Applying for US federal government loan
Find out if you’re eligible for a US federal government loan. If you think that you qualify, follow the steps to apply for a loan that’s right for you.
To be eligible for a loan offered under the Federal Direct Loan Program, you must:
- be a citizen, permanent resident or eligible non-citizen of the United States
- have a valid Social Security Number unless you’re from the Republic of the Marshall Islands, the Federated States of Micronesia, or the Republic of Palau
- be enrolled at least half-time in an eligible on-campus award course at Monash University
- maintain satisfactory academic progress
- not be in default or owing a repayment on a grant or student loan of any type.
Mature-age students
If you’re over 23 years of age when you start your program of study, you’re considered a mature-age student and eligible to receive Title IV financial aid if you’ve met the minimum entry requirements for Monash courses, including completion of:
- Australian Year 12 (or equivalent qualification)
- two university units at any Australian university
- a certificate IV or diploma with graded results from a TAFE institute.
The Monash Student Association offers support to mature-age students through their Mature Age and Part Time Students (MAPS) community.
Dependency status
The information on your FAFSA will determine whether you’re a dependent or independent student. Your dependency status affects the types of financial aid that you may be eligible to receive.
You’re an independent student if you’re one of the following:
- at least 24 years old
- married (and not separated)
- a graduate student
- a veteran or a member of the US armed forces
- an orphan or a ward of the court
- a current or former foster youth
- in a legal guardianship (now or in the past)
- someone with legal dependents other than a spouse
- an emancipated minor
- unaccompanied and homeless or at risk of becoming homeless.
To apply for US federal financial aid, follow these steps:
- Create or update your Federal Student Aid’s FSA ID.
- Complete the relevant Free Application for Federal Student Aid (FAFSA). For example, complete the 2025-26 FAFSA if your enrolment began between 1 July 2025 and 30 June 2026 – not the 2026-27 FAFSA. (Monash University's federal school code is G10914.)
- Complete the Direct Loan Entrance Counselling (first-time undergraduate and postgraduate borrowers must complete this).
- Sign a Master Promissory Note (MPN) for the relevant loan period (if you’re a graduate student applying for a Direct PLUS Loan, you must also sign a Graduate PLUS MPN).
- Download and complete the Monash financial aid application (pdf, 0.24 mb) then email it to foreign.finaid@monash.edu.
An electronic Student Aid Report (SAR) summarises the information in your FAFSA (which is analysed to determine your financial need). We'll use the financial aid information and Student Aid Index in your SAR to determine how much you can borrow.
It may take up to 10 working days to process your loan application.
If you applied for a federal student loan last year, you may be able to complete a renewal FAFSA between October and December this year. If you complete a renewal, you also need to complete steps 4 and 5 to reapply for financial aid.
Borrowing limits
Your loan amount is determined by your Cost of Attendance (COA) for one academic year. We calculate your COA based on:
- course fees – as stated on your International Student Course Agreement (ISCA)
- Overseas Student Health Cover (OSHC) – as stated on your ISCA and in accordance with your student visa requirement (one-off)
- living expenses – approximately AUD$39,000 per year (housing, utilities, local travel, meals etc)
- establishment allowance – approximately AUD$3,000 (one-off)
- other costs – approximately AUD$3,000 (loan fee, books, supplies, personal computer etc).
The currency exchange rate at the time of your COA calculation may differ from the rate at the time of your loan disbursement. If the rate fluctuates more than 20%, you may request a recalculation of the COA.
Your borrowing limits are also determined by:
- your status as a dependent or independent student
- your year of undergraduate or postgraduate study
- previous federal loan and any outstanding amounts
- financial support from the Australian or New Zealand government
- your recent income.
Other expenses
To request the inclusion of other expenses (e.g. expenses related to a disability or medical expenses not covered by OSHC) in your COA, you’ll need to submit supporting documents (e.g. receipts and official letters) with your financial aid application. Once we’ve received your supporting documents, it may take two to four weeks to process your loan application.
If you have dependents
Students with dependents may apply for an allowance for dependent care to be included in the COA. This allowance is based on estimated expenses (during class time, study time, fieldwork, internships and your commuting time), which in turn are based on the number and age of the dependents. This allowance can’t exceed the reasonable cost in the community for the type of care (Higher Education Act, 472), and you’ll need to submit supporting documents.
What’s next
Upon confirming your Federal Direct Loan (DL) eligibility, we'll email you a financial aid offer with the:
- loan amount for which you're eligible
- Cost of Attendance
- disbursement date(s).
Once you've told us how much you wish to borrow, we'll certify the loan with the US Department of Education. The loan funds can only be disbursed after you’ve started your course, and in multiple disbursements of equal amounts. We usually time each disbursement to the University’s teaching periods (e.g. semesters or terms) or research quarters so you shouldn't expect to receive the funds before you start your course.
While waiting for the disbursements, you may enrol and attend classes. We’ll send you a tuition fees statement listing fees and charges based on your enrolment, as well as any payments you've already made (e.g. deposit and OSHC). If you have outstanding tuition fees, we'll note in our system that we're waiting for DL funds so you're not penalised for "overdue" fees.
Ineligible for federal loans? Apply for private loans.
If you’re ineligible for US federal loans (or need additional funds), you may consider private student education loans. But we strongly recommend that you first apply for federal loans, which have lower interest rates and more flexible repayment options.
US students can access private loans through non-government lenders (such as Sallie Mae student loans and Earnest private student loans). Approval is usually based on credit history, and you’re expected to apply with a co-signer who is a US citizen.
It’s up to you to decide which private education loan providers to use, so take the time to explore your options and choose a lender wisely.
To discuss your options, email foreign.finaid@monash.edu.