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Types of Aid - Loans
Eligibility Determined by Filing FAFSA
Federal Subsidized Stafford Loan
- Need based.
- Loans disbursed after July 1, 2008 have a fixed interest rate of 6.0%.
- The Federal government pays the interest on the loan while you are enrolled at least half-time, during the grace period before repayment, and during periods of approved deferment.
- Repayment begins 6 months after you graduate or drop below half-time status.
- Maximum award amounts differ by grade level and dependency status.
- Allows for cancellations of all or part of the loan in return for certain types of teaching or service. Please visit Student Aid on the Web for detailed information.
- You can see your federal loan summary at Great Lakes and NSLDS.
- First time borrowers need to complete Entrance Counseling and sign a Master Promissory Note (MPN). To complete these steps, visit our Processing Your Loans page.
Federal Unsubsidized Stafford Loan
- Not need based.
- Loans disbursed after July 1, 2008 have a fixed interest rate of 6.8%.
- Interest begins accruing from the time the loan is disbursed. The interest payments begin immediately but can be deferred with the principal amount. If you choose to pay the interest while enrolled, the debt will be the principal amount borrowed (not the principal and accumulated interest) when you enter repayment.
- Repayment begins 6 months after you graduate or drop below half-time status.
- Maximum award amounts differ by grade level and dependency status.
- Allows for cancellations of all or part of the loan in return for certain types of teaching or service. Please visit Student Aid on the Web for detailed information.
- You can see your federal loan summary at Great Lakes and NSLDS.
- First time borrowers need to complete Entrance Counseling and sisgn a Master Promissory Note (MPN). To complete these steps, visit our Processing Your Loans page.
Federal Perkins Loan
- Need based.
- Interest rate is fixed at 5.0%. The Federal government pays the interest on the loan while you are enrolled at least half-time, during the grace period before repayment, and during periods of approved deferment.
- Repayment begins 9 months after you graduate or drop below half-time status.
- Allows for cancellations of all or part of the loan in return for certain types of teaching or service. Please visit Student Aid on the Web for detailed information.
- You can see your federal loan summary at ECSI and NSLDS.
- First time borrowers need to complete Entrance Counseling and sign a Master Promissory Note (MPN). To complete these steps, visit our Processing Your Loans page.
Additional Loans with Separate Application
Federal Parent PLUS Loan
- Loan for parents of dependent undergraduate students.
- Interest rate is fixed at 8.5%.
- At least half-time enrollment required.
- A stepparent may apply for a PLUS if the stepparent's information is included on the FAFSA.
- Repayment of interest and principal begins within 60 days after the loan is fully disbursed. The parent may elect to postpone repayment by contacting Great Lakes Borrower Services at 800-236-4300 after receiving the payment schedule. Interest during the postponement can be paid monthly, quarterly or capitalized (quarterly). If postponed, repayment will begin 6 months after you graduate or drop below half-time status. The standard repayment period is 10 years, however, there is a minimum repayment of $50 per month.
- To apply, the parent borrower must have a PIN from the U.S. Department of Education (the same PIN used to electronically sign the FAFSA). An application must be completed online.
SELF Loan
- Non-need based loan available if you are a Minnesota resident.
- Credit-worthy co-signer is required.
- Maximum loan amount for undergraduate students is $7500 per grade level ($9000 for graduate students), and must fit within your cost of attendance budget for a given academic year. Maximum total amount you can receive in SELF loans is $55,500.
- Interest rate is variable, but cannot change more than 3.5% in a 12 month period. Current rate is 3.9%.
- At least half-time enrollment required.
- You are required to make interest payments on a quarterly basis while currently enrolled. Interest payments begin within 90 days from the first disbursement.
- Monthly repayment of principal and interest starts after you graduate or leave school.
- To apply or get additional SELF loan information, click here.
Alternative Loan
- Meant to provide additional funds after you have applied for federal financial aid. Alternative loans often have high interest rates and loan fees. For those reasons we highly recommend all students and families apply for federal financial aid through the FAFSA before applying for an alternative loan.
- Interest rate is variable and determined on credit-worthiness; generally a percentage added to a variable base (often PRIME or LIBOR).
- Credit-worthy co-signer is suggested, and may be required (depends on the lender).
- Interest most likely accrues the entire time the student is in school and in your grace period.
- To apply and see a list of lenders, click here.
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