Federal Student Loans

Student loans are available through the Federal Perkins Loan Program and Federal Family Educational Loan Program (FFELP).

FFELP

Subsidized and Unsubsidized Stafford Loans

Subsidized Stafford Loans are limited to the amount of demonstrated financial need. "Subsidy" is provided by the Federal government paying the interest while the student is enrolled at least half-time. Unsubsidized Stafford Loans are awarded to assist with educational expenses, but are not limited to demonstrated financial need. The interest is not paid by the Federal government and is the responsibility of the student. Payment is deferred on both Subsidized and Unsubsidized Stafford Loans while the student is enrolled at least half-time. Other provisions common to both Subsidized and Unsubsidized Stafford Loans include annual loan limit, aggregate loan limit, interest rate and fees, disbursements, and repayment.

Annual Loan Limits

Eligibility for Stafford Loans is determined by a student's current class standing, with the following limits applying to any combination of Subsidized and Unsubsidized Loans for an academic year (any two consecutive semesters).

  Dependent Students * Independent Students
Freshmen (0-29 earned credits)

$5500

$9500
Sophomore (30-59 earned credits)

$6500

$10500
Junior (60-89 earned credits)

$7500

$12,500
Senior (90+ earned credits)

$7500

$12,500
Graduate Students

N/A

$18,500

*Dependent students whose parents are denied a PLUS Loan are eligible for Annual Loan Limits equivalent to an Independent Student

Interest Rate and Fees

Interest Rate for all Stafford Loans during in-school, deferment or grace periods, is 6.8%. Federal regulations allow lenders and guarantors to deduct a 1.5% origination fee and 1% guaranty fee before disbursing the loan proceeds. Most guarantors are currently waiving the guaranty fee.

Repayment

Repayment for all Stafford loans are deferred until 6 months after the student stops attending school at least half-time. Complete repayment and deferment provisions are provided in entrance and exit counseling.

Parent Plus Loan

Parent Plus Loans allow credit-worthy parents of dependent students to borrow funds to cover the difference between total cost of attendance and all financial assistance the student may receive each year. Interest rate is 8.5%. The same origination and guaranty fee apply. Repayment and interest begin immediately upon disbursement.

If these Federal Loan programs don't provide sufficient funding for you, you may wish to consider a Private Alternative Loan that could be available from any of the same lenders. Private Alternative Loans contain similar payment deferment provisions as do the Federal Loans, however the interest rate and origination fees may be different. Unlike the Federal Loans, Private Alternative Loans are credit-qualified loans. Although we don't include Private Alternative Loans in our award letter, we do have information available in the Financial Aid Office.

How to Apply for Student Loans

Instructions for applying to student loans will be included in your financial aid package.

If you need additional help, or have questions about the financial aid process not answered in these pages, please e-mail our office or give us a call at 503-280-8514 (local) or 1-800-321-9371 (long distance).