Federal Direct Loan Program
Direct Subsidized Loans and Direct Unsubsidized Loans are federal student loans offered by the U.S. Department of Education to help eligible students cover the cost of attending college.
The Federal Direct Loan Program provides federally insured, low-interest, long-term loans to you or your parents to help you cover the costs of attending college. The federal government is your lender, not a bank or other lending institution. The Office of Financial Aid determines your Direct Loan eligibility based on the information you provided on the FAFSA and calculates the loan amount. Once the loan is disbursed to your student account, it is managed and collected by the U.S. Department of Education. Your Direct Loan is money that is borrowed and must be repaid with interest after you leave school.
Types of Federal Direct Loans
Subsidized Direct Loan
Direct Subsidized Loans are available to undergraduate students with financial need. The amount a student can borrow cannot exceed the student’s financial need. The U.S. Department of Education pays the interest on a Direct Subsidized Loan under the following circumstances:
- while you are enrolled in school at least half-time (6 credits)
- for the first six months after you leave school (referred to as a grace period)
- during a period of deferment (a postponement of loan payments)
Unsubsidized Direct Loan
An Unsubsidized Direct Loan allows you to borrow money in addition to any subsidized loan amounts for which you may be eligible. You are not required to show financial need to receive a Direct Unsubsidized Loan. You will be charged interest from the time an unsubsidized loan is disbursed until you pay the loan in full.
Direct PLUS Loan
Parents of dependent students can borrow up to the cost of attendance at Guttman. The federal government charges your parents interest from the date of the first disbursement until the loan is paid in full.
Maximum Annual & Aggregate Loan Amounts
How Much Can I Borrow?
How Much Can I Borrow?
Borrowing limits are based on your cost of attendance, FAFSA dependency status, year in college, and prior borrowing history. Refer to the chart below to determine the maximum annual and aggregate amounts you may borrow.
| Dependent Students | Base Amount (may be subsidized or unsubsidized) | Additional Unsubsidized Amount | Total Subsidized and Unsubsidized Amount |
|---|---|---|---|
| 1st year - less than 30 credits earned | up to $3,500 per year | up to $2,000 per year | up to $5,500 per year |
| 2nd year - more than 30 credits earned | up to $4,500 per year | up to $2,000 per year | up to $6,500 per year |
| Undergraduate aggregate maximum | up to $23,000 | up to $8,000 | up to $31,000 |
| Independent Students | Base Amount (may be subsidized or unsubsidized) | Additional Unsubsidized Amount | Total Subsidized and Unsubsidized Amount |
|---|---|---|---|
| 1st year - less than 30 credits earned | up to $3,500 per year | up to $6,000 per year | up to $9,500 per year |
| 2nd year - more than 30 credits earned | up to $4,500 per year | up to $6,000 per year | up to $10,500 per year |
| Undergraduate aggregate maximum | up to $23,000 | up to $34,500 | up to $57,500 |
Who is Eligible for a Direct Loan?
You may be eligible for a Federal Direct Loan if you are enrolled at least half-time (6 credits) in a degree-seeking program and satisfy the following:
- Complete the Free Application for Federal Student Aid (FAFSA)
- Meet Federal Student Aid eligibility requirements
- Maintain Satisfactory Academic Progress (SAP)
How do I apply for a direct loan?
- To apply for a Direct Loan, you must first complete and submit the Free Application for Federal Student Aid (FAFSA®) form.
- Resolve all applicable federal student aid items listed on your “To Do List” in the “Tasks and Holds” tile on CUNYfirst Student Center.
- Complete the Direct Loan Request Form on CUNYfirst
Note: the deadline to submit a Direct Loan request is typically 2 weeks before the end of the term.
What happens after I have submitted my loan request?
- Allow 10-14 business days for the Office of Financial Aid to review your request.
- Respond quickly to any communications from the Office of Financial Aid requesting documentation.
- If applicable, complete the additional tasks listed on your To Do List:
- Loan Entrance Counseling
- Master Promissory Note (MPN)
Disbursement
Once your loan request has been submitted to the U.S. Department of Education, you will receive a Loan Disclosure Statement that summarizes the type of loan you applied for, the approved loan amounts, and the estimated dates of disbursement.
