Student Loans

Student loans are funds provided by the federal government and they must be repaid. Different types of student loans may be available, depending on the student's eligibility for each.

Subsidized Stafford Loan

A Subsidized Stafford Loan is a federal loan that must be repaid. For new borrowers, the interest rate is variable (not to exceed 8.25%) and is reviewed and determined by July 1 each year. Interest does not accrue and repayment does not begin until six months after the student has the results of the FAFSA, but application for the loan is made through a separate lending institution. Prior to disbursement, the lender withholds approximately 4% from the loan amount to cover loan origination and insurance fees. For details on the maximum annual loan limits, contact the Financial Assistance office.

Unsubsidized Stafford Loan

If the student is not eligible for a Subsidized Stafford Loan, as determined by the results of the FAFSA, an Unsubsidized Stafford Loan can be an alternative. Unsubsidized means that interest will accrue while the student is in school. The student can choose to pay the interest while in school or defer the interest and have it added to the principal balance. As with the subsidized loan, repayment on the principal does not begin until six months after the student has graduated, dropped below half-time status, or withdrawn from the University. The interest rate is variable (not to exceed 8.25%) and is reviewed and determined by July 1 each year. Eligibility is determined by the results of the FAFSA, but application for the loan is made through a separate lending institution. Prior to disbursement, the lender withholds approximately 4% from the loan amount to cover loan origination and insurance fees. For details on the maximum annual loan limits, contact the Financial Assistance office.

Parent Loan for Undergraduate Students (PLUS)

A PLUS is available to parents who want to help their dependent children with their cost of education. Eligibility is based on credit history as determined by federal guidelines and the lending institution. The interest rate is variable (not to exceed 9%). The maximum loan limit is not to exceed the student federal budget less any additional assistance the student may be receiving. Prior to disbursement, the lender withholds 4% from the loan amount to cover loan origination and insurance fees. Repayment of the PLUS begins immediately after the loan is disbursed.