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• Federal Direct Student Loan

  All Direct Loans are either Subsidized or Unsubsidized. With Subsidized loans, interest does not accrue until after students graduate or leave school. To receive a Subsidized Direct Loan, you must have financial need.

  With Unsubsidized loans, interest begins to accrue after the first disbursement. We recommend that students make payments on the interest while they are in school to reduce the total loan balance at the point of graduation.

  Many students combine Subsidized loans with Unsubsidized loans to borrow the maximum amount permitted each year.

  View the Annual Federal Direct Loan Limits

  For more information, view your Direct Loan Borrower's Rights and Responsibilities.

  Interest Rate and Origination Fee

  View the Federal Student Loans: Repaying Your Loans Guide

  The interest rate for Federal Direct Student Loans depends on when the loan was first disbursed. Visit the Federal Student Aid Interest Rates for information about current and past rates. Interest rates are determined each spring for new loans being made for the upcoming award year, which runs from July 1 to the following June 30. Each loan has a fixed interest rate for the life of the loan.

  The Department of Education charges an "Origination fee" on all Direct Subsidized Loans and Direct Unsubsidized Loans. The loan fee is a percentage of the loan amount and is proportionately deducted from each loan disbursement. See the Federal Student Aid Loan Fees for the current percentages.

  How to Apply

  To apply for either the Subsidized or Unsubsidized Federal Direct Loan, you must:

  1. Apply for Financial Aid
  2. Accept your Federal Direct Loan through My Aid Status
  3. Complete a Direct Loan Entrance Counseling
  4. Complete a Subsidized/Unsubsidized Master Promissory Note

  As long as your requirements are completed, Subsidized and Unsubsidized loans generally take 3-5 business days to disburse to your BARC (billing) account.

  Exit Requirements

  When you graduate or permanently leave UCSB, you must complete the Direct Loan Exit Counseling. You must complete exit counseling when you leave school or drop below half-time enrollment. The purpose of exit counseling is to ensure you understand your student loan obligations and are prepared for repayment. You'll learn about what your federal student loan payments will look like after school. You will receive a repayment strategy that best suits your future plans and goals.

  Loan Cancellation 

  If you have accepted a student or PLUS loan but would like to cancel it, you may cancel within 120 days of the funds first being disbursed. You may do so by submitting a Loan Cancellation/Reduction Form to our office. This is found in the Forms tab of our website. If you cancel within 120 days, you do not have to pay interest or the loan fee on the part of your loan that is cancelled. Loans cancelled with our office will be charged back to your student BARC account for repayment. We will notify your loan servicer of the cancelled loan. After 120 days, please contact your loan servicer for guidance on how and where to return your loan money. You will be responsible for any interest that has accrued from the date of disbursement. Please note that you should not cancel your loan with our office and must repay your loan servicer.

  Repayment

  Repayment for subsidized and unsubsidized Direct Loans begins six months after a student leaves school or drops below half-time enrollment. Information about your loans will be submitted to the National Student Loan Data System (NSLDS), and will be accessible by guaranty agencies, lenders, and schools determined to be authorized users of the data system. Please visit StudentAid.gov to view your borrowed loan amounts, disbursement dates, and who your federal loan servicer is as well as their contact information. The federal loan servicer is assigned by the Department of Education, and they handle matters related to billing and repayment of your loans. If you have questions about changing your repayment plan, loan consolidation or if you qualify for loan forgiveness please talk to your servicer.

  We suggest you utilize Federal Student Aid’s Repayment Estimator while you are in school to see approximately how much a month you will owe post-graduation.

• Federal Direct Parent PLUS Loan

  The U.S. Department of Education makes Direct PLUS Loans to eligible parents of dependent students. Unlike the Direct Subsidized and Unsubsidized Loans borrowed by students, the Parent PLUS Loan requires a credit check that is valid for 180 days.

  How to Apply

  To apply for a Federal Direct PLUS Loan, you must:

  1. Determine the PLUS loan eligibility amount which is shown on the Financial Aid Award Letter. Parents will need to check availability with their student.
  2. Visit Studentaid.gov and log in with the "parent" FSA ID. Make sure to not log in as the student.
  3. Proceed to “Apply for a PLUS Loan”. Two important things to know is the amount you wish to borrow and the method of disbursement (see options below).
  4. Complete a Parent PLUS Master Promissory Note 

  If approved, our office will receive an electronic update of your completed loan application. Generally, we receive this information within 5-7 business days.

