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Student Loans 

Discover how student loans can support your journey at MUSC with tools and guidance to help you borrow responsibly and plan for repayment. 

Eligibility Requirements

  • Be enrolled at least half-time 
  • Show financial need on your FAFSA or Renewal FAFSA need analysis report 
  • Not have defaulted on or owe a refund to any previous aid program 
  • Maintain satisfactory academic progress 

 

Federal Loan Requirements and Resources

Federal Direct Stafford Loans

The Federal Direct Stafford Loan Program is divided into two types of loans – Federal Direct Subsidized Loans and Federal Direct Unsubsidized Loans. 

Federal Direct Subsidized Loans are need-based, federally subsidized, low-interest loans which have repayment deferred until after you graduate, withdraw, or enroll less than half-time. Interest is paid by the federal government while you are enrolled at least half-time and during the 6-month grace period. For undergraduate students, the interest rate is 6.533% for loans disbursed between July 1, 2024 and June 30, 2025. This loan charges a loan origination fee of 1.057% deducted from each disbursement. 

Federal Direct Unsubsidized Loans are non-need-based loans for students who do not qualify for a Subsidized Stafford Loan or who have borrowed the maximum amount of Subsidized Stafford Loan available to them. The Unsubsidized Stafford Loan has a fixed interest rate of 6.533% for undergraduate students and a 8.083% rate for graduate students for loans disbursed between July 1, 2024 and June 30, 2025. This loan charges a loan origination fee of 1.057% deducted from each disbursement.

The federal government does not pay the interest that is accruing on the Unsubsidized Stafford Loan while you are in school. You must pay all interest that accrues while you are in school, during the 6-month grace period, and during any periods of authorized deferment. You will have the following options: (1) making monthly or quarterly payments to the federal loan servicer, or (2) you may defer payment on the interest until you begin your repayment of the principal amount (capitalizing). The disadvantage of capitalizing interest is that you pay more interest over the life of the loan because you are also paying interest on the accrued interest.

 

 

Maximum Subsidized Amount

Maximum Unsubsidized Amount

Combination Total

Dependent Undergraduates (excluding students whose parents are unable to borrow PLUS)

First Year

$3,500

$2,000

$5,500

Second Year

$4,500

$2,000

$6,500

Third Year and Beyond

$5,500

$2,000

$7,500

Aggregate Loan Limits

$23,000

$8,000

$31,000

Independent Undergraduates and Dependent Undergraduates whose parents are unable to borrow PLUS

First Year

$3,500

$6,000

$9,500

Second Year

$4,500

$6,000

$10,500

Third Year and Beyond

$5,500

$7,000

$12,500

Aggregate Loan Limits

$23,000

$34,500

$57,500

Graduate/Professional Students

Yearly

 

$20,500

 

Aggregate Loan Limits

 

$138,500

 

 

For students in the College of Pharmacy or students in the College of Health Professions seeking a Master in Health Administration (MHA) or Doctorate in Health Administration (DHA), the yearly limits are as follows:

  

Academic Year Length

Maximum Unsubsidized amount per Academic Year

Additional Unsubsidized Amount per Academic Year

Combination Total

9 Months

$20,500

$12,500

$33,000

10 Months

$20,500

$13,889

$34,389

11 Months

$20,500

$15,278

$35,778

12 Months

$20,500

$16,667

$37,167

 

 

For students in the College of Medicine or the College of Dental Medicine, the yearly limits are as follows:

 

Academic Year Length

Maximum Unsubsidized amount per Academic Year

Additional Unsubsidized Amount per Academic Year

Combination Total

9 Months

$20,500

$20,000

$40,500

10 Months

$20,500

$22,222

$42,722

11 Months

$20,500

$24,444

$44,944

12 Months

$20,500

$26,667

$47,167

 

*Note: The aggregate limit for the MHA, DHA, COP, COM, and CODM programs is $224,000.

 
 
 
 
 
 
 
 

Parents of dependent, undergraduate students may take out loans to supplement their children's aid packages. The Federal Direct Parent PLUS Loan lets parents borrow money to cover any costs not already covered by the student's financial aid package, up to the full cost of attendance. There is no cumulative limit.

Parent PLUS Loans are the financial responsibility of the parent(s), not the student. If the student agrees to make payments on the Parent PLUS Loan, but fails to make the payments on time, the parents will be held responsible.

The Parent PLUS Loan is a credit-based loan and has a fixed interest rate of 9.083% for loans disbursed between July 1, 2025, and June 30, 2025. The interest is not subsidized while the student is in school. The Parent PLUS Loan charges a loan origination fee of 4.228% deducted from each disbursement.

