William D. Ford Federal Direct Loan Program
Glenville State cooperates directly with the U.S. Department of Education in securing these loans and the FAFSA is required.
Loan amounts can vary depending on the student’s grade level and other aid awarded. The interest rate is fixed at 4.66% for the 2014-15 academic year. Subsidized loans are interest free while the student is in school. However, interest begins accumulating on unsubsidized loans at the time of disbursement. An origination fee is charged on all of the loans. View more information on Direct Loans at www.direct.ed.gov
Effective July 1, 2013 eligibility for the Direct Subsidized Loan will be limited for new borrowers (that is, students who receive their first loan on or after July 1, 2013). New borrowers may receive, in total subsidized loans, up to 150 percent of the published length of the student's current educational program.. For example if the student is in a 2-year degree program, the student could receive subsidized loans for 3 years. Once the student reaches that limit, he or she may borrow only unsubsidized loans, and interest begins to accrue on the student's outstanding subsidized loan.
First time loan recipients must complete a Master Promissory Note (MPN) online at www.studentloans.gov using their Department of Education FAFSA PIN number. This MPN covers both Subsidized and/or Unsubsidized Loan(s) on the same note and covers loans received for up to ten academic years. The US Department of Education will send a Disclosure Statement that details the loan amounts, disbursement dates and other important information. All students must participate annually in Student Loan Entrance Counseling at www.studentloans.gov.
All student loans processed for only one semester will have two disbursement dates within that semester (one at the beginning and one half way through the semester. Loans for first time freshmen are subject to a one time 30-day disbursement delay (that is, loan will disburse 30 days after the beginning of their first semester of college).
Student loan repayment will begin six months after graduation, dropping to less than half-time enrollment, or withdrawing from school. Deferments may be granted upon re-enrollment at a later date, and other types of deferments may be available by contacting the Servicing Center of your loan.
Students may view their cumulative loan information and Loan Servicing Center contact information on the National Student Loan Data Systems (NSLDS) website at www.nslds.ed.gov. This can be done by using identifiers and following the instructions on the website. The National Student Loan Data System (NSLDS) is the U.S. Department of Education's central database for student aid. It receives data from schools, agencies that guaranty loans, the Direct Loan program, and other U.S. Department of Education programs. NSLDS provides a centralized, integrated view of all Title IV loans and grants that are tracked through their entire cycle; from aid approval through closure. Click here for more information about this site.
To learn more about managing your student loans, visit http://studentaid.ed.gov/repay-loans.
Private Student Loans
Private student loans are obtained through a lending institution, used to pay for educational expenses. The Private Loans and eligibility amounts must be certified by a Financial Aid Administrator at the school. Students may seek these opportunities through several lenders. Students should maximize their federal subsidized and unsubsidized loans before pursuing a private loan. Click here for more information on private loans.
Parent PLUS Loans
Parent PLUS loans are loans that a parent may borrow for their dependent student. The parent completes a separate application, and the Financial Aid Office certifies eligibility and sends the loan request to the processing center for a credit history check. If credit is approved, the parent completes a master promissory note electronically at www.studentloans.gov. If credit is denied, the dependent student can then apply for the “additional” unsubsidized loan. The interest rate is fixed at 7.21 % for the Parent PLUS Loan for the 2014-15 academic year. Repayment begins after the loan is fully disbursed to the student’s account, or payment can be deferred while the student is enrolled at least half time.
More detailed information on Parent PLUS Loans may be viewed at http://www.studentaid.ed.gov/types/loans/plus.
An Application for the Parent PLUS Loan may be printed from the Glenville State website, completed and returned to the Financial Aid Office.
Click here for more information about loan options.