Financial Aid
Types of FA - Loans
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Loans
Loans are money that must be repaid over a period of time, usually after a student leaves the school. Loans are available through the federal government (Federal Family Education Loan Program - FFELP) and through private lenders.
Federal Family Education Loan Program (FFELP)
The FFELP Loans program is available to undergraduate students and is based on financial aid eligibility. Private lenders provide funds that are guaranteed by the federal government. There are three types of FFELP Loans available. Two (2) of these loans are Federal Student Stafford Loans: subsidized loans and unsubsidized loans. The third type of FFELP loan is the PLUS loan which is a loan taken out only by parents. Interest rates are fixed at 6.0 percent for the subsidized, 6.8 percent for the unsubsidized, and 8.5 percent for the PLUS.
Federal Stafford Student Loans (For Students)
The federal government offers both subsidized and unsubsidized Stafford Loans. The federal government pays the interest on subsidized loans while a student is enrolled at least half-time. For unsubsidized loans, students are responsible for paying the interest during enrollment.
Subsidized Loans
The federal government will pay interest on this loan while you are enrolled in college at least half-time. Subsidized loans are only available to students who demonstrate financial need.
The federal government will pay interest on this loan while you are enrolled in college at least half-time. Subsidized loans are only available to students who demonstrate financial need.
- The origination fee will be deducted proportionally from the loan amount prior to each disbursement.
- You will be charged a 2.0 percent origination fee.
- If you are a first-time borrower you must complete an entrance interview before you can receive your loan funds.
Who May Apply
- All full-time and half-time students in a degree program
- U.S. citizens or eligible non-citizens
How to Apply
- File the Free Application for Federal Student Aid (FAFSA)
How Awards Are To Be Determined
- Based on financial eligibility and grade level
Subsidized Award Amounts
Maximum annual limits for loans disbursed after July 1, 2008 are:
- Freshman: $3,500
- Sophomore: $4,500
- Junior/Senior: $5,500
Unsubsidized loans
This loan is unsubsidized, which means the student pays the interest while in school. Student may choose to capitalize the interest and defer any payments while he/she is enrolled in college at least half-time. This loan is not based on financial need.
- The origination fee will be deducted proportionally from the loan amount prior to each disbursement.
- You will be charged a 2.0 percent origination fee.
- If you are a first-time borrower you must complete an entrance interview before you can receive your loan funds.
Who May Apply
- All full-time and half-time students in a degree program
- U.S. citizens or eligible non-citizens
How To Apply
- File the Free Application for Federal Student Aid (FAFSA)
How Awards Are Determined
- Based on financial eligibility and grade level
Unsubsidized Award Amounts
Maximum annual limits for loans disbursed after July 1, 2008 are:
- Freshman: $6,000
- Sophomore: $6,000
- Junior/Senior: $7,000
The Federal Parent Loan for Undergraduate Students (PLUS)
Through the Parent Loan for Undergraduate Students (PLUS) program, parents of undergraduate students may borrow up to the annual cost of attendance minus any financial aid. The Federal PLUS loan program is designed to assist parents of dependent undergraduate students who are unable to meet their expected parental contribution or have additional financial need that is not met with other financial aid resources. Your parents may borrow up to the cost of your education for the academic year less any estimated financial aid you receive each academic year. This loan is limited to parents who have a positive credit check.
- Interest rates are fixed at 8.5 percent.
- The origination fee will be deducted proportionally from the loan amount prior to each disbursement.
- PLUS borrowers will be charged a 4 percent origination fee
PLUS Loans Details
Who May Apply
- Parents of all full-time and half-time undergraduate students in a degree program
- U.S. Citizens or eligible non-citizens
How To Apply
- File the Free Application for Federal Student Aid or Renewal Application
How Awards Are Determined
- Amount determined by parent request based upon the recommendation of the Financial Aid office
Award Amounts
- cannot exceed the student's cost of education minus other aid received
- Repayment begins 60 days after the loan is fully disbursed in the same academic year
- For repayment options, please refer to the Borrower's Rights and Responsibilities Statement included with your promissory note.
Private Loans
Private loans are available from a variety of banks and lenders. The terms and rates for alternative loans are usually not as good as the Federal Stafford Loans, but are a better option than using your credit card to pay your educational costs.
Applying for and Receiving an Alternative Loan:
You can apply for an alternative loan by contacting the lender directly.
- Usually the lender will require our office to certify that you are a student and what your costs are for the year.
- The bank will send the loan funds directly to the school.
- Should you want to check on the status of your loan, you need to check with the lender directly.
Contact our Financial Aid office for more information.
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