LOANS
Borrow Sensibly:
A student loan requires a serious, long-term commitment. You
are expected to pay back your loan in full, even if you do
not complete your education. Consider your current debt and
future borrowing when requesting a loan application. Borrow
only what you can afford to repay. Make sure that you have
applied for all grants and scholarships first to keep loan
borrowing to a minimum.
Federal Family Education Loan Program:
Stafford and Unsubsidized Stafford Loans
If you are a dependent student you can borrow up to:
- $2625, if you are a first year-student (with less than 30 college credits) enrolled in a program of study that is at least one full academic year (greater than 24 credits);
- $3500 if you have completed your first year of study (30 or more college credits) and the remainder of your program is at least a full academic year (at least 24 college credits).
If you are an independent student (or a dependent student whose parents are unable to get a PLUS Loan), you may be able borrow up to an additional $4000 unsubsidized Stafford loan.
The loan repayment process must begin 6 months after the student graduates, leaves school, or drops below half-time status.
Subsidized Stafford Loan:
A subsidized loan is awarded on the basis of financial need (see Cost of Attendance). Interest is not charged as the federal government "subsidizes" the interest during the period of enrollment on at least a half-time basis.
Unsubsidized Stafford Loan:
An unsubsidized loan is not awarded on the basis of need, but it cannot exceed the Cost of Attendance, including other financial aid and other resources. Interest is charged from the time the loan is disbursed until it is paid in full. A student can "capitalize" the interest which means that the interest will be added to the principal amount of your loan, which will increase the loan amount to be repaid.
Recommended Lenders
Recommended lenders for the Federal Family Education Loan Programs (Stafford/Unsubsidized Stafford Loan) and alternative loans include:
- Citibank
P.O. Box 6128
Sioux Falls, SD 57117-6128
1-800-967-2400
www.studentloan.com
Lender Code: 826878
- Citizens Bank
c/o Nelnet
P.O.Box 2069
Denver, CO 80201
1-888-486-4722
www.citizensbank.com/edu
Lender Code: 807745
- Key Bank USA
c/o Loan Servicing Center/FL
Panama City, FL 32412
1-888-272-5543
www.key.com/educate
Lender Code: 813760
- Nellie Mae
P. O. Box 59012
Panama City, FL 32412-9012
1-888-2-TUITION
www.nelliemae.com
Lender Code: 829076
- Nelnet Academic Loan
P. O. Box 2069
Denver, CO 80201-9812
1-866-866-7372
www.nelnet.net
Lender Code: 833669
Students may select another lender of their choice.
Federal Perkins Loan:
The Federal Perkins Loan is a low 5% interest loan
for students with financial need. The school is the lender
and the loan is made with federal funds with a share contributed
by the college. Federal Perkins funds are limited.
This loan requires that the student sign a promissory note,
do Entrance and Exit Interviews, and pay the loan back
to the college.
The loan repayment process must begin 9 months after the student graduates, leaves school, or drops below half-time status.
Federal Parent Loans for Undergraduate Students (PLUS):
PLUS Loans enable parents to borrow to pay the education
expenses of each child who is a dependent undergraduate student
enrolled on at least a half-time basis. Parents will be required
to pass a credit check.
The yearly limit on a PLUS Loan is equal to the student's
Cost of Attendance (minus
any financial aid or other resources received). Your parents
must also meet citizenship requirements and may not be in
default or owe a refund to any Student Financial Aid program.
If the parent is denied the PLUS Loan, the student
may be eligible for an additional $4,000 Unsubsidized Stafford
Loan. Documentation is required.
Alternative Loans:
Alternative loans exist as an additional means to pay for your college education. These loans are often used as a supplement to a student's existing financial aid package, or for students who are ineligible for federal and/or state financial aid.
An alternative loan is a loan from a bank or lender that is a personal loan used for education expenses. You can apply for an alternative loan through any bank of your choice. The application can be completed on paper or online. When applying for an alternative loan, it is important that you are applying for an alternative loan that is an educational loan and not a personal loan.
A student can borrow any amount up to the difference between other financial aid that you have and the cost of attendance that is established by the Financial Aid Office. If you are considering borrowing an alternative loan and you are unsure about the amount to borrow, contact the Financial Aid Office. It usually takes two to three weeks for an alternative loan to actually pay to your student account.
Most of our alternative loan certification is done online. A Financial Aid counselor will certify the alternative loan at the request of a lender or student. A student should to notify the office when the application has been initiated.
Recommended Alternative Loans:
Key Bank: www.key.com/
Nellie Mae: www.nelliemae.com
