Fed Financial

I am a graduate student. If I am over awarded, do I need to pay back federal direct loan right away.?

I am a graduate student. I received federal loan at the begining of the semester and then I received fellowships which make the total aid more than cost of attendance. Do I need to pay back direct loan amount I received in this semester right away.

Public Comments

1. yea you should pay it back right away
2. No, the loan is still yours. However, if you don't need the money it is best to pay it back before it accumulates interest.
3. there are 2 types of federal loans out there...subsidized and unsubsidized. Ones accrues interest while you are in school and the other doesn't accrue interest until a certain amount of time after you graduate. Find out what type of loan you have and make your decision from there. Either way, you don't have to officially start paying the loan back until you graduate from grad school.