Federal Aid First
Use Every Federal Dollar Before You Borrow Privately
Federal student loans come with protections private loans do not. This calculator shows whether you may still have federal borrowing room to use first, and what gap would actually be left afterward.
Your FAFSA results tell you which one applies to you.
Tuition, fees, room, board, books
Money you never repay
From your aid offer, this year
Typical federal limit this year
$5,500
Up to $3,500 of this may be subsidized
Federal room you have not used
$5,500
Take $5,500 in federal loans first.
Based on typical limits, you may still be able to borrow $5,500 in federal loans this year. Federal loans generally offer income-driven repayment, deferment, and forgiveness options that private loans do not. Talk to your financial aid office before taking any private loan.
Start or update your FAFSAGap left after federal aid
$19,500
This is the only amount you should consider covering with a private education loan. Borrow no more than this.
The federal limits shown are published Direct Loan amounts used for estimation only. Graduate and professional figures reflect the annual and aggregate limits under the One Big Beautiful Bill Act for loans made on or after July 1, 2026, and a separate overall lifetime cap of $257,500 applies across federal loan types, excluding Parent PLUS amounts. Graduate students who were already enrolled and had a Direct Loan for that program before July 1, 2026 may retain limited Grad PLUS eligibility. Federal aid programs and limits are set by the U.S. Department of Education and are subject to change. Your actual eligibility depends on your FAFSA results, your school's cost of attendance, your enrollment status, and aid you have already received. Confirm your current federal eligibility with your school's financial aid office and at studentaid.gov. This tool is general educational information, not individualized financial advice, and is not an offer of credit or a commitment to lend.
Federal Aid Questions, Answered
- Why should I take federal student loans before private loans?
- Federal student loans include protections that private education loans generally do not. These include income-driven repayment plans that tie your payment to your earnings, deferment and forbearance if you lose income, and eligibility for forgiveness programs such as Public Service Loan Forgiveness. Federal subsidized loans also do not accrue interest while you are enrolled at least half time. For most students, federal loans should be used before any private loan.
- What is the difference between subsidized and unsubsidized federal loans?
- With a subsidized loan, the federal government pays the interest while you are enrolled at least half time, during your grace period, and during approved deferment. With an unsubsidized loan, interest accrues from the day the loan is disbursed, including while you are in school. Subsidized loans are awarded based on demonstrated financial need and are only available to undergraduates.
- Do I have to accept all the federal loans I am offered?
- No. You can accept all, part, or none of the federal loans in your aid offer. Accepting only what you need reduces what you repay later. However, declining federal loans and replacing them with private loans usually means giving up federal repayment protections.
- How do I apply for federal student aid?
- Submit the Free Application for Federal Student Aid at studentaid.gov. It is free. Your school uses the results to build your financial aid offer, which lists the grants, work-study, and federal loans you qualify for. File as early as you can because some aid is limited and awarded first come, first served.
- When does a private student loan make sense?
- A private education loan makes sense when you have already applied for grants and scholarships, filed the FAFSA, and accepted the federal aid available to you, and a funding gap still remains between your cost of attendance and your total resources. Borrow only the amount of that remaining gap.