Non-Degree or Second Bachelor Degree Programs

The Prospective Degree Students (PDS) is a non-degree status granted to students who wish to enroll at the University of Michigan-Dearborn but do not yet meet the requirements for admission to a degree program. These students show potential for academic success if degree admission were granted in the future.

Types of Aid Available

Federal Direct Student Loan Program

• Loans are offered to students at below market rates. Repayment is not required for six months after graduation, dropping to less-than-half-time (six credits is minimum half-time for undergraduates) or a total withdrawal.
• ​Dependent students can borrow up to $4,265 for the academic year ($2,625 maximum in subsidized loans).
• ​Independent students can borrow up to $8,625 for the academic year ($2,625 maximum in subsidized loans).
• The Federal Direct Subsidized Loan does not accrue interest while the student is enrolled at half-time status. No payments for interest or principal are due while a student is enrolled half-time.
• The Federal Direct Unsubsidized Loan has the same low interest as the subsidized loan but interest accrues while the student is in school. No payment for interest or principal is required while the student is in school. The Office of Financial Aid and Scholarships suggests that borrowers pay the quarterly interest charged by the Direct Loan Program. 
• There is no prepayment penalty for borrowers who want to repay their loans early.

Eligibility Limitations

Prospective Degree Students are allowed to receive loans for up to 12 consecutive months dating from their first enrollment. For example, a student who first enrolls in September 2023 has until August 2024 to complete the requirements in the PDS and apply to one of the University degree programs.

If a student is not admitted to a regular University of Michigan-Dearborn degree program at the end of 12 consecutive months in the PDS Program, he or she will not be eligible for additional financial aid in the PDS Program.

Once a student has been admitted to a regular University of Michigan-Dearborn degree program, he or she will regain eligibility to be considered for financial aid as a regular degree-seeking student.

Important Information to Remember

• Please remember that the Student Success Center is a valuable resource for students in the PDS Program and that it is very important to stay in contact with them. You can contact their offices at 313-593-5340 to ask questions, address concerns or make an appointment.

• Students are also encouraged to meet with the Financial Aid Counselors in the Office of Financial Aid & Scholarships if they have any questions or concerns.

The University of Michigan-Dearborn has very few consortium agreements with other colleges (except for study abroad programs). The consortium agreements are with our campuses in Ann Arbor and Flint. Only UM-Ann Arbor and UM-Flint students in good standing are eligible to be considered for financial aid while enrolled at UM-Dearborn.

In addition to submitting a guest student application to the Office of Admission at the UM-Dearborn, a student from UM-Ann Arbor or UM-Flint must complete the following steps to be considered for aid:

• Release FAFSA information by adding UM-Dearborn (002326) to his/her financial aid application at studentaid.gov/h/apply-for-aid/fafsa.
• Complete the student section of both the Guest Student Academic Certification Form and the Guest Student Financial Aid Certification Form then submit each form to the appropriate office at their home campus
• If selected for verification, submit copies of tax return transcripts (or have used the Data Retrieval Transfer on the FAFSA) and a verification worksheet
• Students enrolled for the Summer Semester should also complete a Summer Financial Aid Application
• Students cannot be simultaneously enrolled at UM-Dearborn and their home institution and be considered for financial aid

Types of Programs Available

• Federal Pell Grant
  Applicants without a bachelor's degree whose EFC (Expected Family Contribution) is from 0-5846 (for 2021-2022 academic year) can be considered for Pell Grant while enrolled as a student at UM-Dearborn. Pell Grant awards are determined by EFC, enrollment status and amount of funds used earlier in the academic year.

• Federal Direct Student Loan Program
  Loans are offered to students at below market rates (the interest rate for 2021-2022 is 3.73%). Repayment is not required for six months after graduation, enrolling at less than half-time (six credits is minimum half-time status for undergraduates) or withdrawing from classes.

Federal Direct Student Loan eligibility is determined by status (dependent or independent), grade level, funds borrowed during the academic year and aggregate loan maximum borrowing limitations.

• Federal Direct Parent/PLUS Loans
  A parent who wishes to borrow on behalf of a dependent child may be eligible to borrow in the Direct Parent/PLUS Loan Program. The dependent student must be enrolled at least half-time (six credits minimum). The parent must be credit worthy. In addition to the Academic and Financial Aid Office Certifications, the parent and student must also complete the Parent/PLUS Application.

• Alternative Loans
  Students may wish to consider Alternative Loans as an option if their eligibility for other assistance is inadequate to meet their needs. Some lenders may allow credit-worthy non-degree students to borrow.

Without an eligible consortium agreement, guest students at UM-Dearborn are not eligible to be considered for Federal aid or University assistance. 

There are some possible means to help meet educational costs while enrolled as a guest student at the University of Michigan-Dearborn.

• Alternative Loans
  Students may wish to consider Alternative Loans as an option if their eligibility for other assistance is inadequate to meet their needs. Some lenders may allow credit-worthy non-degree students to borrow.

Students who are enrolled at more than one college simultaneously traditionally only receive financial aid at one institution. Most students make the decision to use their financial aid at the more expensive college or at the college that will award them the most financial aid.

Students are encouraged to meet with their academic advisors before pursuing enrollment at other educational institutions. 

There are students who may combine multiple enrollments at different colleges and legitimately receive aid at each. Students, however, are prohibited from receiving Pell Grant during the same academic period at more than one school.

• Alternative Loans
  Students may wish to consider Alternative Loans as an option if their eligibility for other assistance is inadequate to meet their needs. Some lenders may allow credit-worthy non-degree students to borrow.

In most instances, students who are enrolled at more than one college simultaneously pay for the extra college costs out of their pocket.

Students who have already earned their bachelor's degree are not eligible for Federal, Michigan or University need-based grants. Students in these academic programs may be considered for Federal Direct Student Loans.

The undergraduate loan limits do not increase with each new degree or certificate pursued. It is recommended that students review the Loan Section to obtain detailed information about maximum loan amounts as well as checking their undergraduate borrowing. Graduate borrowing will not count towards undergraduate loan limits.

Students who are still considered dependent students may also be considered for Parent/PLUS Loans by requested that a parent borrow on their behalf. These loans are not subject the aggregate maximums of the Student Loan Program. Students may also consider Alternative loans for funding their new program of study, especially if other loan programs are not available to them. Applicants for alternative loans (and/or their co-borrowers) must be credit-worthy.

Students who are enrolling in a second bachelor's degree may be eligible for the University of Michigan Dearborn Scholarship Application. The deadline is usually early March for funds to be used in the next academic year.