Loans and Federal Programs
Federal Programs
Completion of the FAFSA is required each year in order to determine eligibility for federal student aid.
Federal Pell Grants
Eligibility and award amount are determined on the basis of the FAFSA. Award amounts vary each year. Awards are available to eligible students who enroll for at least three credit hours per semester.
Federal Supplemental Educational Opportunity Grants
This is a federal grant for students with high financial need. Because funds are limited, awarding and award amounts will vary depending on the University’s annual allocation.
Federal College Work Study
Campus jobs may be awarded to full-time students as part of their financial aid packages to help meet need. Students are restricted in the number of hours they may work per semester and the maximum amount they may earn. Because funds are limited, awarding and award amounts will vary depending on the University’s annual allocation.
Subsidized Federal Direct Student Loans
This is a need-based federal student loan with a fixed interest rate that is set yearly. Therefore, the rate can vary depending on the date of disbursement. Funds are available from the U.S. Department of Education. Interest is paid by the federal government on behalf of the student as long as the student maintains half-time enrollment. Students make no payments until six months after ceasing at least half- time enrollment. Normal repayment is over ten years. The loan limit for freshmen is $3,500; for sophomores $4,500; for juniors and seniors $5,500. Students must submit a signed and completed application/promissory note to the U.S. Department of Education in order to receive the funds and, if applicable, complete entrance loan counseling .
Unsubsidized Federal Direct Student Loans
This loan is similar to the Subsidized Federal Direct Student Loan, however it is available to students regardless of financial need. The interest rate is fixed and is set yearly, therefore the rate can vary depending on the disbursement date of the loan. Effective July 1, 2008, undergraduate students may receive up to $2,000 in unsubsidized funds in addition to the subsidized loan limit for their grade level. Interest begins to accrue and payments may be required while the student is enrolled. Students must submit a signed and completed application/promissory note to the U.S. Department of Education in order to receive the funds and, if applicable, complete entrance loan counseling. Repayment begins six- months after the student ceases at least half-time enrollment.
Federal Direct PLUS Loans for Graduate and Professional Students
This is a credit-based federal loan available to graduate students. Graduate students may apply to borrow an amount up to the cost of education minus financial aid. The interest rate is fixed and is set yearly, therefore the rate can vary depending on the disbursement date of the loan. Effective for loans first disbursed on or after July 1, 2008 borrowers may request deferment during any period when they are enrolled at least half-time and during the six-month period that begins the day after the date when the student ceases at least half-time enrollment. The loan will be deferred while the borrower is enrolled in school at least half-time and the borrower may request forbearance to align repayment with Federal Direct Student Loans. Students must complete the FAFSA and first apply for annual loan amount maximum eligibility under the Federal Direct Student Loan program. Students must submit a signed and completed application/promissory note and, if applicable, complete entrance loan counseling to receive funds.
Federal Parent Loans for Undergraduate Students (PLUS)
This is a credit-based federal loan available to parents. Parents may apply to borrow an amount up to the student’s cost of education minus financial aid. The interest rate is fixed and is set yearly, therefore the rate can vary depending on the disbursement date of the loan. Effective for loans first disbursed on or after July 1, 2008 parent borrowers may request deferment during any period when they themselves are enrolled at least half-time or when the student on whose behalf the loan was borrowed is enrolled at least half-time and during the six-month period that begins the day after the date the student ceases at least half-time enrollment. Parents must submit a signed and completed application/promissory note to the U.S. Department of Education (www.studentloans.gov) and, if applicable, complete entrance loan counseling in order to receive the funds. The FAFSA is required for PLUS Loan approval.
Federal Loan Entrance/Exit Counseling
All first-time borrowers must participate in pre-loan counseling before they receive their first disbursement. The requirement can be satisfied on-line at www.studentloans.gov. At the time of graduation or termination of student status, students will be directed to the government website to complete exit counseling. An explanation of loan repayment terms and repayment schedule will be given to students at each interview.