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Considerations for Returning to School
If you return to school in the future, keep in mind that a new Direct Loan borrower on or after July 1, 2013 (who didn’t have an outstanding balance on a prior FFELP or Direct Loan as of the date a Direct Loan is received on or after July 1, 2013), may not receive Direct Subsidized Loans for more than 150 percent of the published length of the educational program in which he or she is enrolled.
For example, if you are enrolled in a four-year bachelor’s degree program, the maximum length of time for which you can receive Direct Subsidized Loans is six years (150% x 4 years). Likewise, if you are attending a two-year program, you can receive Direct Subsidized Loans for three years (150% x 2 years).
When considering whether to borrow loans in the future, keep in mind:
The bottom line with the 150% rule is to make good educational choices and complete your program within 150% of the published length of the program.