Student Loans Student Loans

Student Loans

The FCC Financial Aid Office encourages students to explore various grants and scholarship opportunities and to evaluate loan options carefully. Borrow only what is really needed and remember that loans must be repaid!

What is a Federal Direct Student loan? 
Federal Direct Student loans are one form of student financial aid. Through the Federal Direct student loan program, students borrow money for college from the Federal government.  

How much can I borrow at FCC?

Student Classification Credits Earned Dependent Independent*
First- Year Undergraduate 0-27 $5,500 up to $3,500 subsidized $9,500 up to $3,500 subsidized
Second-Year Undergraduate 28+ $6,500 up to $4,500 subsidized $10,500 up to $4,500 subsidized
Aggregate (total) loan limit for undergraduate N/A $31,000 – no more than $23,000 may be subsidized $57,500 – no more than $23,000 may be subsidized

*Dependent students whose parents are unable to obtain PLUS Loans may be able to borrow up to the amount of an independent student for their grade-level.

December Graduation

Federal regulations require schools to prorate federal loans of undergraduate students whose final period of enrollment is less than a full academic year. Typically, this rule impacts students who are graduating in December.

  • Loans offered on your award letter are calculated based on a projected full-year of enrollment period (fall and spring).
  • Once we are notified of your intent to graduate via the graduation application, we have to prorate your loans based on your enrollment. This may happen after your fall loans have paid to your account and refunds are distributed. Our proration may result in a balance due back to Frederick Community College.
  • Private and Parent PLUS Loans may be available to supplement the reduced loan amounts.

Loan proration formula:

What is the difference between a subsidized and an unsubsidized loan?
For the Federal Direct Subsidized Student Loan, the federal government will pay the interest until you enter your grace period; the time you are no longer enrolled on at least a half-time basis.  Repayment of the principal and interest begins six months after you cease to be enrolled at least half-time (including leaves of absence). The interest rate for Federal Direct Subsidized Loans for undergraduate students for which the first disbursement is made on or after July 1, 2023 and before July 1, 2024 is 5.50%.

For the Federal Direct Unsubsidized Student Loan, the government does not pay the interest while a student is in school (as it does for the subsidized loan). Interest accrues and must be paid or capitalized during periods of enrollment in school and/or deferment. The interest rate for Federal Direct Unsubsidized Loans for undergraduate students for which the first disbursement is made on or after July 1, 2023 and before July 1, 2024 is 5.50%.
Are there any federal loans available to parents?
The Federal Direct PLUS Loan (parent loan for undergraduate, dependent students) is a loan from the U.S. Department of Education for parents of undergraduate students who complete a FAFSA and meet general eligibility requirements. The interest rate for Federal Direct PLUS Loans disbursed on or after July 1, 2023 and before July 1, 2024 is 8.05%. For information on how to apply for a Federal Direct PLUS Loan, please contact Financial Aid to obtain our application.
What fees, if any, are associated with these loans?
For student loans disbursed on or after October 1, 2020 and before October 1, 2024, an origination fee of 1.057% of the total loan will be assessed and automatically deducted. For PLUS loans disbursed on or after October 1, 2020 and before October 1, 2024, an origination fee of 4.228% will be assessed and automatically deducted. The net disbursement will reflect these fees; therefore, the amount credited to the student’s account will be less than the loan amount. This fee is determined by the U.S. Department of Education.
How do I apply for a Federal Direct Student loan?
Federal Direct Student Loan Process
  • Step 1:  Complete the financial aid process at FCC View printable Road Map for Financial Aid. The FAFSA is the first step to applying for any type of Federal student aid, including loans.
  • Step 2:  When your financial aid eligibility has been determined, you will receive an award letter which lists any grants, scholarships, and loans on the system. Loans may be decreased if the student’s enrollment status is less than fulltime, if the student receives additional need based aid, or if the student is reaching their aggregate undergraduate loan limits.
  • Step 3:  If you are interested in pursuing a student loan while attending FCC, you must complete loan Entrance Counseling and sign a Master Promissory Note
  • Step 4: You must accept, reduce or decline your loan award through your PeopleSoft Self-Service. Additional items may be required throughout the application process. You should continue to monitor your "To Do List" and FCC email account.
Important Note:
  • If you have attended other colleges prior to attending FCC, you may be asked to submit your transcripts for transfer credit before you loan is originated.
  • If you wish to reinstate a loan you have already declined or modify a loan you have already accepted, please contact our office.
Where can I learn more about the various federal student loan programs?
To learn more about the various federal student loan programs and about debt management visit:

Loan Exit Counseling
  • Loan Exit Counseling is required when you are graduating, leaving school, or drop below half-time enrollment (half-time enrollment is defined as at least 6 credits per term at FCC).
  • Exit Counseling prepares you for loan repayment and provides you with important details regarding your student loan rights and responsibilities and repayment plan options.
  • Completing Exit Counseling is a federal requirement. FCC requires that all students complete the on-line exit counseling session at
  • Please contact Financial Aid as soon as you know you will be graduating, leaving school or dropping below half-time.

Are you Ready? Repayment is Coming
The COVID-19 student loan relief period is ending soon. Interest rates will revert back to their original amounts and your payments will resume.

How to be prepared for repayment:
  1.  Know your next payment due date by logging into your servicer’s website. If you are unsure of your servicer’s information, you may log into, select “Manage Loans”, and then log in using the “View My Account” button. You can log into the Federal Student Aid website with the same credentials you use to complete a Free Application for Federal Student Aid (FAFSA).
  2. Set up your auto-draft payments so you don’t miss a payment in the future. 
Contact Information

Phone Icon301.846.2620 (option 1)

Mail Icon[email protected]

Location IconJefferson Hall, 3rd floor

Office Hours

Monday: 8:30 a.m. - 6:00 p.m.
Tuesday-Friday* 8:30 a.m. - 4:30 p.m.

*January - July and August
Available until 6:00 p.m. on Thursdays