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Federal &
Alternative Loan Information
Undergraduate FFELP Student
Loans
The College of Saint Rose is a member of the Federal Family Education
Loan program. There are two types of student loans, Federal
Stafford Subsidized Loan and a Federal
Stafford Unsubsidized Loan. The Subsidized Stafford Loan
is non-interest bearing while you attend college and remain at or
above six credits every semester. The Unsubsidized Stafford loan
gains interest while you attend college and you have the option
of paying that interest as you go or paying the interest when you
graduate. Currently the interest rates for the 2003-2004 academic
year Stafford loans are 2.82% while in school. The table below shows
borrowing amounts and credits that need to be earned to be eligible
for the amounts. The process to receive FFELP loans is very simple.
You first need to sign and return your award letter indicating that
you want to accept your student loan. The next step is to sign and
return your master promissory note to New York State Higher Education
Services Corporation indicating which bank you want to hold your
student loan. The final step is to complete an entrance interview
that is required by the Federal government before any loan money
can pay to your account. It's just three easy steps. And if you
have already completed a master promissory note and an entrance
interview, then you only need to return your signed award letter
indicating you would like to accept your student loan.
| Credits Earned |
Eligible to Borrow |
Loan Level |
| 0-29 credits |
$2,625 |
Freshman |
| 30-59 credits |
$3,500 |
Sophomore |
| 60 credits or more |
$5,500 |
Junior/Senior |
How do I apply for student loans?
If you have already filed your FAFSA form, you have already applied
for a FFELP loan. If you have not filed your FAFSA, and you would
like student loans, you should apply immediately at www.fafsa.ed.gov
What is the Loan process?
The loan process is simple. After you have received your Award Letter
from our Office, and you would like to accept your loan(s), simply
sign the award letter and accept the loan(s). After we receive the
Award Letter with the acceptance, we generate an electronic application
and transmit that to New York State Higher Education Services Corporation
(NYS HESC). HESC then mails a master promissory note to you that
you complete and sign and mail back to HESC. There are also instructions
in how to complete the MPN online in the packet from HESC. Once
HESC receives the MPN, they guarantee the loan and inform us that
the loan application is complete. Then the lender you chose will
send a payment (either electronic or by mail) to the Bursars Office
and the payment will be applied to your account. Depending on your
balance at that time, you may receive a refund or owe additional
money. However, the loan money may not be applied to your account
once the Bursars Office receives it if you have not completed an
entrance interview. This is required by the Federal government and
you can click here, Mapping
Your Future.org and follow the directions to mapping your future
to complete the entrance interview online. You can also download
the form and mail back to the Financial Aid Office. Once the
entrance interview is complete, and the College has received the
funds, payments can be applied to your account.
Please note, if you are a returning student
who has already completed an MPN and entrance interview, you do
not have to complete them again. All you need to do is accept the
loan(s) on the Award Letter and return it to our Office.
What is an Exit Interview?
If you have graduated or dropped below six credits for any semester
and have borrowed student loans in the previous semester(s), then
you are required by the Federal government to complete an exit interview.
You can complete one online at Mapping
Your Future.org and follow the directions to mapping your future
or you can download
the form.
What is the loan limit?
There are two loan limits students have to be concerned with. The
first is explained above and it deals with borrowing on a academic
basis. However there is also a cumulative limit that exists. An
undergraduate student cannot borrow more than $46,000 with no more
than $23,000 in Subsidized loan money. Once the limit of $46,000
has been met, you are no longer eligible to borrow from the Federal
Stafford Loan Program until you become a graduate student.
What is an Origination fee?
The amount is 3% and it is taken from the gross amount of each loan
disbursement. For example, if you have a loan for $2,750 for the
Fall 2004 semester, the actual loan amount that pays to your account
is $2,667.50. The fee is charged by the Federal Government.
FFELP Plus Loan Information
The Plus Loan for the FFEL program exists to allow parents to borrow
on behalf of their dependent undergraduate children who are enrolled
at least half-time. Parent borrowers are responsible for the interest
that accrues on PLUS loans throughout the life of the loan. For
the 2003-2004 academic year, the PLUS loan interest rate is 4.22%.
How PLUS Loans work!
You can download
the FFELP PLUS Loan Option Forms or get a copy from our Office.
All you have to do is fill out the form, (make sure you select a
lender and lender code) sign it, and submit it to our Office. Once
we receive the option form, we generate an electronic application
that is transmitted to NYSHESC (New York State Higher Education
Services Corporation www.hesc.com)
for processing. HESC then mails the parent a promissory note that
needs to be completed and mailed to the lender selected by the parent.
The lender processes the application and then transmits either an
approval or denial to HESC. HESC then guarantees an approved loan.
This can take up to three weeks.
When the PLUS loan pays.
Funds are disbursed by term. There is usually a fall and a spring
semester disbursement schedule.
When do I begin to pay my loans?
Repayment begins on PLUS loans 60 days after the second disbursement.
Usually that means 60 days after the spring disbursement is made.
You can call your lender for more information about your payment
options.
Alternative Loans
Here is some brief information about alternative loans, how they
are processed, and the effect they have on your financial aid package.
Alternative loans exist as an additional means to pay for your
college education. These loans are often used as a supplement to
a student's existing financial aid package. However, you do not
need to have received financial aid from the College in order to
apply for an alternative loan.
What are Alternative Loans?
An alternative loan is a loan from a bank or credit union that is
a personal loan used for educational expenses. You can apply for
an alternative loan through any bank of your choice and the application
can be completed online or by paper. When applying for an alternative
loan, it is important to make sure the alternative loan is an educational
loan and not a personal loan.
How
much can I Borrow?
You can request any amount that you choose up to the difference
between other financial aid you have, and the cost of attendance
established by the Financial Aid Office. If you are considering
borrowing an alternative loan and you are unsure about the amount
to borrow, please contact our Office. We can tell you the maximum
amount that you can borrow. You can also log into the My
Account/Class Registration where
you can view your financial aid and subtract your total financial
aid received from your total budget. This will give you the maximum
dollar amount you would be eligible to borrow.
How long does it take for an alternative
loan to pay?
Typically it takes about two to three weeks for an alternative loan
to actually pay to your student account.
Where do I apply for alternative
loans?
You can apply for an alternative loan either via the web or by paper.
We do have paper applications in our Office that we are happy to
distribute. Below are links to some alternative loans that students
have used in the past. Simply click on the link of your choice and
follow the instructions.
How does the Financial Aid Office
process alternative loans?
Most of our alternative loan certification is done online. Your
Financial Aid Counselor will certify your alternative loan at the
request of a lender or student by checking Web sites for alternative
loan applications:
http://www.bankofamerica.com/studentloans
https://www.campusdoor.com/loan_app/qualify_form.jhtml
http://www.citizensbank.com/pf/studentloans/applications/default.aspx
http://www.citiassist.com/
http://us.hsbc.com/personal/student/teri.asp
http://www.key.com/alternative
http://www.nelliemae.com/loancenter/studentexcel_details.html
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