William D Ford Federal Direct Loans

SOAS University of London participates in the US Federal Direct Loan Program administered by the US Department of Education. 

Eligible on‑campus degree‑seeking students who are US citizens or eligible non‑citizens may apply for Federal Direct Loans to help meet the cost of studying at SOAS.

From 1 July 2026, significant changes to US federal student aid take effect under the One Big Beautiful Bill Act. These changes affect the types of loans available and the amounts students may borrow. As a result, federal loans may not cover the full Cost of Attendance, and students should plan accordingly.

Only on‑campus degree programmes without a study abroad component are eligible for US Federal Direct Loans at SOAS. Online learning, certificate, and diploma programmes are not eligible.

The SOAS School Code (FAFSA) is G06694 (“School of Oriental and African Studies – University of London”). For support, contact the Fees and Funding Team: funding@soas.ac.uk. For US Federal Aid application details please see How to Apply for a US Federal Loan

Changes from 2026/27

From 1 July 2026, the following changes apply to US federal student aid:

  • Graduate PLUS Loans are no longer available.
  • Parent PLUS Loans are capped for new borrowers (annual and lifetime limits apply).
  • New annual, aggregate, and lifetime federal loan limits apply.
  • Loan amounts are prorated for less‑than‑full‑time study.
  • Students borrowing for the first time on or after 1 July 2026 are treated as 'new borrowers' and are subject to the revised limits.

These changes may significantly affect the amount of funding available to students. Because some students will no longer be able to borrow up to the full Cost of Attendance using federal loans, you may require additional personal or alternative funding.

New and continuing borrowers

Your eligibility for federal loan limits depends on when you first borrow:

  • New borrowers: students whose first federal loan disbursement is on or after 1 July 2026 are subject to the revised loan limits.
  • Continuing borrowers: students who borrowed federal loans before 1 July 2026 may, in some cases, continue under previous borrowing limits only if they remain continuously enrolled in the same programme, in line with US Department of Education rules.

Students who interrupt their studies, change programme level, or begin a new programme may be treated as new borrowers.

Cost of Attendance

The Cost of Attendance (CoA) is an estimate of the total cost of studying at SOAS for an academic year and includes:

  • tuition and mandatory fees
  • accommodation and living costs
  • books, supplies, and study materials
  • local transport
  • visa costs (where applicable)
  • miscellaneous personal expenses

The CoA is set by SOAS in line with US federal regulations. Students may request a lower CoA if their actual costs are lower. Please note there is a federal funding cap, our CoA is what we expect students to budget for while studying in London. 

Federal aid eligibility = MIN(CoA – Other Aid, Federal Loan Limits). The following tables provides the CoA for 2026/27:

ItemCost of Attendance per week (GBP)
Tuition feesTuition fees for the programme of study
Room£300
Board£100
Books and study supplies£30
Transportation£50
Personal£60
ItemCost of Attendance (single costs)
Two return flights (for new students)£2,000
One return flight (for current enrolled students)£1,000
Visa cost and associated fees for undergraduate£3,492
Visa cost and associated fees for postgraduate taught (masters)£1,940
Visa cost and associated fees for postgraduate research (PhD)£4,268

Loan periods and disbursement

Loan periods for the 2026/27 academic year are as follows:

Level of studyLoan period
Undergraduate21 Sep 2026 to 28 May 2027
Postgraduate taught21 Sep 2026 to 17 Sep 2027
Postgraduate research21 Sep 2026 to 17 Sep 2027

Students who are only due to enrol for parts of the academic year will be subject to a lower Cost of Attendance.

Disbursement

Loans are approved for defined loan periods that reflect your enrolment dates. Funds are not released before the course start date or before you are fully enrolled. Loan funds are disbursed in instalments.

Disbursements are made in USD and converted to GBP, using a retail exchange rate at the time of disbursement. The GBP amount you receive may vary due to exchange rate fluctuations

Funding eligibility and alternative funding

Student Aid Index (SAI) 

The Student Aid Index (SAI) affects Direct Subsidized and Unsubsidized loan eligibility (undergraduates only) and is based on the information provided in your FAFSA about you or your family’s income for the year prior to the year for which you are requesting the loan. 

This is the amount of funding that the U.S. Department of Education expects you and your family to contribute towards funding your studies.

Other Financial Assistance (OFA) 

Other Financial Assistance (OFA) includes scholarships, bursaries, grants, and other funding you receive to support your studies (excluding US Veterans Affairs benefits).

Students must inform the SOAS Funding Office of all OFA, as this affects federal loan eligibility and calculations.

Exchange rates

We regularly review and, if appropriate update, the exchange rate we use to convert the CoA from GBP (£) to USD ($). The exchange rate used already allows for some currency fluctuations. You will find the exchange rate applied to your CoA on the spreadsheet. 

The actual GBP (Sterling) you receive will vary as it is dependent on the exchange rate from USD to GBP at the time of the disbursement. The rate applied will be a retail rate and not the interbank rate.

Interest rates and origination fees

Interest rates

The US Federal Government calculates and sets the interest rates for Direct Loans on an annual basis starting from July 1 each year. For more information please visit studentaid.gov.

Origination fees

Federal student loans have an origination fee; therefore, the amount you may receive as a disbursement may be slightly lower than the amount you accept. 

Loan limits

Different loan limits apply to the different types of loans:

Loan limitsAll students: Subsidized LoanDependent students: Unsubsidized LoanIndependent students: Unsubsidized Load
Undergraduate year 1USD 3,500USD 2,000USD 6,000
Undergraduate year 2USD 4,500USD 2,000USD 6,000
Undergraduate year 3USD 5,500USD 2,000USD 7,000
Graduate/professionalN/AN/AUSD 20,500
Direct PLUS LoanBalance up to the Cost of Attendance and no longer available to new borrowers

You can borrow less than the maximum COA. Direct Loans incur fees and interest and must be repaid. Federal Funding CAPS apply.

Loan entitlement 

The following formulas are used to calculate loan entitlements: 

Direct Subsidized Loan eligibility = CoA - (SAI + OFA)*
Direct Unsubsidized Loan eligibility= CoA - OFA (inc. Direct Subsidized Loan)*
Direct PLUS Loan eligibility= CoA - OFA (inc. Direct Subsidized, Unsubsidized and any other expected funding)

*Within maximum annual and aggregate loan borrowing limits.

Direct Unsubsidized LoansGraduate students may borrow up to $20,500 annually; $100,000 aggregate. Professional students may borrow up to $50,000 annually; $200,000 aggregate
Grad PLUSGrad PLUS is eliminated
Parent PLUSParents may borrow $20,000 annually or $65,000 lifetime minus OFA (per dependent)
Lifetime Aggregate LimitCannot exceed $257,500 without regard to amounts repaid, forgiven, canceled or otherwise discharged
Less than Full-Time Annual LimitLess than full-time students may only borrow an amount proportional to their enrolled credit hours relative to the institution’s full-time credit hours

You can find further information on the Student Aid website.

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