91¿ì²¥

WILLIAM D. FORD DIRECT LOANS

91¿ì²¥Ìýparticipates onlyÌýinÌýthe William D. Ford Direct Loan Program. MVSU no longer participates in the Federal Perkins Loan Program.Ìý Student and parent borrowersÌýreceive funding for their federal student loans directly from the U.S. Department of Education rather than from private banks and other lending institutions.

• The William D. Ford Federal Direct Loan (Direct Loan) Program is the largest federal student loan program. Under this program, the U.S. Department of Education is your lender. There are four types of Direct Loans available:ÌýÌýÌýÌý
  • are loans made to eligible undergraduate students who demonstrate financial need to help cover the costs of higher education at a college or career school.Ìý
  • are loans made to eligible undergraduate, graduate, and professional students, but in this case, the student does not have to demonstrate financial need to be eligible for the loan.
  • are loans made to graduate or professional students and parents of dependent undergraduate students to help pay for education expenses not covered by other financial aid.
  • allow you to combine all of your eligible federal student loans into a single loan with a single loan servicer.

ÌýTo sign your Direct Loan Master Promissory Note and complete Entrance Counseling, go to . You can accept your student loan award(s) via your BANNER Web account at.

Additional Information

Low interest loans through this program are guaranteed and provided by the federal government. These loans are repaid to direct loan servicing. Repayment is between 10 and 30 years depending on the amount borrowed and the type of repayment plan selected.

Federal Subsidized Stafford Loan

Direct Subsidized Loans are available to undergraduate students with financial need.Ìý This is a low interest loan guaranteed by the federal government that must be repaid regardless if you received a degree.

• The amount you can borrow is determined by the annual amount you are eligible to receive based on your classification.
• The U.S. Department of Education pays the interest on a Direct Subsidized Loan
  • while you’re in school at least half-time,
  • for the first six months after you leave school (referred to as a grace period*) before repayment begins, and
  • during a period of deferment (a postponement of loan payments).
  • Repayment is between 10 and 30 years depending on the amount borrowed and the chosen repayment plan.Ìý

Federal Unsubsidized Stafford Loan

Direct Unsubsidized Loans are available to undergraduate and graduate students; there is no requirement to demonstrate financial need.

• The amount you can borrow is determined by the cost of attendanceÌýandÌýother financial aidÌýreceived.
• The borrower(the student)Ìýis responsible for paying the accrued interest on a Direct Unsubsidized Loan.Ìý
• If you choose not to pay the interest while you are in school and during grace periods and deferment or forbearance periods, interest will accrue (accumulate) and be capitalized (the interest isÌýadded to the principal amount of amount borrowed).

Below is a chart showing the loan limits for students (dependent, independent and graduate)

Federal Direct Loan Application Process

In order for your loan application to be processed you must have received counseling from the Office of Financial Aid and completed the following steps:

Step 1: Complete your Direct Loan Master Promissory Note (MPN) at .

Step 2: Complete Entrance Counseling at .

Step 3: (Only for Students who have Graduated or Withdrawn from School) Complete Exit Counseling at if you withdraw, graduate,Ìýor stop going to school and returning to 91¿ì²¥.

91¿ì²¥ LOAN CERTIFICATION POLICY

Minimum Requirements for applying and maintaining eligibilityÌýfor a student loan:

• Be enrolledÌýat least half-timeÌýin a degree seeking program of study
• Successfully complete at least 6 hours for each term of loan disbursementÌý
• Meet the current 91¿ì²¥ Satisfactory Academic Progress PolicyÌý(unless waived as a result of an appeal for extenuating circumstances)

Federal Direct PLUS Loan

This is a loan for parents of dependent students. The maximum loan amount is the difference between the student’s cost of attendance and other aid the student receives. PLUS loans are the financial responsibility of the parent, not the student. Interest begins to accrue on the day of the first disbursement and repayment begins within 60 days after the last disbursement on the loan.

Federal Direct PLUS Loan Application Process

In order for your loan application to be processed you must have received counseling from the Office of Financial Aid and completed the following steps:

Step 1: Complete the Parent PLUS Loan Application Form and submit it to the office of financial aid.

Step 2: Complete the Parent PLUS Loan Application FormÌýthrough Direct Loans by visiting:

Step 3: The Students parent must complete his/her Direct PLUS Loan Master Promissory Note (MPN) at

Federal Direct GRAD PLUS Loan

This is a supplemental loan made available to graduate or professional students who need to borrow more than the maximum subsidized and unsubsidized loan amounts to meet educational costs that are not covered by other financial aid.Ìý Students interested in this loan must complete the FAFSA and must be enrolled in at least half time in a graduate or professional program.ÌýThe interest rate for the PLUS loan is fixed at 7.9% and a credit check is required. ÌýThere is no grace period for the Graduate PLUS loan.

Federal Direct GRAD PLUS Loan Application Process

In order for your loan application to be processed you must have received counseling from the Office of Financial Aid and completed the following steps:

Step 1: Complete the GRAD PLUS Loan Application Form and submit it to the office of financial aid.

Step 2:

Complete theÌýGRAD PLUS Loan Application FormÌýthrough Direct Loans by visiting:

Step 3: The students must complete his/her Direct GRAD PLUS Loan Master Promissory Note (MPN) at Ìý

Entrance Counseling

U.S. Department of Education regulations require all first-time borrowers of Federal Stafford (Subsidized and Unsubsidized), Parent PLUS and /or GRAD PLUS Loans to complete an entrance interview. The Office of Financial Aid cannot process a student’s loan until counseling has been completed. Access the entrance counseling online at­­­­­­­­­­­­­­­­­­ https:Ìý

Exit Counseling

U.S. Department of Education regulations require Federal Stafford (Subsidized and Unsubsidized), Parent PLUS and /or GRAD PLUS Loans recipients to complete an exit interview when graduating from or when leaving 91¿ì²¥. Access the exit counseling online at https:Ìý

NSLDS for Students

The is the U.S. Department of Education’s central database for student aid. It receives data from schools, agencies that guaranty loans, the Direct Loan program, the Pell Grant program, and other U.S. Department of Education programs. NSLDS provides a centralized, integrated view of Title IV loans and Pell grants that are traced through their entire cycle: from aid approval through closure. Access this information online at

ÌýPrivate/Alternative Loans

Private/ Alternative Loans are available to students and our institution does certify these type of loans. However, the institution will only certify these type of loans up to need or cost of attendance if eligible.ÌýHowever, the institution leaves the decision up to the student and/or parents to choose his/her own lender to assist them with funding their education.ÌýÌýFor Information on Private Student Loans - orÌý