Central Texas College works with the William D. Ford Federal Direct Loan (Direct Student Loan) Program through the Department of Education. Direct Student Loans are loans that the borrower is required to pay back to the Department of Education.



Through Central Texas College’s Financial Aid Office, we process three types of Direct Loans: Direct Subsidized Loans, Direct Unsubsidized Loans, and Direct Parent PLUS loans.

For more information regarding the types of direct loans, please review the Types of Direct Loans Offered.



Are you eligible to apply for a direct loan? Please review the Eligibility Requirements.

For the full list of eligibility requirements, please visit Department of Education - Eligibility Requirements



FAL18: October 26, 2018
SPR19: March 22, 2019
SU119: June 14, 2019 



Please contact the Student Loan Department if you are interested in applying for loans during the Spring or Summer 2019 semesters.

Beginning in the 2019-20 academic year, the Financial Aid Department will begin packaging direct subsidized and direct unsubsidized loans for the Fall and Spring semesters.  Contact the loan department if you are interested in applying for Summer of 2020. 



Interest Rates:
Direct Subsidized Loans:  4.53%
Direct Unsubsidized Loans:  4.53%
Direct Parent PLUS Loans:  7.08%

Origination Fees:
Direct Subsidized Loans:  1.062%
Direct Unsubsidized Loans:  1.062%
Direct Parent PLUS Loans:  4.248%

*Origination fees and interest rates are subject to change. The above rates are for loans disbursed on or after July 1, 2019 and before July 1, 2020. New origination fees go into effect each October 1st.

For the latest update, please visit Current Interest Rates.



Ready for repayment? Repayment for your federal student loans is generally up to 10 years under the standard repayment term. You can request a deferment while enrolled in college at least half-time. Direct Parent PLUS Loans will begin immediate repayment after the full loan has disbursed. Subsidized and Unsubsidized Direct Loans are under a six-month grace period after you withdraw, drop below half-time, or graduate.


The Department of Education offers several repayment options. To review repayment programs, please visit Direct Loan Repayment Options.

Calculate Future Payments with the Repayment Estimator.



Annual Direct Loan Limits

  • Dependent Student
    • Freshman Student (0-30 credit hours) - $5,500 (up to $3,500 can be subsidized)
    • Sophomore Student (31+ credit hours) - $6,500 (up to $4,500 can be subsidized)
  • Independent Student
    • Freshman Student (0-30 credit hours) - $9,500 (up to $3,500 can be subsidized)
    • Sophomore Student (31+ credit hours) - $10,500 (up to $4,500 can be subsidized)

Aggregate Loan Limits

  • Dependent Student
    • $31,000 (of which $23,000 may be subsidized)
  • Independent Student
    • $57,500 (of which $23,000 may be subsidized)

*Awards cannot exceed cost of attendance

The annual limits and aggregate limits are approved through the Department of Education. You can review the loan limits and additional information by visiting Direct Loan Limits.

Dependent students without parental information, whom have received approval through the Dependent Unsubsidized Loan Request, are eligible for a unsubsidized direct loan only. A dependent freshman will be eligible for up to $5,500 and a dependent sophomore will be eligible for up to $6,500.



Please remember that disbursements are given two times per term, the first being 10 days before your half-time enrollment begins and the 2nd is mid-semester. If you are a First Time/First Year Student Loan Borrower your first disbursement will be delayed 30 days. To review your disbursement scheduled, please see your Disclosure Statement.

On the date of each disbursement, you must be meeting eligibility requirements to receive that disbursement. Your disbursement will release to your student account first.



Refunds are processed within 30 days of your disbursement. Please contact the Business Office for refund questions.



Accepting a direct loan is an important step in achieving your educational goals. Your award will be made available through your self-service account on Eagle Self-Service. You have the right to accept, reduce, or reject the direct loan awarded offered to you. Before your direct loan is disbursed, you have the right to cancel your full or partial award. You must notify this office in writing prior to receiving the disbursement you wish to cancel or reduce.

Further information pertaining to your agreement with Department of Education is found at studentloans.gov under My Documents - Loan Agreement for a Subsidized/Unsubsidized Loan (MPN)



Contact your Central Texas College's Financial Aid Loan Officer

Nichole Niswonger
(254) 616-3313

Michelle Nicolaus
(254) 526-1552



The FAFSA must be submitted in order to apply for and determine your eligibility for student loans.

No, you must contact the holder of your student loan and make arrangements to to resolve the default. Generally, you must make at least six consecutive monthly payments before you will be eligible to borrow a new student loan.

You can find out who holds your loan by logging in to My Federal Student Aid or by calling the Student Loan Support Center at 1-800-557-7394.

The Master Promissory Note (MPN) is an agreement between the borrower and Department of Education to pay. The MPN gives you the terms and conditions of your Direct Loan. You can find a copy of your MPN by logging into studentloans.gov under My Documents. For more information, please visit Master Promissory Note.

An Entrance Counseling is a tutorial to help explain the direct loan process, the rights and responsibilities each borrower has, and borrowing wisely. For more information, please visit Entrance Counseling.

When students drop below half-time enrollment, withdraw from the college, or graduate, they are required to complete an exit counseling through studentloans.gov. The Exit Counseling gives vital information to prepare the student for repayment. For more information, please visit Exit Counseling Guide for Borrowers of Direct Loans & Federal Family Education Program Loans

In the 2017 85th Regular Legislative Session, the Texas Legislature passed Senate Bill (SB) 0887, which requires institutions of higher education (IHEs) in Texas that participate in a state financial aid program administered by the Texas Higher Education Coordinating Board (THECB) to provide students with a letter notifying of them of the amount of education loan borrowed to date and estimates of future payments.

If you received a student loan debt letter and have questions or concerns, please contact the Loan Department for assistance. Please remember this letter is not a bill, but merely a review of your overall student loan debt with Department of Education.

Loan Department

State & Federal money intended to help students meet the cost of attendance.

Money borrowed through the government loan programs. 

Gift aid awarded by the CTC Foundation Office or outside organizations.

State & Federal program that allows students to earn a portion of their educational expenses through part-time employment.

  • If you are trying to budget for the upcoming school year, check out the estimated cost of attendance (COA) for the specific academic year. More...
  • Information is available regarding military educational benefits, Selective Service registration compliance, veteran benefits and vocational rehabilitation (Texas campuses only). More...
  • A consortium agreement is a contract between two colleges/universities that recognizes your registration at each location for financial aid purposes. More...

(Calculator results are unofficial estimates)