan prior to disbursement but must give the school time to action the cancellation.

The US guidance states: “You can cancel all of or a portion of a loan disbursement within 120 days of the date your school disbursed (paid out) your loan money. If you choose to cancel the amount disbursed, you will return the money you received, and you will not be charged interest or fees”.

The exchange rate used to convert the UK pound sterling figures to USD is fixed at a certain date and does not vary thereafter.

As part of the process to apply for your loans you will also need to complete entrance counselling for each loan taken out and send a copy of this to the US Loans Office. Again, failure to do this will impact on your loans being disbursed. Entrance counselling can be taken through the Studentaid.gov website.

Exit counselling is required at the end of the course for each year of study. Exit counselling can be taken through the Studentaid.gov website.

For the direct loans to be disbursed in line with the dates given for first disbursement, students need to have completed and submitted an application by 10 September of the academic year they are applying for. Any applications that are received after that date cannot be guaranteed to be approved in time for the first disbursement.

To apply for your William D. Ford Federal Direct Loans a student must register in the registration portal.

You will only qualify as an independent student if you meet the following criteria:

  • You were 24 years old by 31 December of the award year
  • You were married when you applied for your loan
  • You have at least one child who receives more than half of their support from yourself
  • You are an orphan or ward of court or were so until the age of 18
  • You are a US Armed Forces Veteran

If you intend to apply for a Graduate Plus Loan (or your parents apply for a Parent Plus Loan), you / they will need to also complete a master promissory note (MPN) and credit check through the Studentaid.gov website.

Parents of students who have applied for a Parent Plus Loan will have to undergo a credit check and complete entrance counselling, and will also need to complete a document that states who the money should be paid to. The form will be sent to the student for the parent to complete prior to any funds being disbursed.

Students and parents have the right to cancel all or part of their loan prior to disbursement but must give the school time to action the cancellation.

The US guidance states: “You can cancel all of or a portion of a loan disbursement within 120 days of the date your school disbursed (paid out) your loan money. If you choose to cancel the amount disbursed, you will return the money you received, and you will not be charged interest or fees”.

The exchange rate used to convert the UK pound sterling figures to USD is fixed at a certain date and does not vary thereafter.

As part of the process to apply for your loans you will also need to complete entrance counselling for each loan taken out and send a copy of this to the US Loans Office. Again, failure to do this will impact on your loans being disbursed. Entrance counselling can be taken through the Studentaid.gov website.

Exit counselling is required at the end of the course for each year of study. Exit counselling can be taken through the Studentaid.gov website.

For the direct loans to be disbursed in line with the dates given for first disbursement, students need to have completed and submitted an application by 10 September of the academic year they are applying for. Any applications that are received after that date cannot be guaranteed to be approved in time for the first disbursement.

contact the us loans team

Looking for something else?

There's lots of helpful advice and guidance on our student information pages. Try searching if you know what you're looking for or if you're not sure where to go, you can browse our A-Z.