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University employees who may have
influence in the loan process or work with the
loan process are required to sign a
code of conduct.
It is important to USF to help
students limit their need to borrow loans.
Please visit
Borrowsmart to be able to determine an
affordable monthly payment that will reduce your
total borrowing before applying for loans..
Federal
Subsidized and Unsubsidized Stafford Loans
- There are two types of Federal Stafford Loan,
subsidized and unsubsidized. Students must
demonstrate financial need to qualify for a
subsidized loan. The federal government
will pay (subsidize) the interest that accrues
on the loan while the student is enrolled at
least half time and during the grace period.
Unsubsidized loans are not need-based and the
student is responsible for paying the interest
that accrues until the loan is repaid in full.
The student can opt to pay the interest while in
school or allow it to be capitalized (add to the
principal of the loan) when he or she goes into
repayment. Students must be enrolled at
least half time to be eligible to borrow through
this program and have a valid FAFSA on file.
Loans that a
student may be eligible for will be made available
in the student's award notification packet.
The student will then be required to complete a
Master Promissory Note
(MPN)
and
entrance counseling.
The MPN is only required to be completed once
and is good for 10 years while attending USF.
After the MPN and entrance counseling are completed, students will
automatically have loan funds they are eligible
for disbursed to their accounts unless they notify the Office of Financial
Aid in writing that they wish to decline all or
a portion of the loan they are eligible for on
their Award Notification.
Students are not required to make
payments on Stafford Loans while they are
enrolled at least half-time. Students have a six month grace
period prior to entering repayment on
Federal Stafford loans. The grace period begins
when the student graduates, drops below six hours
or ceases to be enrolled. The government
pays the interest on Subsidized loans during
this period of time. Unsubsidized loans
will begin accruing interest upon disbursement.
The student
can opt to pay the interest while in school or allow
it to be
capitalized (added to the principle of the loan)
when they enter repayment.
Loan limits for
Federal Subsidized and Unsubsidized Stafford Loans
are as follows:
|
Student
Completed Credit Hours (Undergraduate) |
Maximum
Yearly
Dependent Students |
| |
Subsidized Maximum |
Unsubsidized Maximum |
Total Annual Stafford Limit |
|
1-31
completed |
$3,500 |
$
2,000 |
$
5,500 |
|
32-63
completed |
$4,500 |
$
2,000 |
$
6,500 |
|
64+
completed |
$5,500 |
$ 2,000 |
$
7,500 |
|
Student
Completed Credit Hours (Undergraduate) |
Maximum
Yearly
Independent Students |
| |
Subsidized Maximum |
Unsubsidized Maximum |
Total Annual Stafford Limit |
|
1-31
completed |
$
3,500 |
$
6,000 |
$
9,500 |
|
32-63
completed |
$
4,500 |
$
6,000 |
$10,500 |
|
64+
completed |
$
5,500 |
$
7,000 |
$12,500 |
|
Graduate Students |
Maximum
Yearly
Independent Students |
| |
Subsidized Maximum |
Unsubsidized Maximum |
Total Annual Stafford Limit |
|
Graduate Students |
$
8,500 |
$12,000 |
$20,500 |
| |
Stafford Loans also have an undergraduate
aggregate limit of $31,000 (no more than $23,000
of which may be Subsidized) for "dependent"
students. "Independent" students have an
undergraduate aggregate limit of $57,500 (no
more than $23,000 of which may be Subsidized)
for Stafford loan borrowing. Graduate students
have an aggregate limit of $138,500. Loan
amounts are based on a student's academic grade
level.
Stafford Loan Interest Rates are
as follows:
|
New loan disbursed on or after… |
Academic Year |
Undergraduate Subsidized |
All Unsubsidized and Graduate Subsidized |
|
July 1, 2008 |
2008-2009 |
6.0% |
6.8% |
|
July 1, 2009 |
2009-2010 |
5.6% |
6.8% |
|
July 1, 2010 |
2010-2011 |
4.5% |
6.8% |
|
July 1, 2011 |
2011-2012 |
3.4% |
6.8% |
|
July 1, 2012 |
2012-2013 |
6.8% |
6.8% |
Federal Parent
PLUS Loan - This loan program is directed to natural,
adoptive, and in some cases step-parents of
dependent undergraduate students. Eligibility
is based on credit, not income or need. Parents
may borrow up to the cost of attendance minus
other financial aid for each student enrolled at
least half-time. Repayment of the Parent PLUS
loan begins between 30 to 60 days after the loan is fully
disbursed; however, deferment of payments while
the student is enrolled may be requested by
contacting the lender. The interest rate is fixed at 8.50%
throughout the life of the loan for loans
disbursed after July 1, 2006. Please see
information below for the application process.*
Federal Graduate
PLUS Loan
– This loan program is for graduate students. The
graduate student borrower must be a U.S. citizen or
permanent resident and must be enrolled at least
half-time. Eligibility is based on credit. Students
may borrow up to the cost of attendance, minus any other
aid received. Applicants must complete a FAFSA and must
have applied for their maximum annual loan eligibility
through the Federal Subsidized and Unsubsidized Stafford
Loan Program before applying for the Graduate PLUS
loan. The loan has a fixed interest rate of 8.50%.
Students may qualify for in-school deferment, though
interest will accrue after full disbursement of the
loan. Repayment will begin upon graduation. Please see
information below for the application process.*
*Application
Process for Federal Parent PLUS Loan and Graduate PLUS
Loan
-
The University of Saint Francis has partnered with
several servicers within the PLUS loan program so that
you can choose the borrower benefits that best fit your
needs. To view your options and apply.
The first time a borrower utilizes the PLUS loan they
must complete a Master Promissory Note (MPN). The MPN
is good for 10 years; therefore future loans for the
same student will not require additional paperwork –
only a credit check is needed. To electronically sign
your Master Promissory Note for the Federal PLUS loan,
select a lender and apply through the appropriate link
above. To complete the credit check for
a subsequent PLUS loan
call
American Student Assistance (ASA) at 1-800-999-9080 x
5015.
Alternative Private
Student Loans - These
private credit based loans provide students with an
additional way to help cover the cost of education.
Interest rates are based on credit.
Federal
Perkins Loans
- These need-based
loans have a 5% interest rate and an aggregate
limit of $27,500 for bachelor degree seeking
students. Repayment begins nine months from the
date the student graduates, leaves school or drops
below half-time enrollment. Funding is limited.
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