If you are a first-time Direct Loan borrower at Guttman, you must complete an Entrance Counseling before any loan funds can be disbursed. If you have not previously received a Direct Loan, the Federal Government requires you to complete entrance counseling to ensure that you understand the responsibilities and obligations of borrowing a federal student loan.
Your electronic Master Promissory Note (MPN) must be acknowledged and approved by the Department of Education before any funds can be authorized for disbursement. In most cases, you are not required to sign a new MPN for future or additional loan requests. If you previously borrowed a direct loan, then the MPN already on file will be used for subsequent year loan borrowing under the Federal Direct Loan program. You always have the option of resigning your MPN every time you borrow but it is not a requirement.
Note: If you previously signed a Master Promissory Note that did not result in a disbursement of Direct Loan funds, you must resign your MPN for subsequent loan requests.
For a loan covering the full academic year, your two disbursements will be split between the fall and spring semesters. For loans covering one semester, the second disbursement will usually occur just after the semester mid-point of the term. You will receive email notices from Guttman for each scheduled disbursement.
At the time of disbursement, you must be enrolled for at least a half-time (6 credits) basis prior to the release of any loan funds. Withdrawing from your classes may affect your loan eligibility.
Loan Repayment
A grace period is a period of time after you cease to be enrolled in college at least half-time (6 credits) but before you start repaying your student loan. You have a six-month grace period after you graduate, leave school, or drop below half-time before you begin repaying your loans. During the grace period, you do not have to make payments on the principal, and you will not be charged any interest on the subsidized portion of your total loan amounts. However, you can start repaying your loans any time before your grace period ends without penalty.
Be a Responsible Borrower
If you choose to borrow a Direct Loan to cover your educational expenses, please note that you will be responsible for repaying the loan. How to be a responsible borrower:
- Understand your financial situation
- Borrow only what you need
- Have a clear plan for repayment
- Understand the terms and conditions of the loan
- Make timely payments
- Communicate with your lender about repayment options (grace period, deferment…)
Note that repayment of your Direct Loan begins once you:
- Graduate
- Drop below half-time (6 credits) enrollment or
- Leave school.
Click here for additional information regarding understanding student loan repayment.
Interest Rates
Each year, the U.S. Congress establishes the interest rates for Direct Loans. These rates are in effect for Direct Loans disbursed during their respective award year.
For additional Federal Direct Loan information including up-to-date loan interest rates visit Federal Student Aid.
Federal Work Study
Guttman participates in the Federal Work-Study (FWS) program, which enables qualified students to have part-time employment while pursuing a degree. Students may seek employment in the following types of positions:
- On campus: FWS positions at a Guttman campus location.
- Off campus: FWS positions at non-profit agencies approved by CUNY to participate in the FWS program.
- On/off Campus: FWS positions at another CUNY college or CUNY administrative offices.
- Public Service Corps (PSC): PSC provides students with opportunities to serve their communities, build professional skills and learn about careers in the public sector. A PSC internship links meaningful community service experience with academic learning, personal growth, and civic responsibility.
Placement and onboarding begins the first week of August. You’ll receive email notifications from the FWS Coordinator about when to complete the additional steps to participate in the program.
FWS Placement/Onboarding Process Overview
- Complete the FWS Orientation on Blackboard
- Search for FWS position on Handshake
- When offered a job, submit onboarding documentation on Student Forms
- Make an in-person appointment to submit Form I-9
You will only be cleared to start working once you have completed all four steps listed above.
FWS Orientation
The purpose of the orientation is to learn about:
- several types of work-study jobs available
- applying for work-study jobs
- next steps after you have been offered a work-study job
Access the FWS Orientation by logging into Blackboard. The Federal Work-Study Orientation will be listed under “My Organizations” section on the right-hand side.
You may complete the orientation in your own time. You will review a presentation and take a short quiz to test your knowledge.
A FWS Orientation Completion certificate will be awarded when all the quiz questions have been answered correctly. Download and save your certificate!
Search and Apply for FWS Jobs
Most Federal Work-Study jobs are posted on Handshake. Check back often as job postings are updated throughout the semester.
