UTMB has several loan funds for students who need financial assistance: federal, state, institutional, and alternative. The purpose of all loan programs is to assist students unable to obtain sufficient support from other sources. In order to qualify for support from any federal loan program, the student must complete the FAFSA.
UTMB’s current default rate for federal loans is 0.6% which is far below the national rate of 10.8%. 66% of UTMB students borrow money for their educational expenses.
The Federal Direct Loan Program provides a new and simpler way to obtain and repay student loans. There is a single lender—the U.S. Department of Education. Students should refer to https://studentaid.ed.gov/sa/ for specific information regarding Direct Loans.
If a parent of a dependent student is denied a FDPLUS loan as a result of poor credit, we will replace that PLUS loan with a Federal Direct Unsubsidized Stafford/Ford Loan (FDUSL) in accordance with the program maximum limits and guidelines.
The Graduate PLUS loan program is part of the Federal Family Education Loan Program (FFEL) and allows you to borrow up to the difference between your educational costs and your financial aid award package. The graduate student must apply for the maximum annual amount through the Federal Stafford Loan Program and must be a U.S. citizen or eligible non-citizen and creditworthy.
Students and parents can look up their complete loan history including the servicers for each loan at NSLDS. Access to this site requires the user to have their Department of Education PIN.
Students and parents who first borrowed Federal Direct Loans after July 1, 2010 will have their Federal Direct Loans serviced by one of the four servicing contractors listed below:
Perkins Loan Program
Students who apply for the Federal Perkins Loan Program must be United States citizens, or permanent residents of this country, and must be enrolled at least half time. Applicants must complete the UTMB Application for Financial Aid and the Free Application for Federal Student Aid. Undergraduates may borrow up to $3,000 during their freshman and sophomore years, and $4,000 per year during their junior and senior years. The total of an undergraduate’s loan may not exceed $15,000. Graduate students are eligible to borrow on the FPLP program also, but the combination of their undergraduate and graduate loans may not exceed $30,000. Because limited funds are available, we institutionally reserve these funds for students with need in the School of Health Professions and the Graduate School of Biomedical Sciences in order to provide the same level of funding to all students.
Loans for Disadvantaged Students
The Loans for Disadvantaged Students program provides loans to full-time, financially needy students from disadvantaged backgrounds pursuing a degree in allopathic medicine, osteopathic medicine, dentistry, optometry, podiatric medicine, pharmacy or veterinary medicine. Recipients are selected by making reasonable determinations of need and providing loans which do not exceed the cost of attendance (tuition, reasonable educational expenses and reasonable living expenses.
Nursing Student Loan Program
The Nursing Student Loan program provides loans to full-time and half-time financially needy students pursuing a course of study leading to a diploma, associate, baccalaureate or graduate degree in nursing.
Primary Care Loan
The Primary Care Loan program provides loans to 4th year medical students who match in a primary care residency program and are financially needy. The amount of Primary Care funds that can be approved for a student is governed by need analysis and amount of funds available. Students accepting awards from this program will be required to sign a promissory note agreeing to enter and complete a residency training program in primary care and practice primary care through repayment of the loan. The loans to fourth year students are given to repay outstanding balances on unsubsidized loans taken out while attending UTMB. Medical students receiving a Primary Care Loan must agree to enter and complete residency training in primary care within four years after graduation and practice in primary care for the life of the loan.
These loan programs are to assist students unable to obtain sufficient support from other sources. The loan funds described in this section of the booklet are available to students who meet the eligibility requirements specified for each fund and who maintain satisfactory progress in their educational programs. Loan funds are intended to provide financial aid to meet established financial need and require that repayment begin after the student has finished the educational program.
Our Collection Agencies for Institutional loans are
Our credit agency for institutional loans is
The following loans are considered long-term aid and will be awarded only on the availability of funds:
Max. Loan Amount
Method of Payment
Robert Wood Johnson (M)
$3,500 per yr.
1 year after graduation
William C. Levin (M)
6 mos. after graduation
*Medical School Alumni Loan Program (M)
6 mos. after graduation
UTMB Physical Therapy Alumni (PT Seniors)
$1,000 per yr.
1 year after graduation
6 mos. after graduation
Our service contractor for institutional loans is ACS, Inc. – Education Services, Campus Products and Services.
The Texas Medical Association loan money at UTMB is an institution loan fund. To be eligible a student must:
- Be enrolled in the School of Medicine.
- Have successfully completed at least one semester of medical school.
- Have established financial need.
This loan begins accruing at a rate of 4.4% from the date of disbursement, and interest payments will be payable annually on or before each subsequent anniversary for the promissory note. Principle and interest payments begin in the fifth year after graduation and will be made in equal monthly payments for four years.
Student Loans Department
Texas Medical Association
401 West 15th Street
Austin, Texas 78701-1680
800 North West Loop 410, Suite 200S
San Antonio, TX 78216-5699
Interest Rate: Notes are interest bearing at a rate of 6 percent and the interest is compounded annually from date of note until the due date. See promissory note.
Due Date: This loan is due one year after graduation or one year after date of last attendance, should a student drop out of school or lose full-time status.
Repayment: If a lump-sum payment cannot be made, a monthly payment plan may be elected. If a monthly payment plan is elected, interest will be computed monthly on the diminishing balance until the note is paid in full. The entire balance must be repaid within four years of the due date of note.
Cancellation: There is no provision for cancellation. The estate must pay in the event of death.
The state of Texas has two loan programs available for undergraduate students: The College Access Loan (CAL) and the Be-On-Time Loan (BOT). For information about these programs, please go to hhloans.com.
If a student cannot meet the total cost of attendance with the financial assistance offered through Enrollment Services, alternative loans are available through the private sector (banks).
Fast Choice - Alternative Lenders
Please bear in mind that alternative lenders will usually complete a credit check to determine your eligibility for funding. You may be asked to provide a co-signer, or be denied funding based on your credit history, or lack thereof. If you are not approved for an external loan, Enrollment Services cannot change the lender's decision and your award may be revised.