  Denied Applications

  The parent is notified immediately after applying whether they are approved or denied. If the credit check leads to a denial, parents have the following options:

  1. Appeal: Log into Studentaid.gov and select “Document Extenuating Circumstances” and follow the instructions.
  2. Endorse: Obtain an endorser who does not have an adverse credit history. An endorser is someone who agrees to repay the Direct PLUS Loan if you cannot repay it. Have the endorser create an FSA ID, and then log into Studentaid.gov and select “Endorse a PLUS Loan”. If the loan was endorsed or you completed a successful credit appeal, complete the PLUS Counseling through Studentaid.gov.
  3. Request Additional Unsubsidized Student Loan: Have your student apply for additional Loan funds instead of acting on the parent PLUS loan. Download and submit the Request for Additional Unsubsidized Loan form found in the Forms tab of our website.

  *With either option 1 or 2, you also must complete “PLUS Counseling” on StudentAid.gov 

  Interest Rate and Origination Fee

  The interest rate depends on when the loan was first disbursed. Visit the Federal Student Aid website for information about current and past interest rates. Interest rates are determined each spring for new loans being made for the upcoming award year, which runs from July 1 to the following June 30. Each loan has a fixed interest rate for the life of the loan.

  The Department of Education charges an "Origination fee" on all Direct PLUS Loans. The loan fee is a percentage of the loan amount and is proportionately deducted from each loan disbursement. See the Federal Student Aid website for the current loan fee percentages.

  Disbursement

  While applying for the loan, parents will be given two disbursement options. In order to receive your funds in a timely manner, we strongly encourage you to select the “student” disbursement option. If you chose “me”, the borrower and would like to change the disbursement method to “student”, you can complete our Parent PLUS Loan Adjustment Form found on the Forms tab of our website. The two different disbursement options are:

  1. STUDENT (highly recommended): If you indicated on the application that you want the money to go to “the student", then the PLUS funds will credit to the student's BARC account. Those funds first pay any university fees and the remaining amount is then "refunded" to the student. The earliest these funds will be released to the student is 10 days before the start of the quarter.
  2. BORROWER: If you chose the "me" (the parent borrower), one of the following options will occur:
     1. If the loan’s quarterly amount is less than your student’s BARC balance at the time of disbursement, the loan may be paid to the student’s BARC account.
     2. If the loan’s quarterly amount is more than the BARC balance, UCSB will send the entire loan amount to you, the parent borrower, via paper check in the mail. These checks are not mailed until after the quarterly fee payment deadline with the BARC Office. Please ensure that your student’s BARC account is paid or deferred prior to the payment deadline.

  Loan Cancellation 

  If you have accepted a student or PLUS loan but would like to cancel it, you may cancel within 120 days of the funds first being disbursed. You may do so by submitting a Loan Cancellation/Reduction Form to our office. This is found in the Forms tab of our website. If you cancel within 120 days, you do not have to pay interest or the loan fee on the part of your loan that is cancelled. Loans cancelled with our office will be charged back to your student BARC account for repayment. We will notify your loan servicer of the cancelled loan. After 120 days, please contact your loan servicer for guidance on how and where to return your loan money. You will be responsible for any interest that has accrued from the date of disbursement. Please note that you should not cancel your loan with our office and must repay your loan servicer.

  Repayment

  Repayment begins 60 days after the final disbursement of the loan. During the application process, a parent can also choose to defer repayment until 6 months after the student graduates or leaves school.
  
  Information about your loans will be submitted to the National Student Loan Data System (NSLDS), and will be accessible by guaranty agencies, lenders, and schools determined to be authorized users of the data system. Please visit StudentAid.gov to view your borrowed loan amounts, disbursement dates, and who your federal loan servicer is as well as their contact information. The federal loan servicer is assigned by the Department of Education, and they handle matters related to billing and repayment of your loans. If you have questions about changing your repayment plan, loan consolidation or if you qualify for loan forgiveness please talk to your servicer.

  We suggest you utilize Federal Student Aid’s Repayment Estimator to see approximately how much a month you will owe.

• Federal Direct Graduate PLUS Loan

  The U.S. Department of Education makes Direct Graduate PLUS Loans available to graduate students. The Graduate PLUS Loan allows graduate students to borrow up to the full cost of education minus other Financial Aid received. The PLUS loan requires a credit check that is valid for 180 days. 

