Loans

The FAFSA is used to determine eligibility for federal student loans. Federal loans have several advantages over non-federal loans.

A Master Promissory Note is a promise to repay the loan you have been given to help with the cost of your education. An MPN is usually signed online, using the 4-digit FAFSA PIN number as the signature.

Students with a large EFC number may not be eligible for need-based financial aid. Federal stafford loans are considered financial aid and are available to help students meet educational costs. Students may accept or decline any loan, or accept a portion of loans offered.

Federal student loan limits, for each academic year, are established by congress to help students manage loan debt.

• Freshmen may borrow up to $5,500 ($9,500 for independent students and students whose parents are denied the PLUS Loan)
• Sophomores may borrow up to $6,500 ($10,500 for independent students and students whose parents are denied PLUS Loan)
• Juniors and seniors may borrow up to $7,500 ($12,500 for independent students and students whose parents are denied PLUS Loan)

You may choose any lender of your choice.  This handy FASTChoice loan tool walks you through important information about types of funding and money management. It also presents your new responsibilities if you go on to borrow money.

After you review this information, you will see a list of lenders offering loan products in a way that makes it easy to compare them.

Short-term loans must be repaid within 60 days or by the of the semester, whichever comes first.  When you receive a short-term loan, the borrowed amount is charged to your student account.  If you are due to receive financial aid within this period, your financial aid funds will be aplied to your short-term loan balance along with the other chargers on your student account.  if you will not be receiving financial aid, then you will be responsible for repaying your loan directly to the Student Accounts Office.

A federal subsidized student loan is considered need-based financial aid, as determined by the FAFSA. The student must have need in the financial aid package to qualify for a subsidized loan. The interest on a subsidized loan is paid by the government while the student is in school and through the six-month grace period.

An unsubsidized student loan begins accruing interest from the time the loan is disbursed. Students may pay the interest on the unsubsidized loan or let it accumulate.

The interest rates currently range from 3% to 13% depending on the lender and your credit score.

The current Interest Rate for the Parent Plus Loan is 7.9%. 

The U.S. Department of Education requires that students complete an online loan entrance counseling session before loan funds can be disbursed.Loan entrance counseling provides students with information regarding their rights and responsibilities in regard to their federal student loans.  It can be completed at StudentLoans.gov.