Federal Loans

Federal Direct Loan

The Federal Stafford loan is the most common student loan program for funding undergraduate and graduate education.

Subsidized loans are based on financial need as determined by the Expected Family Contribution on the FAFSA. The federal government pays the interest on the Subsidized Loan amount borrowed while the student remain in school at least half-time.

Important Note: The U. S. Department of Education has temporarily eliminate the interest subsidy on Direct Subsidized Loans during the six month grace period provided to students no longer enrolled on at least a half-time basis. This change will be effective for new Direct Loans disbursed on or after July 1, 2012 and before July 1, 2014.

How to apply:

First-time Borrowers

  1. Complete Free Application for Federal Student Aid (FAFSA) 
  2. Accept the loan online at PAWS
  3. Complete Federal Direct Student Loans Entrance Counseling
  4. Sign Master Promissory Note (MPN) 

Repeat Borrowers

  1. Complete Free Application for Federal Student Aid (FAFSA) 
  2. Accept the loan online at PAWS

Unsubsidized loans are not based on financial need, therefore the federal government does not pay the interest during in-school, grace, and deferment periods. Students may choose to defer interest payments until repayment begins; however, the student is responsible for all interest that has accrued, which will automatically capitalize to the loan principal.

How to apply:

First-time Borrowers

  1. Complete Free Application for Federal Student Aid (FAFSA) 
  2. Accept the loan online at PAWS
  3. Complete Federal Direct Student Loans Entrance Counseling
  4. Sign Master Promissory Note (MPN) 

Repeat Borrowers

  1. Complete Free Application for Federal Student Aid (FAFSA) 
  2. Accept the loan online at PAWS

A Federal PLUS is a loan in the parent’s name for a dependent student enrolled at least half time in a degree-seeking program. It is a non-need based loan with the benefit of having a fixed interest rate. PLUS Loans are available regardless of income or assets, and no collateral is required. While the parent borrower does not have to prove financial need, a credit check is required.

The Office of Student Financial Aid has established the following Plus Loan priority deadlines for applications:

FALL SEMESTER: August 3

SPRING SEMESTER: December 7

First-time Borrowers

  1. Complete Free Application for Federal Student Aid (FAFSA) 
  2. Complete Plus Loan Pre application online at PAWS
  3. Complete Plus Loan Application at www.studentloans.gov
  4. Complete Federal Direct Student Loans Entrance Counseling
  5. Sign Master Promissory Note (MPN)

Repeat Borrowers

  1. Complete Free Application for Federal Student Aid (FAFSA) 
  2. Complete Plus Loan Pre application online at PAWS
  3. Complete Plus Loan Application at www.studentloans.gov

For additional detailed information please go to the Federal Student Aid web site.

A Federal Graduate PLUS is a loan in a graduate or professional student’s name enrolled at least half time in a degree seeking program. The Graduate PLUS Loan carries the same terms and conditions as the Parent PLUS Loan. The borrower should apply for the Subsidized and Unsubsidized Stafford Loan before applying for a Graduate PLUS loan. A credit check is required.

First-time Borrowers

  1. Complete Free Application for Federal Student Aid (FAFSA) 
  2. Complete Grad Plus Loan Pre application online at PAWS
  3. Complete Grad Plus Loan Application at www.studentloans.gov
  4. Complete Federal Direct Student Loans Entrance Counseling
  5. Sign Master Promissory Note (MPN)

Repeat Borrowers

  1. Complete Free Application for Federal Student Aid (FAFSA) 
  2. Complete Grad Plus Pre Loan application online at PAWS 
  3. Complete Grad Plus Loan Application at www.studentloans.gov

For additional detailed information please go to http://studentaid.ed.gov/PORTALSWebApp/students/english/PlusLoansGradProfstudents.jsp

Federal Perkins Loan

A Federal Perkins Loan is a low-interest loan for students who demonstrate the greatest financial need.

First-time Borrowers

  1. Complete Free Application for Federal Student Aid (FAFSA) 
  2. Accept the loan online at PAWS
  3. Upon acceptance of a Federal Perkins Loan, a first-time borrower must complete a Master Promissory Note (MPN).
  4. The student will receive an email within 48 hours from the Office of Student Accounts to complete the E-sign Online MPN at https://www.acs-education.com/CS/Jsp/cpsesign/welcome.jsp.
  5. The student is required to use the FAFSA pin to complete the MPN.
  6.  The student MPN information for the Perkins Loan will be updated within 72 hours of completion of the MPN.

Repeat Borrowers

  1. Complete Free Application for Federal Student Aid (FAFSA) 
  2. Accept the loan online at PAWS

Federal Perkins Student Loan borrowers who are leaving school, dropping below half-time enrollment, or graduating must complete exit counseling. Perkins Exit counseling provides you with information about repayment and your rights and responsibilities.