Loans
Loans are awarded after your eligibility for grants, scholarships, and work-study is considered. Your financial aid package may include loans in the form of need based and/or non-need based financial aid.
Unlike grants or work-study, a loan is money that must be repaid – you are legally obligated to repay your loans, even if you do not complete your program.
At Texas Tech University, we encourage you to make informed decisions when taking out a student loan and only borrow the amount of funds needed to successfully complete your education.
Federal Loans
The U.S. Department of Education offers low-interest loans to eligible students and parents to help cover the cost of attendance.
Federal Direct Student Loans
The Federal Direct Loan Program offers low interest rate loans (subsidized or unsubsidized), directly from the Department of Education, to undergraduate and graduate/professional students. Eligibility is determined using information provided in the Free Application for Federal Student Aid (FAFSA) and not on the basis of credit or debt to income ratio.
Borrower
Undergraduate and Graduate Students
Loan Eligibility
- Must file a FAFSA
- Must be enrolled at least half-time in a degree-seeking program
- U.S. citizens or eligible non-citizens
- Not in default on any federal educational loans
- Have not already borrowed more than the aggregate federal direct loan limit
- Meet Satisfactory Academic Progress (SAP)
Types of Federal Direct Loans
Direct Subsidized Loan - This loan is only available to undergraduates. This need-based loan program is “subsidized” because the government pays the interest on your behalf while you are enrolled at least half time and during grace and deferment periods.
Direct Unsubsidized Loan - This loan type is available to both undergraduate and graduate students. This non-need-based loan program is referred to as "unsubsidized" because interest accrues (accumulates) while the student in enrolled in school. Interest on Direct Unsubsidized Loans begins to accrue after disbursement of the loan funds; however, the student may choose to have the payment of the interest deferred during enrollment and later capitalized (added to principal) at the time of repayment.
Borrowing Limits
| Dependent Undergraduate Students |
|---|
| YEAR | Freshman
(0-30 credit hours) | Sophomore
(31-60 credit hours) | Junior, Senior
(61 - 120+ credit hours) |
| SUBSIDIZED | $3,500 | $4,500 | $5,500 |
| UNSUBSIDIZED* | $2,000 | $2,000 | $2,000 |
| ANNUAL TOTAL | $5,500 | $6,500 | $7,500 |
| AGGREGATE SUBSIDIZED | $23,000 |
AGGREGATE TOTAL
(Subsidized & Unsubsidized) | $31,000 |
| Independent Undergraduate Students |
|---|
| YEAR | Freshman
(0-30 credit hours) | Sophomore
(31-60 credit hours) | Junior, Senior
(61 - 120+ credit hours) |
| SUBSIDIZED | $3,500 | $4,500 | $5,500 |
| UNSUBSIDIZED* | $6,000 | $6,000 | $7,000 |
| ANNUAL TOTAL | $9,500 | $10,500 | $12,500 |
| AGGREGATE SUBSIDIZED | $23,000 |
AGGREGATE TOTAL
(Subsidized & Unsubsidized) | $57,500 |
| Independent Graduate Students |
|---|
| YEAR | All |
| SUBSIDIZED | $0 |
| UNSUBSIDIZED* | $20,500 |
| ANNUAL TOTAL | $20,500 |
| AGGREGATE SUBSIDIZED | $0 |
AGGREGATE TOTAL**
(Subsidized & Unsubsidized) | $138,500 |
*If a Federal Direct PLUS Loan for Parents is applied for and denied based on credit, a dependent undergraduate student may borrow at the independent undergraduate level.
If a student does not qualify for the maximum amount in subsidized loans, they can make up the difference in additional unsubsidized loan amounts up to the combined annual maximum.
**Aggregate total includes Federal Direct Loans borrowed as an undergraduate student.
First Time Borrowers
- Complete entrance counseling, a tool to ensure you understand your obligation to repay the loan.
- Sign a loan contract called a Master Promissory Note, agreeing to the terms of the loan.
Interest Rates & Loan Fees
Interest rates are updated annually. Click here for the current interest rates, how it is calulated and how it accrues.
Loan fees are updated annually. The fee is deducted from the loan before you receive the funds (so you will receive less than you borrowed) and you are responsible for repaying the full amount borrowed, including the fees that are deducted. Click here for the current loan fee rates.
