Federal Programs

Almost everyone who applies for financial aid qualifies for some type of federal support, whether it comes in the form of grants, loans or a work-study award. Your eligibility is determined by the information you provide on your FAFSA, which you must file each academic year. We outline the basics for you here, but be sure to refer to the U.S. Department of Education’s Federal Student Aid website for full information.

Am I Eligible For Federal Financial Aid?

We strongly encourage every student to apply for federal financial aid, regardless of what you think you might receive. There are so many types of federal aid available — even for families who don’t demonstrate an exceptional financial need. Applying for federal aid is one of the most common ways families finance the cost of college, and a key part of making college more affordable.


How Do I Apply For Federal Student Grants and Loans?

To apply for federal financial aid, you must complete and file your FAFSA by February 15 if you are an incoming student for spring, and June 1 if you are a returning student. The deadline for the 25-26 FAFSA application for returning students will revert to April 15 2025. Based on the results of your FAFSA, Stevens will send you a financial aid offer, which may include a combination of different types of federal aid. We will also give you instructions at that time telling you how to accept all or part of the aid package.


Important Dates

  • October 1: Incoming and returning student applications can file the FAFSA as early as this date.

  • February 15: FAFSA priority filing deadline for incoming students (spring term).

  • June 1: 24-25 FAFSA priority filing deadline for returning students. The deadline for returning students is anticipated to be April 15 for the 25-26 FAFSA application.

Click here for state of NJ (HESAA) deadline information.

What Federal Grants are Available?

If you demonstrate high financial need on your FAFSA, you may be awarded one of these grants. These are a form of gift aid that you do not need to repay. Note that if you are awarded a federal grant, it may reduce any Stevens need-based grant you receive.

Federal Pell Grant

Pell Grants are awarded to undergraduate students with the most need. For 2023-2024, the maximum award is $7,395. If you are awarded a Pell Grant, the amount will depend on your need, the cost of attending Stevens, and your status as a full-time or part-time student. You can receive the Pell Grant for up to 12 semesters provided you meet satisfactory academic progress toward your degree.


Stevens is proud to offer the Federal Supplemental Education Opportunity Grant (FSEOG), a federal gift award for students with the most need who are also receiving a Pell Grant. The awards range from $500 to $4,000 per academic year, depending on your need and the availability of funding. FSEOG renewal is based on availability of funds and your continued eligibility.

What is a Federal Work-Study Award?

If you receive a Federal Work-Study Program award, you must earn this award money by working in a work-study eligible job. Stevens has many on-campus work-study job openings for undergraduates. You receive a paycheck for the hours you work, which you can use to pay for your personal or education expenses. Note: Your total work-study award depends on your level of financial need as well as when you applied for financial aid, which is why we encourage all students to submit the FAFSA as early as possible. Stevens receives and disburses a limited amount of Federal Work-Study Program funding each year, so awards are made to eligible students on a first-come, first-served basis.


What Federal Loans are Available?

The federal loans listed below allow you to borrow money to pay for college. You must repay the loan, with interest, after you graduate. Federal loans usually offer you a lower interest rate and have more repayment options than bank loans or other private loans.

Federal Direct Loans

The William D. Ford Federal Direct Student Loan Program is the largest federal student loan program. Under this program, your lender is the U.S. Department of Education and you repay your loan to them, usually starting six months after graduation (unless you withdraw from Stevens or drop below half-time status). There are three types of Direct Loans that can help you pay for your Stevens education:

  • Direct Subsidized Loans are awarded to undergraduate students who demonstrate financial need.

  • Direct Unsubsidized Loans are awarded to eligible undergraduate students, but you do not have to demonstrate financial need to be eligible for the loan.

  • Direct Parent PLUS Loans* are additional loans made to parents of dependent undergraduate students to help pay for education expenses not covered by other financial aid. If you have an adverse credit history, you may need to complete additional steps and credit counseling before receiving the loan.

*If you have an adverse credit history, you may still be able to receive a Direct PLUS parent loan if you obtain an endorser with good credit, or if you can provide information about extenuating circumstances related to your credit history. The U.S. Department of Education will notify you if you’re required to complete credit counseling in order to receive a Federal PLUS loan. PLUS Counseling can be completed voluntarily at any time. If your Parent PLUS Loan is credit denied by the federal government, and your parent borrower does not wish to pursue the Parent PLUS Loan you may qualify for an additional Unsubsidized student loan for the academic year. Freshman and sophomore students are eligible for an additional $4,000 for the academic year. Juniors and seniors are eligible for an additional $5,000 for the academic year. More information is available here and on www.studentaid.gov.

How Much Can I Borrow with Federal Student Loans?

