Loans
Student loans can help fill the gap between the cost of attendance and the amount of aid received through scholarships and grants. However, because these funds must be repaid, students are encouraged to only borrow the amount they need. If the loan approval is more than the amount needed, students can reduce the loan amount by following the directions provided in the iROAR portal on the “Accept Aid Offer” tab.
Types of Loans
Summary of Loan Programs
Updates to federal loans 2026-2027
The One Big Beautiful Bill (also known as the Working Families Tax Cut Act) is bringing big changes to federal financial aid for 2026-27. Guidance from the US Department of Education is still being released, and this information is subject to change.
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What do I need to know?
- If you are a new undergraduate student at Clemson, your parent(s) can borrow up to $20,000 per year (per student) and $65,000 total in PLUS Loan.
- If you are a new graduate student, you can borrow up to $20,500 per year and $100,000 total in Direct Loan. You cannot borrow a Graduate PLUS Loan.
- If you are a continuing student, you may fall under the loan limits for new students if you do not qualify for the interim exception (sometimes called “legacy”).
- All students will have their loans adjusted if they are not full time. This is called the Schedule of Reduction (SOR) and applies to all loans except the Parent PLUS Loan.
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Who qualifies for the interim exception, i.e., the old loan limits?
- Students who were enrolled and completed the spring 2026 term at Clemson, and
- Borrowed a Direct Loan or received a PLUS Loan in 2025-26 or earlier, and
- Have not exceeded their Expected Time to Credential (ETTC), which is the published length in the Clemson University catalog for their degree. Part-time enrollment does not exceed the time of the interim exception.
- Bachelor’s – Four years
- Master’s or Education Specialist – Two years
- Doctorate – Four years
- Students can lose the interim exception if they change programs or have a break in enrollment.
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What options do I have if I need to borrow more?
Students (and their co-signers) or parents can explore private loans.
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What if I am not enrolled full time?
- Your Direct Loan will be adjusted according to the number of hours you are enrolled. For example, a first-year student taking six hours (50% of full time) in the fall can borrow $1,375 instead of $2,750.
- If you start out at 12 or more credit hours but drop classes, your spring loan will be reduced.
- If you are attending part time, you will reach your Expected Time to Credential and lose the interim exception before you graduate.
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What should I do now?
If you are a new student or a continuing student who does not qualify for the interim exception, and you need to borrow more than the new loan limits allow, you should apply for a private loan immediately. The suggested deadline for fall was June 30th. Students who apply after the bill is live should expect to enroll in a payment plan, which is linked at the top of the bill.
Federal student loan interest rates and origination fees reflected below are for the 2026-2027 academic year. 2027-2028 rates will be published in mid-May.
| Loan Name | Interest Rate (disbursed from 7/1/26 to 6/30/27) |
Origination Fee |
Repayment | Co-Signer or Endorser Needed? |
|---|---|---|---|---|
| Subsidized Direct Loan |
6.52% Fixed for undergraduates |
1.057% | Begins 6 months after graduation or less than half-time enrollment |
No |
| Unsubsidized Direct Loan |
6.52% Fixed for undergraduates 8.07% Fixed for graduates |
1.057% | Begins 6 months after graduation or less than half-time enrollment |
No |
| Parent PLUS Loan |
9.07% Fixed | 4.228% | Begins 60 days after loan is fully disbursed |
Dependent upon credit decision |
| Graduate PLUS Loan |
9.07% Fixed | 4.228% | Begins 60 days after loan is fully disbursed |
Dependent upon credit decision |
| Private Loans | Variable | Variable | Variable | May be required — highly recommended |
Loan Consolidation
Loan consolidation is not applicable to in-school financing, but it might be desirable to students with loans from multiple sources.
Factors you should consider when deciding if consolidation is right for you
- Are your monthly payments manageable?
If you have trouble meeting your monthly payments, have exhausted your deferment and forbearance options and/or want to avoid default, a Direct Consolidation Loan may help you.
- Are too many monthly payments driving you crazy?
If you send payments to more than one lender every month and want the convenience of a single monthly payment, consolidation may be right for you. With a Direct Consolidation Loan, you will have a single lender — the U.S. Department of Education — and a single monthly payment.
- What are the interest rates on your loans?
If you have variable interest rates on your federal education loans, you may want to consolidate. The interest rate for a Direct Consolidation Loan is fixed for the life of the Direct Consolidation Loan. The rate is based on the weighted average interest rate of the loans being consolidated, rounded to the next nearest higher one-eighth of one percent and cannot exceed 8.25 percent.
- How much are you willing to pay over the long term?
Like a home mortgage or a car loan, extending the years of repayment increases the total amount you must repay.
- How many payments do you have left on your loans?
If you are close to paying off your student loans, it may not be worth the effort to consolidate or extend your payments.
For more information on Federal Direct Loan Consolidations, visit the Federal Direct Loan Consolidation Information Center.
Conflict of Interest and Code of Conduct Policy
Clemson University’s Conflict of Interest and Code of Conduct Policy guides interactions with lending entities and prohibits conflicts of interest in situations involving student financial aid.
