Understanding Your Loans

The annual loan maximum is $20,500 in unsubsidized funding

Interest rates for current and prior years:

• You have a six month grace period, with repayment beginning in the seventh month after the last day of class (May 12, 2023) in the year you graduate.
• Interest accrues from the date of disbursement on this unsubsidized loan
•  You have the choice of paying interest as it accrues or not. If you pay interest on a regular basis, your loan amount at the time of repayment, will consist of the principal amount only. If you choose to defer payment of the interest while in school, and through your grace period, then the amount of money that accrues during your deferment period will be added to the principal amount for a new loan amount at the time of repayment.
• You have the option of paying all of the accrued interest prior to the end of your grace period in order to avoid having the interest capitalize. Most students cannot pay the interest while they are in school and therefore, the interest that accrues during your enrollment will be capitalized once either at the time you separate from the University or at the time you end your grace period and enter repayment. Check with your lender to see when they capitalize the interest on your unsubsidized loan.

The annual loan maximum is your student budget minus any other aid and/or the Federal Direct Unsubsidized loan.
GradPLUS loans are always unsubsidized and have an annual fixed interest rate.

Interest rates for current and prior years:

• GradPLUS loans taken out after July 1, 2018 are eligible for a 6 month Post Enrollment Deferment from the last day of class (May 15, 2020). If you are unable to make payments immediately, you can apply for a deferment or forbearance through your lender.
• Interest accrues from the date of disbursement on all GradPLUS loans. You have the choice of paying interest as it accrues or not. If you paid interest on a regular basis, your loan amount at the time of repayment, will consist of the principal amount only. If you choose to defer payment of the interest while you were in school, and through your grace period, then the amount of money that accrues during your deferment period will be added to the principal amount for a new loan amount.
• You have the option of paying all of the accrued interest prior to the end of your grace period in order to avoid paying interest on interest. Most students cannot pay the interest while they are in school and therefore, the interest that accrues during your enrollment will be capitalized once either at the time your separate from the University or at the time you end your grace period and enter repayment. Check with your lender to see when they capitalize the interest on your unsubsidized loan.

The annual loan maximum will vary from year to year and is based on the reason we awarded you these funds.

• All HLS loans have a fixed interest rate ranging from 5 -7% depending on the award year and the reason we awarded you these funds.
• Most Harvard Law School loans are subsidized loans  – they do not accumulate interest until they enter repayment
• Subsidized Harvard Law School loans do not accrue interest until the loan is in repayment; unsubsidized Harvard Law School loans accrues interest from the date of disbursement.
• HLS loans have a six month grace period with the first payment due in the seventh month after the last day of class which for May graduates, is May 14, 2022
• Harvard University is the lender and Heartland ECSI is the servicer of your HLS loans.
• There is only one repayment option for Harvard Law School loans: 10 years of a fixed monthly payment amount (minimum monthly amount of $50).

Your loan amount and interest rate will depend on the year you borrowed the funds, the amount you were approved for and type of loan you requested: fixed or variable rate

• All HUECU loans are unsubsidized and accrue interest from the date of disbursement
• All HUECU loans have a six month grace period with the first payment due in the seventh month after the last day of class which for May graduates, is May 14, 2022
• A third party is responsible for the collection of the HUECU loans.  The Harvard Credit Union is the lender and University Accounting Services (UAS)  is the servicer of your HUECU loans.
• Your repayment schedule will depend on the year you borrowed through the program and could range from 5 to 15 years with a fixed monthly payment amount (minimum monthly amount of $50).
• You receive a .25% interest rate discount If you set up an automatically recurring payment. Lower rate is reflected once the first payment clears.Option is only available for payments made from a U.S. bank account, such as your HUECU account.
• After 48 months of consecutive, on-time, and in-full payments, you may request that your cosigner be released from your loan.
• Required to complete an online exit form