Things that May Affect Your Aid
Time Limitation on Direct Subsidized Loan Eligibility for First-Time Borrowers on or after July 1, 2013
On July 6, 2012, the Moving Ahead for Progress in the 21st Century Act (MAP-21) added a new provision to the Direct Loan statutory requirements that limits a first-time borrower's eligibility for Direct Subsidized Loans to a period not to exceed 150 percent of the length of the borrower's educational program. Under certain conditions, the provision also causes first –time borrowers who have exceeded the 150 percent limit to lose the interest subsidy on the Direct Subsidized Loans. Only first-time borrowers on or after July 1, 2013 are subject to the new provision.