Undergraduate Student and Parent Loans

Either you or your parents can borrow an education loan, but there are different programs for students and parents. If your family wants to borrow, start by applying for financial aid, since the most affordable loans are student loans based on need. Federal loans are restricted to U.S. citizens or permanent residents, but other loan programs are not.

Student loans based on need

Your family has to apply for financial aid and meet the financial need guidelines for you to receive one of these loans.    

• Federal Direct Stafford Subsidized Loan
• Federal Perkins Loan
• MIT Technology Loan

Student loans not based on need

You have to apply for these loans, but there are no financial need guidelines to qualify. One such loan is the Federal Direct Stafford Unsubsidized Loan. Many private lenders also offer student loans with a different conditions and interest rates. MIT does not recommend or favor any private loan programs, so it’s up to borrowers to do their own research and decide which loan(s) are best for them. Some of the alternative loans more commonly used by MIT undergraduates include:

• CitiBank CitiAssist Loan
• Sallie Mae Signature Student Loan

Parent loans

A parent loan is a great way for a family to spread education expenses over time so the amount paid each month is more manageable. Parents are eligible to borrow up to the price of education minus any student financial aid, including student loans. In addition to loans from private lenders, parents may consider:

• Federal Direct PLUS Loan
• MEFA undergraduate loan