Unsubsidized Loans

Unsubsidized loans are a type of federal student loan where the borrower is responsible for paying the interest from the moment the loan is disbursed, regardless of whether they are in school or not. Unlike subsidized loans, the government does not pay the interest during school or deferment periods, so the interest can accumulate and increase the total amount owed over time. These loans are available to undergraduate and graduate students and often have fixed interest rates, making them a common option for financing higher education.