If you are an undergraduate student: First year undergraduate annual loan limit$5,500 – No more than $3,500 of this amount may be in subsidized loans$9,500 – No more than $3,500 of this amount may be in subsidized loans. Third year and beyond undergraduate annual loan limit$7,500 – No more than $5,500 of this amount may be in subsidized loans$12,500 – No more than $5,500 of this amount may be in subsidized loans


Dependent Students (except students whose parents are unable to obtain PLUS loans)

Independent Students (and dependent undergraduate students whose parents are unable to obtain PLUS loans)

First year undergraduate annual loan limit

$5,500 – No more than $3,500 of this amount may be in subsidized loans

$9,500 – No more than $3,500 of this amount may be in subsidized loans

Second year undergraduate annual loan limit

$6,500 – No more than $4,500 of this amount may be in subsidized loans

$10,500 – No more than $4,500 of this amount may be in subsidized loans

Third year and beyond undergraduate annual loan limit

$7,500 – No more than $5,500 of this amount may be in subsidized loans

$12,500 – No more than $5,500 of this amount may be in subsidized loans

Subsidized and Unsubsidized Aggregate Loan Limit

$31,000 – No more than $23,000 of this amount may be in subsidized loans

$57,500 for undergraduates – No more than $23,000 of the amount may be in subsidized loans

  • If you are a parent: The remainder of your child’s college costs that are not covered by other financial aid may be covered by a Direct Parent PLUS loan.

Note: A credit check is required for the Direct Parent PLUS loan. You may apply here.

  • If you are an undergraduate student who has progressed to a higher grade level status (Freshman to Sophomore, or Sophomore to Junior) during an academic year you may submit a request to our office asking for an increase to your student Direct Loan award(s). 

What are the Interest Rates for Federal Loans?

The Direct Loan interest rates for loans first disbursed after July 1, 2024 and before July 1, 2024 are:

  • Direct Subsidized Loans 6.53%

  • Direct Unsubsidized Loans 6.53%%

  • Direct Graduate Unsubsidized Loans 8.08%%

  • Direct Parent and Graduate PLUS Loans  9.08%

All Federal Direct Loans are charged an origination fee. For loans first disbursed after October 1, 2020, the Direct Subsidized/ Unsubsidized Loans origination fee is 1.057% and the PLUS Loan origination fee is 4.228%. View the most current interest rates and fees for federal loans at studentaid.gov.

Important Information About Federal Direct Loans

When you receive a federal loan for the first time, you must complete Entrance Counseling and sign a Promissory Note on studentloans.gov. The "Annual Student Loan Acknowledgement" has been optional to complete since the 2021-2022 academic year.

You must begin to repay your federal loan six months after you graduate, leave school, or drop below half-time enrollment. You can choose from several different federal loan repayment and forgiveness programs.

Important Information About Federal Perkins Loans

The Federal Perkins Loan Program, authorized by Congress, was set to expire on September 30, 2017, and institutions will not have the authority to make initial disbursements to continuing borrowers after September 30th. Until now, grandfathering provisions, provided by congressional action, have allowed institutions to continue to disburse funds to borrowers through the Federal Perkins Loan Program Extension Act of 2015. Unfortunately, there is no indication that the program will be extended beyond September 30, 2017. That means that any student that did not receive a Perkins Loan disbursement prior to September 30, 2017 is ineligible to receive any further disbursements of the loan. The final disbursement of a Perkins Loan must be made prior to June 30, 2018.

p: 1.800.4FED.AID (1.800.433.3243)
Stevens Institute of Technology college code: 002639

Cohort Default Rate (CDR)

What is a cohort default rate? For schools having 30 or more borrowers entering repayment in a fiscal year, the school’s cohort default rate is the percentage of a school’s borrowers who enter repayment on certain Federal Family Education Loans (FFELs) and/or William D. Ford Federal Direct Loans (Direct Loans) during that fiscal year and default (or meet the other specified condition) within the cohort default period. For schools with 29 or fewer borrowers entering repayment during a fiscal year, the cohort default rate is an “average rate” based on borrowers entering repayment over a three-year period.

“Cohort Default Period”

The phrase “cohort default period” refers to the three-year period that begins on October 1st of the fiscal year when the borrower enters repayment and ends on September 30th of the second fiscal year following the fiscal year in which the borrower entered repayment. This is the period during which a borrower’s default affects the school’s cohort default rate. Cohort default rates are based on federal fiscal years. Federal fiscal years begin October 1st of a calendar year and end on September 30th of the following calendar year. Each federal fiscal year refers to the calendar year in which it ends. The phrase “cohort fiscal year” or “cohort year” refers to the fiscal year for which the cohort default rate is calculated. For example, when calculating the 2014 cohort default rate, the cohort fiscal year is FY 2014 (October 1, 2013 to September 30, 2014). The phrase “other specified condition” occurs when the school’s owner, agent, contractor, employee, or any other affiliated entity or individual makes a payment to prevent a borrower’s default on a loan that entered repayment during the cohort fiscal year, before the end of the cohort default period. In such a situation, the borrower is considered in default for cohort default rate purposes. For the purposes of this Guide, the phrase “other specified condition” will always refer to this situation. More information can be found in the Cohort Default Rate Guide | Knowledge Center.

Please note that the Subsidized and Unsubsidized federal student loans are the only loan types calculated into the CDR.

Students can use the following link to find a school's CDR : NSLDS: Official Cohort Default Rate - Schools (ed.gov)

Cohort Fiscal Year

Official Default Rate

Number of Borrowers in Default










For more information about federal student loan borrowing statistics at Stevens Institute of Technology please visit the university’s ‘Facts & Figures’ webpage here, Facts and Figures | Stevens Institute of Technology.