Types of Loans
Understanding medical school loans before accepting
How to choose and apply for loans to cover your remaining costs for medical school
This page outlines the types of medical school loans available to our DGSOM medical students. You will find the steps to apply for loans, requirements, repayment, and a comparison of terms and conditions between the potential loan offers. We also offer medical school scholarships for medical students.
Federal Loans
To be considered for any federal loans, students need to file the Free Application for Federal Student Aid (FAFSA). After submission, please allow 5 to 7 business days for our office to receive your FAFSA. Student offers will be available in the summer of the upcoming year.
Please review the terms and conditions below regarding the types of federal loans available and the requirements needed to complete them. You can view a list of all federal loans received here: Federal Student Aid.
Federal Direct Unsubsidized Loan
You can find more information regarding the Federal Direct Unsubsidized Loan by visiting Federal Student Aid or accessing the Guide to Unsubsidized Loans (PDF).
Interest Rate: Current interest rate is 8.08% between July 1, 2024, to July 1, 2025
Origination Fee: On or after October 1, 2020, 1.057%
Grace Period: Repayment begins 6 months after a student graduates, leaves school, or drops below half-time enrollment. Interest accrues when the student loan disburses.
Steps to receive the loan after filing the current year's FAFSA:
- Accept your loan through your Financial Aid Notice (FAN)
- Complete the Master Promissory Note
- Complete the Entrance Interview
After the loan has been accepted and all requirements completed, please allow 7 to 10 business days to receive the funds after the initial term disbursement date.
Federal Direct Graduate PLUS loan
You can find more information regarding the Federal Direct Graduate PLUS Loan by visiting Federal Student Aid or accessing the Guide to the Graduate PLUS Loans (PDF).
Interest Rate: Current interest rate between July 1, 2024, to July 1, 2025, is 9.09%
Origination Fee: On or after October 1, 2020, 4.228%
Grace Period: No federal grace period; can request a deferment while the student is in school
Steps to receive the loan after filing the current year's FAFSA:
- Accept your loan through your Financial Aid Notice (FAN)
- Upon acceptance, an automatic application will be sent to Student Aid, and a credit check will be done on the applicant's account
- Complete the Master Promissory Note
- Complete the Entrance Interview
After the loan has been accepted and all requirements completed, please allow 7 to 10 business days to receive the funds after the initial term disbursement date.
Loan for Disadvantaged Students (LDS)
Students are considered for this loan based on an extensive review of their family's economic situation. Eligibility is determined mid-Fall semester, and biological parental information must be included through documentation available on Bruin Financial Aid. Students do not need to submit additional requests to determine eligibility.
Interest Rate: 5% after deferment
Origination Fee: 0%
Grace Period: Repayment begins 12 months after a student completes residency, leaves school, or drops below half-time enrollment.
If you are deemed eligible, you will receive an email notification from the Financial Aid and Scholarships office outlining the next steps.
What to consider as a loan borrower
Before accepting offered loans, you may begin to review what it means to be a loan borrower, and how to select the various loans offered using some of the resources below.
Know the difference
For more information regarding loan repayment, you may access Student Aid for everything you need to know regarding repayment.
Loan repayment Calculator
AAMC MedLoans® Organizer and Calculator can help you run personalized repayment calculations.
AAMC Resources before borrowing a loan
The Association of American Medical Colleges (AAMC) has gathered important material for medical students considering borrowing loans to cover their costs during Medical School. You may visit the link below to access those resources.
Private Loans
We advise accepting any federal or institutional loans before applying for Private Loans. Private loans can be requested to cover the cost up to the Cost of Attendance.
Upon approval for a private loan, the lender will send the information to our institution. It may take up to 5 to 7 business days to review a student's request. The entire loan process, from certification to release of funds, may take up to 4 to 6 weeks. You may view UC's Preferred Lender list by clicking the button below. Students will need to consult their lenders to ensure they are meeting the requirements for eligibility.