Federal Graduate PLUS Loans
The Federal Direct PLUS Loan for Graduate/Professional Students (PLUS) provides a borrowing option for graduate and professional students. Based upon the Free Application for Federal Student Aid (FAFSA) and the student's credit history, a graduate/professional student may borrow up to their cost of attendance (less any other financial assistance they may be receiving) through this federally guaranteed, non-need-based loan program.
Borrower
Graduate or Professional Student
Loan Eligibility
- Must file a FAFSA
- Must be enrolled at least half-time in a degree-seeking program
- U.S. citizens or eligible non-citizens
- Not in default on any federal educational loans
- Have not already borrowed more than the aggregate federal direct loan limit
- Meet Satisfactory Academic Progress (SAP)
Borrowing Limits
Up to the student's cost of attendance (less any other financial assistance the student may be receiving).
First-Time Borrowers
- Complete entrance counseling, a tool to ensure you understand your obligation to repay the loan.
- Sign a loan contract called a Master Promissory Note, agreeing to the terms of the loan.
Interest Rates & Loan Fees
Interest rates are updated annually. Click here for the current interest rates, how it is calulated and how it accrues.
Loan fees are updated annually. The fee is deducted from the loan before you receive the funds (so you will receive less than you borrowed) and you are responsible for repaying the full amount borrowed, including the fees that are deducted. Click here for the current loan fee rates.
Federal Parent PLUS Loans
The Federal Direct PLUS Loan for Parents provides a borrowing option for parents of dependent undergraduate students. Based upon a parent's credit history, a parent may borrow up to the student's cost of attendance (less any other financial assistance the student may be receiving) through this federally guaranteed, non-need-based loan program.
Borrower
Loan Eligibility
Borrowing Limits
Up to the student's cost of attendance (less any other financial assistance the student may be receiving).
First-Time Borrowers
- Complete credit counseling, if required.
- Sign a loan contract called a Master Promissory Note, agreeing to the terms of the loan.
Interest Rates & Loan Fees
Interest rates are updated annually. Click here for the current interest rates, how it is calulated and how it accrues.
Loan fees are updated annually. The fee is deducted from the loan before you receive the funds (so you will receive less than you borrowed) and you are responsible for repaying the full amount borrowed, including the fees that are deducted. Click here for the current loan fee rates.
Private Loans
Private education loans are designed to assist you in meeting the cost of attendance that is not met by other types of financial assistance or personal resources, and should be considered after all available federal and state financial aid options have been exhausted. These loans are non-federal loans, made by a lender such as a bank, credit union, or state agency. They typically have higher interest rates and fewer repayment plans than federal loans.
College Access Loan (CAL)
The College Access Loan Program provides alternative educational loans to Texas residents who are unable to meet the cost of attendance by other types of financial assistance or personal resources. Students do not have to demonstrate financial need.
Borrower
Loan Eligibility
- Must file a FAFSA or TASFA
- Must submit a CAL application including a signed:
- Socilitation Disclosure
- Self-Certification
- Loan Approval Disclosure Statement.
- Be at least 21 years of age
- Have a regular source of income
- Not be the borrower or the spouse of the borrower
- Receive a favorable credit evaluation (The credit decision is good for 90 days)
- Be a permanent U.S. resident or a U.S. citizen and reside in the U.S. or in a U.S. territory
Borrowing Limits
Students may borrow up to the amount of their full cost of attendance minus all other financial aid they are eligible for, including amounts not yet accepted.(No less than $100.00)
The CAL is awarded based on the requirements set by the Texas Higher Education Coordinating Board (THECB) and the availability of funds.
Loan Processing
Once the THECB has received and approved all application documents and credit is approved, Texas Tech will be notified to certify loan eligibility. Texas Tech will certify the loan up to the cost of education minus any other aid the student has been awarded, or for the approved loan amount.
Once Texas Tech certifies CAL eligibility, the THECB will calculate the student's manageable debt to determine the final loan amount.
Then THECB will send the student a Loan Approval Disclosure by mail. The student may electronically accept the terms of the disclosure.
Loan funds will not be released to Texas Tech by the THECB until the Loan Approval Disclosure has been accepted by the THECB. Loan funds are generally sent to Texas Tech in 10-14 business days after the Loan Approval Disclosure has been accepted.