Repayment begins 60 days after the funds are fully disbursed, and the repayment term is up to 10 years. There is no six-month grace period as there is with the Stafford Loan program. However, the Ensuring Continued Access to Student Loans Act of 2008 (PL 110-227) added the option for parents to defer payments on the Parent PLUS Loan while the undergraduate student on whose behalf they borrowed the Parent PLUS Loan is in-school and for a six-month grace period after the student graduates or drops below full-time enrollment. This change is effective for Parent PLUS Loans first disbursed on or after July 1, 2008. Payments can also be deferred if the parents are enrolled in college. They will need to submit an application for an in-school deferment. Note that since the interest on the Parent PLUS Loan is not subsidized, it continues to accrue while deferred and is capitalized when the loan enters repayment.

Eligibility for the Parent PLUS Loan depends on a credit check that determines whether the parent has an adverse credit history.

If a dependent student's parents are denied a Parent PLUS Loan, or the college financial aid administrator determines that the parents are likely to be denied a Parent PLUS Loan, the student becomes eligible for increased unsubsidized Stafford Loan limits. Only one parent needs to apply for and be denied a Parent PLUS Loan. However, if one parent is denied a Parent PLUS Loan and the other is approved for a Parent PLUS Loan, the student is not eligible for increased Stafford Loan limits.

Federal Student Aid Direct Loan website

Starting on July 1, 2006, graduate and professional students became eligible to borrow money through the Graduate PLUS Loan program to pay for their own education.

The Graduate PLUS Loan will not reduce eligibility for the Stafford Loan, but the Graduate PLUS Loan limit will take the amount borrowed under the Stafford Loan into account. The Graduate PLUS Loan is limited to cost of attendance minus aid received, as certified by the school.  The Graduate PLUS Loan is a credit-based loan and has a fixed interest rate of 9.083% for loans disbursed between July 1, 2024 and June 30, 2025. The Grad PLUS loan charges a loan origination fee of 4.228% deducted from each disbursement. PLUS loans do not have a grace period. Students are eligible for deferment while enrolled at least half-time. They are also eligible for an automatic six month post-enrollment deferment after graduation. Interest will continue to accrue during these periods.

 

Loan Name

Fixed Interest Rate for loans disbursed from July 1, 2022 –June 30, 2023

Fixed Interest Rate for loans disbursed from July 1, 2023 –June 30, 2025

Repayment

Cosigner or Endorser Needed?

Federal Direct Subsidized Loan

4.99% for Undergraduates

5.50% for Undergraduates

Begins 6 months after you graduate or enroll for less than half-time

No.

Federal Direct Unsubsidized Loan

4.99% for Undergraduates 6.54% for Graduates

5.50% for Undergraduates 7.05% for Graduates

Begins 6 months after you graduate or enroll for less than half-time

No.

Federal Direct Parent PLUS Loan

7.54%

8.05%

Begins 60 days after disbursement of funds (qualifies for in-school deferment)

Dependent upon credit decision.

Federal Direct Graduate PLUS Loan

7.54%

8.05%

Begins 6 months after you graduate or enroll for less than half-time

Dependent upon credit decision.

Health and Human Services (HHS) Loan Programs

 Note: Master Promissory Note and Entrance Counseling are required annually for all HHS Loans. 

Loans for Disadvantaged Students website - College of Dental Medicine

The Loans for Disadvantaged Students (LDS) program provides federal low interest loans regulated by the Department of Health and Human Services to eligible dental students. Students must be enrolled full-time, meet “disadvantaged background” criteria, and have demonstrated financial need.

Interest Rate: 5%
Grace Period: 12 months
Special Requirements: Parental data required

Nursing Student Loan Program website - College of Nursing

The Nursing Student Loan (NSL) program is a federal loan program provides federal low interest loans regulated by the Department of Health and Human Services to eligible nursing students. Students must be enrolled at least half-time and have demonstrated financial need.

Interest Rate: 5%
Grace Period: 9 months

Health Professions Student Loans website - College of Dental Medicine, College of Pharmacy

The Health Professions Loan (HPL) program provides federal loans regulated by the Department of Health and Human Services to eligible dental and pharmacy students. Students must be enrolled full-time and have demonstrated financial need.

Interest Rate: 5%
Grace Period: 12 months
Special Requirements: Parental data required

Note: Additional information on the Health and Human Services programs can be found on the HRSA website.

The Federal Nurse Faculty Loan Program is a subsidized loan to cover tuition, fees, books, and other reasonable educational expenses. NFLP’s purpose is to increase the number of qualified nursing faculty by providing subsidized loans to both part-time and full-time students. DNP and PhD students with a Nurse Educator concentration may apply. Students have the opportunity for 20% of the first three years and 25% of the fourth year of the remaining balance of the loan to be forgiven ( up to 85%).  The Nurse Educator must teach full-time as a faculty member in a school of nursing for four years to be eligible for partial loan forgiveness.