First-time users must set up an account using CUNYfirst login credentials by clicking on “Guttman Community College Sign On.” Do not use your email to set up the account.
> How to Set Up a Handshake Account
Apply for work-study jobs by selecting the Filters button then checking the “Work study” checkbox under Job Type. You may apply for more than one job. Employers will contact you for an interview.
When deciding which work-study job is best for you, consider the factors that matter most to you, such as work schedule flexibility, commute time, and type of work.
Note: If you are interested in obtaining an internship with the Public Service Corps (PSC), you should complete and return the PSC application to the Federal Work-Study Coordinator with a copy of your resume. To access the application, click here. Additional information can be found on the New York Public Service Corps website. You can send PSC questions to psc@dcas.nyc.gov and copy fws@guttman.cuny.edu. All onboarding for Public Service Corps is processed through PSC.
Onboarding Documentation
When offered a job, you must submit onboarding documentation on Student Forms before you can begin working.
When you have been offered a work-study job, you must complete the “Federal Work-Study Onboarding” task on Student Forms. Log into Student Forms using your CUNYfirst login credentials.
Student Forms Tasks:
Task 1: Federal Work-Study Onboarding – within this task there are five items to complete:
- Student Employer Acknowledgment Form- (Hyperlink to PDF: 23-24 Student Employer Acknowledgement Form_Fillable.pdf) this is a formal agreement between you and your employer. You will complete the STUDENT INFORMATION section; you will ask your employer to complete the EMPLOYER INFORMATION section. Upload the form on Student Forms after you and your FWS supervisors have completed and signed the Student/Employer Acknowledgement form.
- W-4- You must submit a completed and signed Form W-4 Employee Withholding Certificate. Access this year’s form at https://www.irs.gov/forms-pubs/about-form-w-4. The Form W-4 Employee Withholding Certificate is required so that the correct federal income tax can be withheld from your pay as you indicate on the form. Instructions for filling out the Form W-4 Employee Withholding Certificate are listed on the form.
- IT 2104 or IT 2104-E- A Certificate of NYS Tax Withholding (IT-2104 or IT-2104-E) is required by the New York State Department of Taxation and Finance and by the City of New York to determine how much New York State (and New York City and Yonkers) tax to withhold from your pay.
- You only need to complete one of the two forms. Do not complete both forms; select the one that works best for you.
- Select one form; either the Employee’s Withholding Allowance Certificate (IT-2104) or the Certificate of Exemption from Withholding (IT-2104-E). Access this year’s form at https://www.tax.ny.gov/forms/withholding_cur_forms.htm.
- Labor Law Form – You must submit a completed and signed NYS Labor Law Form. The law requires employers to give written notice of wage rates to each new hire. Answer question #3 and #8, sign and date the form. Standard FWS jobs have a rate of pay of $15.00 per hour.
- FERPA – A signed Family Educational Rights and Privacy Act (FERPA) Form is required before you can be placed in a Federal Work-Study (FWS) job. As a student employee at the City University of New York, you may be granted access to confidential and private records. These records are protected from disclosure to third parties under CUNY and federal and state privacy laws. Student records are protected by FERPA and must be treated as confidential. Read, complete, sign, and upload the FERPA Form to indicate your acknowledgement of FERPA regulations.
Task 2: Blackboard Orientation Completion Certificate. Access the FWS Orientation by logging into Blackboard at https://bbhosted.cuny.edu/webapps/login/noportal. You are required to review a presentation and take a brief quiz. Once completed, upload the Blackboard Orientation Completion Certificate to Student Forms.
Important: Make an in-person appointment to submit your Form I-9.
Your last step before you can start working is to make an in-person appointment to submit your Form I-9. You must submit a signed Form I-9 Employment Eligibility Verification along with the required proof of identification as listed on page 2 of Form I-9.
- Select the first link under Forms and Document Downloads; “Form I-9 (Please see the Special Instructions tab on how to use and download this version.) (PDF, 477.5 KB)”
Book time with Jessica Portilla: Test FWS Form I-9 Appt
What to bring to your appointment:
- Completed and signed Form I-9 (page one only)
- Appropriate Proof of Identification (refer to page 2 of Form I-9; see below).