Loan funds will be applied to the student's Texas Tech billing account and any refund will be sent to the student via direct deposit or paper check. The student can sign up for direct deposit under the MyTech on Raiderlink.
Log in to www.hhloans.com to check the status of your CAL.
Additional Information
Click below for additional loan information including interest rates, fees, and repayment.
FORWARD Loan
The FORWARD Loan Program is a low-interest loan designed for students enrolled in programs aligned with high-value credentials and high-demand occupations. The program provides alternative educational loans to Texas residents who are unable to meet the cost of attendance by other types of financial assistance or personal resources.
Borrower
Loan Eligibility
- Must file a FAFSA or TASFA
- Must submit a FORWARD Loan application including a signed:
- Socilitation Disclosure
- Self-Certification
- Loan Approval Disclosure Statement.
- Enrolled in a degree program and have completed at least 50% of the required coursework prior to receiving a loan
- Enrolled in a non-degree program with a duration of less than two years
- Enrolled in master's degree coursework that is part of a combined baccalaureate-master's program
- Be at least 21 years of age
- Have a regular source of income
- Not be the borrower or the spouse of the borrower
- Receive a favorable credit evaluation (The credit decision is good for 90 days)
- Be a permanent U.S. resident or a U.S. citizen and reside in the U.S. or in a U.S. territory
Borrowing Limits
Students may borrow up to the amount of their full cost of attendance minus all other financial aid they are eligible for, including amounts not yet accepted.(No less than $100.00)
The FORWARD is awarded based on the requirements set by The Higher Education Coordinating Board (THECB) (www.hhloans.com) and the availability of funds. The FORWARD is awarded only to Texas residents.
The THECB will calculate the final loan amount based on a student's “manageable debt” for the borrower's program of study. Depending on the calculation, the loan could be reduced or canceled by the THECB after the loan has been certified by an institution.
Loan Processing
Once the THECB has received and approved all application documents and credit is approved, Texas Tech will be notified to certify loan eligibility. Texas Tech will certify the loan up to the cost of education minus any other aid the student has been awarded, or for the approved loan amount.
Once Texas Tech certifies FORWARD eligibility, the THECB will calculate the student's manageable debt to determine the final loan amount.
Then THECB will send the student a Loan Approval Disclosure by mail. The student may electronically accept the terms of the disclosure.
Loan funds will not be released to Texas Tech by the THECB until the Loan Approval Disclosure has been accepted by the THECB. Loan funds are generally sent to Texas Tech in 10-14 business days after the Loan Approval Disclosure has been accepted.
Loan funds will be applied to the student's Texas Tech billing account and any refund will be sent to the student via direct deposit or paper check. The student can sign up for direct deposit under the MyTech on Raiderlink.
Log in to www.hhloans.com to check the status of your FORWARD Loan.
Additional Information
Click below for additional loan information including interest rates, fees, terms, and repayment.
Other Private Education Loans
Should you wish to pursue private education loans in lieu of applying for federal, state, and institutional financial assistance, Texas Tech requires that you complete a Private Education Loan Applicant Self-Certification form before a private education loan will be certified by our office.
Borrower Limits
Students may borrow up to the full cost of attendance for your program minus all other financial assistance.
Selecting a Lender
Texas Tech does not promote or endorse any private education loan lenders. FASTChoice is a lender-neutral tool which allows you to compare a historically cumulative list of lenders and education loan products that our students have used.
Consider Before Borrowing
Interest rate: It may be capitalized increasing the amount of money you ultimately owe. Consider using a cosigner. You may qualify for slightly lower rates.
Fees: The interest rates and fees that you pay are based on your credit score and the credit score of your co-signer (if you choose to use one).
Borrower benefits: These vary by lender.
Repayment terms: Some lenders require you to pay while you are in school; others will defer payments until after graduation.
Eligibility requirements: These vary by lender.
Loan Processing
Plan for up to four weeks for private education loan processing.
You may apply for a loan to cover the entire academic year (fall and spring), unless you do not plan to attend consecutive semesters, in which case, you will need to apply for each semester individually. Summer semester loans require a separate application from the fall/spring.
Once Texas Tech University has processed your private education loan, only reductions or cancellations can be made by emailing finaid.advisor@ttu.edu. Increases require a new loan application be submitted to the lender.
Additional Information
Click below for additional information regarding private education loans.
