After moving into the second spot in the BCS rankings, the Bulls became the latest in a long line of upset victims during a wild college football season.
Rutgers pulled off two trick plays that led to 10 points and halted a rally by stopping the Bulls on their final three possessions.
Teel completed only 11 passes, but they went for 179 yards and two touchdowns. Ray Rice added 181 rushing yards.
Underwood's second touchdown catch of the night gave Rutgers (5-2, 2-1 Big East) a 20-17 lead three minutes into the third period. The Scarlet Knights increased the advantage to 10 points when holder Kevin Brock, on a fake field goal attempt, threw a 10-yard scoring pass to Andrew DePaola.
After the teams traded field goals, South Florida (6-1, 1-1) scored on a one-yard run by Mike Ford with 9:16 remaining. But the Bulls could do nothing with their remaining possessions, one of which began at the Rutgers 40 when Rice fumbled.