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What is the difference between a subsidized and unsubsidized federal loan?

April 26, 2017difference Federal loan Subsidized Unsubsidized

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What is the difference between a subsidized and unsubsidized federal loan?

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Subsidized loans (i.e. Subsidized Direct, Perkins, CWRU loans) do not accrue interest until they are in a repayment status. Unsubsidized loans (Unsubsidized Direct, private loans, etc.) accrue interest while you are in school.