Types of Funding

Loans
Loans are borrowed funds that must be repaid with interest. You are automatically considered for federal loan funds by completing your FAFSA.

• Federal Stafford
  Stafford loans are the most common source of student loan funds made available to students seeking a degree or certificate.  Federal Stafford Loans must be repaid with interest.  Stafford Loans offer deferments of principal payments while a student is in school and allow a six-month grace period after leaving school, before repayment begins.  Depending on a student's need as calculated by U.S Department of Education, a Stafford Loan may be offered as a subsidized or unsubsidized loan, or as a combination of the two.
  • Subsidized
    Subsidized Stafford loans are need-based. With a Subsidized Stafford Loan the Department of Education will pay the interest while the student is in school and during the grace and deferment periods.  The fixed interest rate for Undergraduate loans beginning July 1, 2008 is 6.0%.  The fixed interest rate for Graduate loans beginning July 1, 2008 is 6.8%. (Loans disbursed prior to July 1, 2006 have a variable interest rate.)
  • Unsubsidized
    All qualified students, regardless of their income or assets, may take out Unsubsidized Stafford loans.  Students must meet all of the same requirements as those for Subsidized loans, except they do not need to demonstrate financial need.  With an Unsubsidized Stafford Loan the student is responsible for interest that accrues throughout the life of the loan.  A student may elect to defer interest payments while in school; however, this interest will be added to the principal balance of the loan upon repayment.  Therefore, we strongly recommend students pay interest on a quarterly basis to keep their loan debt under control.  The fixed interest rate for all Unsubsidized loans beginning July 1, 2008 is 6.8%. (Loans disbursed prior to July 1, 2006 have a variable interest rate.)
• Federal Parent PLUS Loan

The Parent PLUS Loan has a fixed interest rate of 8.5% for all loans disbursed after July 1, 2006.  (Loans disbursed prior to July 1, 2006 have a variable interest rate.)  Interest will begin to accrue with the first disbursement to the school.  Repayment of Principal and interest will begin sixty days after the loan funds are fully disbursed to the school.  Parents may apply for the Parent PLUS loan directly with a lender by visiting this website.

• Federal Graduate PLUS Loan

The Graduate PLUS loan is a new loan program for graduate students.   Borrowers must pass a credit check and may borrow the full "cost of attendance" minus other forms of financial aid received.  The interest rate is fixed at 8.5% and students may apply for deferments while enrolled at least half-time.  Students may apply for the Grad PLUS loan directly with a lender by visiting this website.

• Private/Alternative Loans
  After you have considered all federal loans, you may also be interested in applying for a private/alternative loan known as an Alternative Educational Loan.  A private/alternative loan is a credit based educational loan.  Terms and conditions are set by each individual lender, so students should shop wisely for their lender.  Students unable to qualify on their own may need to obtain a co-borrower/co-signer.  Students may borrow up to their Cost of Attendance budget, less any other financial aid funds and resources received.  Students may apply for a private loan directly with a lender by visiting this website.