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Federal Family Education Loans
 | Federal Subsidized Stafford Loan
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| Federal Unsubsidized Stafford Loan
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| Federal PLUS loan
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| Eligibility is determined on a scheduled academic year
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Federal Subsidized Stafford Loan
| Available for degree or certificate seeking students attending at least
½ time and maintaining satisfactory academic progress.
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| Student must be registered for classes and file necessary financial aid
applications including FAFSA
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| Application may be obtained through a lending institution
or the Office of
Financial Aid and submitted to our office for processing. If you receive
an application from Great Lakes Higher
Education Corporation you must follow the instructions provided.
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| Eligibility is based on financial need.
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| $2625 Maximum eligibility for first year undergraduate student.
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| $3500 Maximum eligibility for second year undergraduate student.
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| $5500 Maximum eligibility for third, fourth or fifth year undergraduate student.
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| Total maximum undergraduate borrowing through Federal Stafford Loan is $23,000.
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| Graduate students may borrow up to
$8,500.
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| Cumulative borrowing for undergraduate and graduate students cannot exceed
$65,500.
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| First year undergraduate students may receive payments 30 days after the first day of classes.
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| Debt
Management Counseling is
required of all first time loan borrowers.
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| Repayment begins 6 months after a student
graduates, withdraws, or drops below ½ time status.
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| Borrowers may take up to 10 years to repay the loan.
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| A 1% guarantee premium and 3% origination fee will be subtracted from
the approved loan amount.
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| Interest rate is capped at 8.25%, and is paid by the federal government while
the student is in school and during the 6-month grace period.
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Federal Unsubsidized Stafford Loan
Meets all terms of Federal Subsidized Stafford Loan except:
| This loan is not need-based.
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| The federal government does not pay the interest on your behalf.
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Federal PLUS Loan
Available to parents of undergraduate students attending at least ½ time and maintaining
satisfactory academic progress
| Designed to help with the financing of a student’s education.
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| Applications may be obtained through the lending institution
or the Office of Financial Aid.
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| Maximum eligible annual limit is the cost of education minus other aid.
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| Repayment begins 60 days after the loan is fully disbursed.
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| A guarantee fee of up to 3% will be subtracted from the approved amount.
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| Interest rate is capped at 9%
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More details on the PLUS
loan (from the Department of Education)
Apply now for pre-approval for a PLUS loan.
You will need to enter a school code and password to apply
School Code: 00301400
Password: Contact the Office of Financial aid for the password.
Federal Perkins Loan
Long term, low interest loan funded by the federal government, the college and repayment of
previous borrowers
| Eligibility for this loan is need based and will be indicated in financial aid award
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| Eligible students must be attending full time and maintaining satisfactory academic
progress
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| Student must sign an open-ended promissory note at the Federal Perkins
Loan Office the first semester the loan is received
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| Repayment begins 9 months after student graduates or leaves school
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| A 5% interest rate will be charged on the unpaid principal during
repayment.
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More details on the Perkins Loan
(from the Department of Education)
NOTE:
Students should make every attempt to sign for the
Perkins Loan during the first week of classes (or promptly after the award is made).
The Perkins Loan Office is located in the Bonds Administration Building (to the
right of the Cashier's Office). For information contact:
MARCIA SHAFFER - Student Loan Administrator
(440) 826-2218
mshaffer@bw.edu
Federal Consolidation Loan
| Designed
to help borrowers simplify loan repayment by allowing borrowers to
consolidate several types of federal loans with various repayment
schedules into one loan
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| Loans
that can be included in consolidation are: Unsubsidized
Stafford, Subsidized Stafford, PLUS, and Perkins. (Alternative
loans are not included)
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| Interest
rate is calculated by taking the weighted average of the loans being
consolidated and rounding up to the nearest 1/8th % (capped at
8.25%). This calculated rate is then fixed for the remainder of
the repayment period.
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| Advantages:
One easy payment, lower monthly payment, payments can be extended
beyond 10 years, reduced interest rate (depending on the loans
consolidated)
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| Disadvantages:
Extended repayment could have you paying for student loans for 30
years, will likely have significantly higher costs over the life of
the loan, may lose eligibility for certain deferments
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| Since
consolidation is complex with many decisions to make, borrowers should
view the Great
Lakes Consolidation Guide, or contact Great Lakes, where the
advantages, disadvantages, and procedure for consolidating can be
thoroughly explained.
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United Methodist Loan
| Available to undergraduate and graduate students registered at least ½ time and
maintaining satisfactory academic progress
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| Student must be an active, full member of a United Methodist Church for at least one
year prior to applications
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| Applications may be obtained through the Office of Financial Aid
or the United Methodist
Church Office of Loans and Scholarships (615) 340-7345
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For more information, please visit the United
Methodist General Board Web Site
The United Methodist Scholarship Application and Pastor
certification form can be downloaded from the Forms page on this site.
Alternative Education Loan
Available through lending institutions to offset cost of education.
| Student may be listed as borrower or as co-borrower.
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| FAFSA filing is not required.
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| Applications may be obtained through Office of Financial Aid.
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| Repayment begins 6 months after graduation or leaving school.
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| Fees vary, depending on whether student has a co-signer.
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| Interest rates are variable and adjusted quarterly
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For
An Alternative Loan Comparison Chart (Click here)
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