- All documents must be unexpired and must be originals, no photocopies.
- Failure to submit IDs will result in having to reschedule your appointment which will delay when you can start working.
Appointment location:
Report for your in-person appointment at the Hub located on the 3rd floor of Guttman South (50 West 40th Street).
Clearance to Start Working:
You will only be cleared to start working once you have completed all four steps listed above.
Once cleared, you will receive an email to your Guttman email from the FWS Coordinator.
This email will have your work start date, the payroll calendar, timesheet instructions and the completed Student Employer Acknowledgement. Keep this email for your records.
Note: The FWS program will not pay for hours worked prior to receiving clearance from the FWS Coordinator.
FWS Placement/Onboarding Process
Placement and onboarding begins the first week of August. You’ll receive email notifications from the FWS Coordinator about when to complete the additional steps to participate in the program.
FWS Placement/Onboarding Process Overview
- Complete the FWS Orientation on Blackboard
- Search for FWS position on Handshake
- When offered a job, submit onboarding documentation on Student Forms
- Make an in-person appointment to submit Form I-9
You will only be cleared to start working once you have completed all four steps listed above.
FWS Orientation
The purpose of the orientation is to learn about:
- several types of work-study jobs available
- applying for work-study jobs
- next steps after you have been offered a work-study job
Access the FWS Orientation by logging into Blackboard. The Federal Work-Study Orientation will be listed under “My Organizations” section on the right-hand side.
You may complete the orientation in your own time. You will review a presentation and take a short quiz to test your knowledge.
A FWS Orientation Completion certificate will be awarded when all the quiz questions have been answered correctly. Download and save your certificate!
Search and Apply for FWS Jobs
Most Federal Work-Study jobs are posted on Handshake. Check back often as job postings are updated throughout the semester.
First-time users must set up an account using CUNYfirst login credentials by clicking on “Guttman Community College Sign On.” Do not use your email to set up the account.
> How to Set Up a Handshake Account
Apply for work-study jobs by selecting the Filters button then checking the “Work study” checkbox under Job Type. You may apply for more than one job. Employers will contact you for an interview.
When deciding which work-study job is best for you, consider the factors that matter most to you, such as work schedule flexibility, commute time, and type of work.
Note: If you are interested in obtaining an internship with the Public Service Corps (PSC), you should complete and return the PSC application to the Federal Work-Study Coordinator with a copy of your resume. To access the application, click here. Additional information can be found on the New York Public Service Corps website. You can send PSC questions to psc@dcas.nyc.gov and copy fws@guttman.cuny.edu. All onboarding for Public Service Corps is processed through PSC.
Onboarding Documentation
When offered a job, you must submit onboarding documentation on Student Forms before you can begin working.
When you have been offered a work-study job, you must complete the “Federal Work-Study Onboarding” task on Student Forms. Log into Student Forms using your CUNYfirst login credentials.
Student Forms Tasks:
Task 1: Federal Work-Study Onboarding – within this task there are five items to complete:
- Student Employer Acknowledgment Form- (Hyperlink to PDF: 23-24 Student Employer Acknowledgement Form_Fillable.pdf) this is a formal agreement between you and your employer. You will complete the STUDENT INFORMATION section; you will ask your employer to complete the EMPLOYER INFORMATION section. Upload the form on Student Forms after you and your FWS supervisors have completed and signed the Student/Employer Acknowledgement form.
- W-4- You must submit a completed and signed Form W-4 Employee Withholding Certificate. Access this year’s form at https://www.irs.gov/forms-pubs/about-form-w-4. The Form W-4 Employee Withholding Certificate is required so that the correct federal income tax can be withheld from your pay as you indicate on the form. Instructions for filling out the Form W-4 Employee Withholding Certificate are listed on the form.
- IT 2104 or IT 2104-E- A Certificate of NYS Tax Withholding (IT-2104 or IT-2104-E) is required by the New York State Department of Taxation and Finance and by the City of New York to determine how much New York State (and New York City and Yonkers) tax to withhold from your pay.
- You only need to complete one of the two forms. Do not complete both forms; select the one that works best for you.
