Loans

The Office assists students through various long-term loan programs. Repayment of Federal loans is deferred as long as the borrower is enrolled at least half-time. Qualifications for the loan programs are listed below. Specific information regarding loan terms and repayment/deferment options is available in the Student Financial Aid Office.

Private Alternative Loans: Aid office staff will assist and counsel borrowers seeking private alternative loans, and certify private loan applications after all federal funding sources are exhausted, only if the student aid budget minus other aid indicates additional eligibility

Federal Perkins Loan: This loan requires evidence of financial need for eligibility. The interest rate is five (5) per cent and does not accrue while the student is enrolled on at least a half-time basis. There are provisions for partial cancellation for designated public service. Repayment may be extended for ten years, depending upon the amount borrowed.

Nursing Student Loan: Nursing Student Loans provide funds for Masters level graduate nursing students. The interest rate is five (5) percent and does not accrue while the student is enrolled on at least a half-time basis. The major criterion for this program is demonstration of financial need. Repayment may be extended for ten years, depending upon the amount borrowed.

Health Professions Student Loans (HPSL): The Health Professions Student Loan program is for students in dentistry. The interest rate on these need-based loans is five (5) percent during the repayment period.

Primary Care Loan (PCL): Medical students who demonstrate financial need and make a commitment to pursue primary care training and practice may have access to these loans, which are interest free during the in-school and primary care residency periods and feature a five percent interest rate during repayment periods. Significant interest penalties are assessed on borrowers who fail to meet the primary care training and practice requirements stipulated in the loan promissory note.

NOTE: Students seeking HPSL or PCL must include parent data on their FAFSA.

Federal Direct Stafford (Subsidized/Unsubsidized) Loan Program: These government loans feature a subsidized need based component and an unsubsidized non-need based component. The government does not charge interest on the subsidized component during qualifying in-school, grace, and deferment periods. Interest rate is 6.8% for graduate and professional students.The interest rate for subsidized loans for undergraduate level students is reduced to 3.4% for 2011-12; the rate on unsubsidized loans will remain at 6.8% for undergraduates.

Federal Direct PLUS: Graduate/Professional level students and the parents of undergraduate dependent students can apply for PLUS loans. These loans are non-need based and feature a 7.9% fixed interest rate. For parent borrowers, repayment generally begins when the loan is disbursed unless the parent borrower requests deferment; Graduate/Professional level student borrowers can defer payment while enrolled at least half time. To qualify, PLUS borrowers must pass a credit check and may be denied the loan based on adverse borrower credit history. Borrowers denied for credit reasons may reapply with an endorser.

To be eligible for federal student loan funding in any academic term (Fall, Spring, or Summer), undergraduate students must be enrolled in at least six credit hours of course work. Generally, graduate level students must be enrolled in at least five credit hours in a regular semester or three credit hours in a Summer Term for federal loan eligibility. Only courses meeting previously unmet degree requirements are counted in determining enrollment level for federal student aid eligibility purposes.