  How to Apply

  To apply for a Graduate PLUS Loan, you must:

  1. Determine the PLUS loan eligibility amount which is shown on the Financial Aid Award Letter. 
  2. Visit Studentaid.gov and log in with your FSA ID and password
  3. Proceed to “Apply for a PLUS Loan”.
  4. Complete a Graduate PLUS Master Promissory Note 

  If approved, our office will receive an electronic update of your completed loan application. Generally, we receive this information within 5-7 business days.

  Denied Applications

  If your application was denied, you will be notified immediately and will be presented with two options:

  1. Appeal: Log into Studentaid.gov and select “Document Extenuating Circumstances” and follow the instructions.
  2. Endorse: Obtain an endorser who does not have an adverse credit history. An endorser is someone who agrees to repay the PLUS Loan if you cannot repay it. Have the endorser create an FSA ID, and then log into Studentaid.gov and select “Endorse a PLUS Loan”.
  3. If the loan was endorsed or you completed a successful credit appeal, complete the PLUS Counseling through Studentaid.gov.

  Interest Rate and Origination Fee

  The interest rate depends on when the loan was first disbursed. Visit the Federal Student Aid website for information about current and past interest rates. Interest rates are determined each spring for new loans being made for the upcoming award year, which runs from July 1 to the following June 30. Each loan has a fixed interest rate for the life of the loan.

  The Department of Education charges an "Origination fee" on all Direct PLUS Loans. The loan fee is a percentage of the loan amount and is proportionately deducted from each loan disbursement. See the Federal Student Aid website for the current loan fee percentages.

  Loan Cancellation 

  If you have accepted a student or PLUS loan but would like to cancel it, you may cancel within 120 days of the funds first being disbursed. You may do so by submitting a Loan Cancellation/Reduction Form to our office. This is found in the Forms tab of our website. If you cancel within 120 days, you do not have to pay interest or the loan fee on the part of your loan that is cancelled. Loans cancelled with our office will be charged back to your student BARC account for repayment. We will notify your loan servicer of the cancelled loan. After 120 days, please contact your loan servicer for guidance on how and where to return your loan money. You will be responsible for any interest that has accrued from the date of disbursement. Please note that you should not cancel your loan with our office and must repay your loan servicer.

  Repayment

  Repayment for Graduate Plus Loans begins six months after a student leaves school or drops below half-time enrollment. Information about your loans will be submitted to the National Student Loan Data System (NSLDS), and will be accessible by guaranty agencies, lenders, and schools determined to be authorized users of the data system. Please visit StudentAid.gov to view your borrowed loan amounts, disbursement dates, and who your federal loan servicer is as well as their contact information. The federal loan servicer is assigned by the Department of Education, and they handle matters related to billing and repayment of your loans. If you have questions about changing your repayment plan, loan consolidation or if you qualify for loan forgiveness please talk to your servicer.

  We suggest you utilize Federal Student Aid’s Repayment Estimator while you are in school to see approximately how much a month you will owe when you graduate or leave UCSB.

   

• UCSB Loan

  The UCSB Loan is awarded to undergraduate students who are California residents, considered on time FAFSA or CA Dream applicants and who demonstrate sufficient financial need.

  Loan Acceptance Process

  To apply for a UCSB Loan, you must:

  •     Apply for financial aid
  •     Be awarded the UCSB Loan on your award letter
  •     Accept your UCSB Loan through My Aid Status
  •     Complete the entrance counseling and promissory note
    • Entrance counseling and promissory note must be completed each year
    • You can expect to receive an email from webmaster@ecsi.net  within 2-3 business days after accepting the loan
    • It may take up to 5 business days for this information to be uploaded into our system after completing the loan requirements
    • Once all loan requirements are met and logged into our system, your loan will credit to the BARC account

  Interest Rate and Repayment

  The interest rate for the UCSB Loan is 5%. The interest does not accrue until repayment begins. Repayment begins nine months after the student graduates, leaves school, or drops to less than half-time.

  Exit Requirements

  When you leave UCSB, you must complete the UCSB Loan Exit Counseling. You should expect to receive an email notification with instructions on how to complete this requirement. If your exit counseling is not completed, you will have a block placed on your BARC account which could affect your diploma.
  