The Bold Career Pathway Program is a Nursing Faculty forgivable loan program for graduate nursing students who are interested in becoming Nurse Faculty at a public SC College or University after graduation. The program is offered through a collaboration of The State of South Carolina and the SC Commission on Higher Education (CHE) and administered by the SC Student Loan Corporation. The annual loan limit is $30,000 per year with a lifetime aggregate limit of $90,000.00. For each year of loan assistance received, the recipient must work as a nursing faculty member in a South Carolina public institution of higher education for two (2) years up to a maximum of six (6) years.

The Perkins Loan Program

The Perkins Loan program expired September 30, 2017, and regulations do not permit schools to make Perkins Loan awards to students.  Formerly, awards were based on Exceptional Financial Need as determined by FAFSA and availability of funds. The maximum annual awards were $8,000 for Graduate Students and $5,500 for Undergraduate Students. Perkins Loan aggregate limits for Graduate Students are $60,000 and $27,500 for Undergraduate Students. The Interest rate is fixed at five (5) percent. Interest does not accrue on these loans while the borrower is enrolled at least half-time. The Grace Period for the Perkins loan is 9 months. Repayment begins nine months after the borrower graduates or falls below half-time status. 

The loan servicer for Perkins Loans is ECSI, which provides all repayment, deferment, and loan cancellation services. Cancellation for Perkins loans is available for Full Time Nurses and Medical Technicians (OT, PT, etc.) incrementally over a five-year period. 

Note: A student will lose their cancellation benefit if they consolidate a Federal Perkins Loan into a Direct Loan Consolidation. 

Private and Alternative Education Loans

Private and alternative loans help cover the gap between your cost of attendance and the federal loan limits. These loans are offered by private lenders and do not require federal forms such as the FAFSA. Approval is based on creditworthiness.

Interest rates and fees are based on creditworthiness, which may include both your credit score and your cosigner’s score. Applying with a cosigner, especially one with strong credit, can improve your chances of approval and may help you qualify for a lower interest rate. Lenders evaluate credit differently, so some may consider the higher of the two scores, while others use different underwriting methods.

Credit checks are typically valid for 90–120 days, so students should avoid applying more than three months before their term starts.


Suggested Application Timeframes 

To avoid delays and ensure credit checks remain valid, students are encouraged to apply by:

June 1st for Fall
October 1st for Spring
February 1st for Summer

 

Applying by these dates helps ensure timely loan processing and disbursement.

 
Historical Private Loan Lenders

Students are free to choose any eligible lender for their private or alternative student loans. The Medical University of South Carolina Office of Student Financial Aid will process loans from the lender you select. Students are strongly encouraged to use all available federal loan options first, as federal loans typically offer important benefits such as consolidation, service cancellations, military repayment programs, and capped interest rates.

 

For more information on rules governing lender recommendations, students may review the Student Loan Sunshine Act, which restricts how institutions may endorse or promote specific lenders.

Student Loan Sunshine Act

Students may review a list of lenders historically used by MUSC students over the past five academic years (2020-2025) through ELM Select. This information is offered solely to help you begin evaluating potential lenders and does not represent all available options. The list is presented alphabetically, and no preference or endorsement should be inferred. Visit ELMSelect to begin your lender search.


 

Residency and Relocation Loans

Medicine, Dental Medicine and Pharmacy students in their fourth-year or students that have graduated within the past 12 months of these programs may apply for additional loans for Residency Interviews and Relocation through the lender of their choice.

Residency and Relocation loans are private loans which typically have higher interest rates and may cost you more than other loans. These loans may cover expenses such as:

  • Interview travel and lodging
  • Residency application fees
  • Board exam review courses and fees
  • Board review textbooks and study guides
  • Medical Instruments
  • Internship expenses
  • Moving and shipping costs from Charleston to relocate to residency location.

Residency and Relocation loans do not count toward the Cost of Attendance (COA), when calculating a student’s budget and are not certified by the Office of Student Financial Aid. However, the lender will require enrollment verification from the Registrar’s office.

MUSC Students applied and/or borrowed Residency and Relocation Loans from our historical lenders during the past 5 academic school years (2017-2022) through ELMSelect. This information is provided to assist you as you begin evaluating your lender options and does NOT represent all possible lenders. This list is in alphabetical order. No preference should be inferred from the alphabetical sort order of the lenders listed. Visit ELMSelect to search for lenders.

 

 

Contact the Office of Enrollment Management 

MSC 203
45 Courtenay Dr, Flr 3
Charleston, SC 29425

Get Directions

843-792-2536