- Select one form; either the Employee’s Withholding Allowance Certificate (IT-2104) or the Certificate of Exemption from Withholding (IT-2104-E). Access this year’s form at https://www.tax.ny.gov/forms/withholding_cur_forms.htm.
- Labor Law Form – You must submit a completed and signed NYS Labor Law Form. The law requires employers to give written notice of wage rates to each new hire. Answer question #3 and #8, sign and date the form. Standard FWS jobs have a rate of pay of $15.00 per hour.
- FERPA – A signed Family Educational Rights and Privacy Act (FERPA) Form is required before you can be placed in a Federal Work-Study (FWS) job. As a student employee at the City University of New York, you may be granted access to confidential and private records. These records are protected from disclosure to third parties under CUNY and federal and state privacy laws. Student records are protected by FERPA and must be treated as confidential. Read, complete, sign, and upload the FERPA Form to indicate your acknowledgement of FERPA regulations.
Task 2: Blackboard Orientation Completion Certificate. Access the FWS Orientation by logging into Blackboard at https://bbhosted.cuny.edu/webapps/login/noportal. You are required to review a presentation and take a brief quiz. Once completed, upload the Blackboard Orientation Completion Certificate to Student Forms.
Important: Make an in-person appointment to submit your Form I-9.
Your last step before you can start working is to make an in-person appointment to submit your Form I-9. You must submit a signed Form I-9 Employment Eligibility Verification along with the required proof of identification as listed on page 2 of Form I-9.
- Select the first link under Forms and Document Downloads; “Form I-9 (Please see the Special Instructions tab on how to use and download this version.) (PDF, 477.5 KB)”
Book time with Jessica Portilla: Test FWS Form I-9 Appt
What to bring to your appointment:
- Completed and signed Form I-9 (page one only)
- Appropriate Proof of Identification (refer to page 2 of Form I-9; see below).
- All documents must be unexpired and must be originals, no photocopies.
- Failure to submit IDs will result in having to reschedule your appointment which will delay when you can start working.
Appointment location:
Report for your in-person appointment at the Hub located on the 3rd floor of Guttman South (50 West 40th Street).
Clearance to Start Working:
You will only be cleared to start working once you have completed all four steps listed above.
Once cleared, you will receive an email to your Guttman email from the FWS Coordinator.
This email will have your work start date, the payroll calendar, timesheet instructions and the completed Student Employer Acknowledgement. Keep this email for your records.
Note: The FWS program will not pay for hours worked prior to receiving clearance from the FWS Coordinator.
Federal Work Study Payment Resources
Timesheets
Students must submit their timesheets by the Timesheet Input Deadline on the Payroll Schedule. Timesheets submitted after the indicated deadline will be retroactively processed, and payment issued during the next payroll period. Be sure to submit your timesheets on time to avoid late payments.
Go to https://forms.guttman.cuny.edu/ to submit your timesheets. Access the guide for how to fill out online timesheet here.
Timesheet Reminders:
- Late timesheet = late paycheck (helpful hint: add a reminder on your calendar!)
- Keep track of all hours worked:
- Helpful hint #1: remaining hours are listed on the top right of your online timesheet;
- Helpful hint #2: you will receive biweekly “CUNY Federal Work Study Payroll Notification” email with your remaining hours available to work.
- Do not prefill out your timesheet. Only submit your timesheet after you have worked all hours in the pay period. Your timesheet will be rejected if submitted prior to the last day you worked for the pay period.
- You are required to take a half-hour break if you worked more than five (5) consecutive hours.
- If you did not take a break during your shift, use only the first “IN” and “OUT” fields.
- You may not work more than 20 hours per week.
Pay Rate
The FWS pay rate is $15.00 per hour.
Direct Deposit
Enroll in Direct Deposit on CUNYfirst for faster transfer of your earnings to your bank account.
- To e-consent, navigate to Employee Self-Service on CUNYfirst -> Payroll -> W-2/W-2c Consent and click the check box to consent. You will receive an email when your Form W-2 is available.
- To verify address: Login to CUNYfirst and navigate to Employee Self-Service -> Personal Details -> Addresses.