  Contact Information
  ECSI - UCSB's Institutional Loan Servicer
  UCSB Loan, CA Dream Loan, Federal Perkins Loan & UC Regents Loan
  
  UCSB Loan Collections Office
  UCSB Loan, CA Dream Loan, Federal Perkins Loan & UC Regents Loan

• CA Dream Loan

  The California Dream Loan Program provides eligible undocumented AB 540 undergraduates with the option to borrow loans to help cover the cost of attending UC.
  
  To be eligible for the CA Dream Loan students must have financial need and be enrolled at least half time at UCSB.
  
  Through the CA Dream Loan Program applicants may receive a maximum of $4,000 per academic year, however offered amounts will be determined from year-to-year based on funding. Additionally, applicants can receive a maximum of $20,000 in CA Dream Loans at UCSB throughout the duration of their academic career.
  

  Loan Acceptance Process

  To apply for a CA Dream Loan, you must:

  • Apply for Financial Aid
  • Be awarded the CA Dream Loan on your award letter
  • Accept your loan through My Aid Status
  • Complete the Entrance Counseling and CA Dream Loan Promissory Note
    • Entrance counseling and promissory note must be completed each year
    • You can expect to receive an email from webmaster@ecsi.net  within 1-3 business days after accepting the loan
    • It may take up to 5 business days for this information to be uploaded into our system after completing the loan requirements
    • Once all loan requirements are met and logged into our system, your loan will credit to the BARC account

  
  Interest Rate and Repayment
  
  The CA Dream Loan interest rate matches the Federal Direct Subsidized Stafford Loan interest rate for the given academic year. For 2024-2025 the rate is 6.53%. Interest will not accrue on the loan as long as the student maintains a half-time enrollment status (between 6-8.9 units). Once the student graduates, or ceases to be half-time, there is a 6-month "grace period" before repayment begins. For additional information regarding the CA Dream Loan Program, visit the University of California website.
  
  

  Exit Requirements

  When you leave UCSB, you must complete the Loan Exit Counseling. You should expect to receive an email notification with instructions on how to complete this requirement. If your exit counseling is not completed, you will have a block placed on your BARC account which could affect your diploma.

  Contact Information
  

  ECSI - UCSB's Institutional Loan Servicer
  UCSB Loan, CA Dream Loan, Federal Perkins Loan& UC Regents Loan

  UCSB Loan Collections Office
  UCSB Loan, CA Dream Loan, Federal Perkins Loan & UC Regents Loan

  
  
  

• Private Student Loans

  Private student loans can help to fill the gap between the cost of education and the amount of other Financial Aid awarded. These loans are provided by private lenders for students who need to borrow funds in excess of the yearly maximums for the federal loan programs. Most lenders will take applicant's credit history into consideration when evaluating applicant's eligibility. Students may be eligible for these loans which have varying criteria (interest rates, minimum monthly repayments, etc.). They are not federally guaranteed student loans.
  
  Students have the right and the ability to select the private loan lender of their choice. Before applying for a private student loan, you should first see if you qualify for loans or other assistance under the Title IV, HEA programs. The terms and conditions of the Title IV, HEA program loans may be more favorable than the provisions of the private education loans.
  
  We highly recommend that students exhaust their Federal Direct Loan eligibility before pursuing funds through a private education loan. Also, be aware that parents of dependent students are able to borrow up to the complete cost of education through the Federal Direct PLUS Loan program. Federal Direct Student Loans are available to most students regardless of income and provide a range of repayment options including income-based repayment plans and loan forgiveness benefits, which other education loans are not required to provide.
  
  To start your search for a private student loan, the UC Office of the President has put together a list of recommended lenders. You are not required to use any of the lenders on the list. They are simply provided for your convenience. Per HEOA guidelines, our office adheres to the UC Student Loan Code of Conduct. If you have specific questions related to your credit history, you should contact the private loan lenders at the numbers provided on the website listed below:

  • UC Private Lender List

  Self-Certification Form

  In order to receive loan proceeds, you must apply to the lender directly.

  In addition to completing a lender-specific loan application, you must also complete and submit a Private Education Loan Applicant Self-Certification Form to your lender.

  For the cost of attendance amount required in Section 2A of the form, use the amount listed on your financial aid award letter.

  For the estimated financial assistance amount required in Section 2B of the form, total the awarded amounts from your award letter.

  Submit the form to your lender; do not submit it to our office. You will not receive any loan disbursements until your lender receives the form.