Financial Aid

Federal Stafford Loans

All loans are subject to individual student eligibility and fund availability. Borrowing should be done conservatively to avoid heavy loan debt and the potential for default.

UNM-Gallup is part of the William D. Ford Federal Direct Loans Program effective as of July 1, 2010. UNM-Gallup offers Federal Stafford Loans, which are fixed-rate federal student loans for undergraduates and graduate students attending college at least half-time. Students must be admitted as "degree-seeking" and must be enrolled at least half-time to qualify for federal student loans.
Subsidized Stafford Loans

Subsidized is a need-based loan program in which the government pays the interest that accrues during the student's period of enrollment.

Unsubsidized Stafford Loans

Unsubsidized is a non-need-based loan program in which the interest accrues while the student is attending college. The student has the option of paying the interest while in school on a monthly or quarterly basis or deferring the interest until repayment begins. This accrued interest will be capitalized.

Repayment of the Federal Stafford Loan can be deferred up to six months upon graduation, leaving the university or dropping below half-time attendance. You will need to get in contact with your lender on repayment or consolidation of your loans. Visit for more information on repayment. The loan is repaid through the lender chosen by the student. All Stafford Loans have a fixed interest rate with cap of 8.25 percent.

For more detailed information go to StudentInfo (add link: ) and inquire about loans. To apply for a loan, pick up the form from the Financial Aid office or submit it online: Go to Forms for online access. You will need to complete a master promissory note with Direct Loans at .


There are two changes to Direct Loans:
Loan origination fee - origination fees for all loans disbursed on or after July 1, 2013 increased. The fees for subsidized and unsubsidized loans rose to 1.051% from 1% (e.g. on a $5500 loan the fee increases by $2.80) Fees for PLUS loans rose to 4.204% from 4% (e.g. on a $10,000 loan the fee increases by $20.40).

Interest rate on subsidized loans - interest rates rose from 3.4% to 6.8% on subsidized loans. The US Congress may retroactively change this (there is talk of a July 10 vote to extend 3.4% for one year). Stay tuned.