Loans and Additional Funding Options
While many COM students receive scholarships or assistantships, some also use federal or private educational loans to help finance their graduate education. Below is an overview of the most common loan options available to graduate students.
Federal Direct Unsubsidized Loan
The Federal Direct Unsubsidized Loan helps eligible graduate students cover educational expenses while enrolled in school.
Because this is an unsubsidized loan, interest begins accruing immediately. Students are responsible for repayment and any accrued interest.
Current interest rates and loan details can be found here.
Who is eligible?
To qualify, students must:
- Be a US citizen or eligible permanent resident
- Be enrolled at least half-time (six credits)
- Be enrolled in coursework that applies toward their degree
- Meet federal financial aid eligibility requirements
- Maintain satisfactory academic progress
How much can I borrow?
Full-time graduate students may borrow up to $20,500 annually through the Federal Direct Unsubsidized Loan program.
Actual eligibility may vary based on enrollment and other financial aid received. Full-time students enrolled in 12-18 units per term (semester) are typically eligible to borrow up to $10,250 per semester.
Part-time students registered at least half-time (6 or more credits per semester) will be eligible for the Federal Unsubsidized Loan based on the Federal Loan Schedule of Reductions.
How do I apply?
To be considered:
- Complete the FAFSA using Boston University’s school code: 002130
- Complete Entrance Counseling and the Master Promissory note (MPN) through Federal Student Aid.
- Accept or decline your loan offer through the MyBU student portal.
When are loan funds available?
Loan funds are typically disbursed in up to two installments directly to your student account.
Please note that the amount disbursed will be reduced by the federal origination fee, which covers loan processing and administration costs.
After university charges are paid, any remaining credit balance may be requested as a refund through your MyBU Portal.
Federal Aid Changes
Last year, the One Big Beautiful Bill Act, which included many changes to federal financial aid, was signed into law. The Department of Education finalized the provisions in the law and they will be effective July 1, 2026.
This information is intended to orient students to the changing landscape of federal student loan programs. The final rules were published by the Department of Education. We will update this page with updates as we have them.
Please find further details on the One Big Beautiful Bill Act here: https://www.bu.edu/finaid/how-aid-works/federal-financial-aid-updates/
Private Educational Loans
Some students choose to supplement federal aid with private educational loans.
Because loan terms, interest rates, and repayment options vary by lender, we encourage students to carefully compare available options before borrowing.
If you’re exploring private loan options, Credible.com is one tool that can help you compare lenders, rates, and loan terms in one place. With your permission, Credible conducts a soft credit inquiry – which does not affect your credit score – to help identify the interest rates you may qualify for.
Requesting prequalified rates through Credible is free and does not impact your credit score. However, submitting a loan application typically involves a hard credit inquiry, which may affect your credit score. You are not required to borrow from any lender listed on Credible, and there is no penalty for selecting a lender outside of the platform.
If you pursue a private loan, you will be required to complete Private Education Loan Self-Certification Form and submit it to the lender before your loan can be processed.
Students considering private loans are encouraged to apply no more than 90 days before the start of their enrollment period.
External Scholarship Opportunities
In addition to COM scholarships, students may be eligible for scholarships and grants offered by organizations outside of Boston University.
Explore external scholarship opportunities through Boston University’s Financial Assistance office.
Loan Repayment
A complete listing of loan servicers and their contact information can be found here.
Students can also find loan servicer information on the National Student Loan Data System (NSLDS).
Financial Wellness Resources
Smart Money 101 is a BU Financial Assistance initiative that provides tools, resources, and guidance to help students make informed financial decisions throughout their time at BU and beyond.