The links below include short videos that provide information about loans that will be helpful to you:
A part of your financial aid award may be a loan from the Federal Direct Student Loan Program. A loan must be repaid. Therefore, when deciding whether to borrow, you should examine your need for assistance and your future ability to repay. Generally, you will have from 10 to 25 years to repay your loan, depending on the repayment plan you choose. Your monthly payment amount will be based on how much you borrowed and how long you take to repay. Direct Loans have a fixed interest rate that differs depending on the loan type. The terms and conditions of all loans are explained in the Master Promissory Note which all borrowers must complete and sign. Instructions for completing the Master Promissory Note are included in the Financial Aid Award Guide 2013-2014.
Graduate Students should go to Financial Aid for Graduate Students for information about loans and other aid.
Federal Direct Student Loans for Undergraduate Students
There are two types of Federal Direct Student Loans for Undergraduates. Both loans require a student be enrolled at least half-time (at least 6 credits per semester). Direct Subsidized Student Loans are for students with financial need, as determined by federal regulations. No interest is charged while you are in school at least half-time, for the first six months after you leave school (referred to as a grace period)* and during a period of deferment (a postponement of loan payments). Direct Unsubsidized Student Loans are not based on financial need; interest is charged during all periods.
For more complete information on the Direct Loan Program, visit the federal web site, http://www.direct.ed.gov. According to federal regulations, the maximum you can borrow each year is based on your grade level and dependency status as indicated on the chart below
|Level||Undergraduate Dependent Student||Undergraduate Independent Student|
|Freshman Undergraduate (0 to 26.5 credit hours)||$5,500 (maximum $3,500 subsidized)||$9,500 (maximum $3,500 subsidized)|
|Sophomore Undergraduate (27 to 54.5 credit hours)||$6,500 (maximum $4,500 subsidized)||$10,500 (maximum $4,500 subsidized)|
|Junior/Senior undergraduate (55+ credit hours)||$7,500 (maximum $5,500 subsidized)||$12,500 (maximum $5,500 subsidized)|
|Maximum Total Debt from Subsidized and Unsubsidized Loans when you graduate||$31,000 (maximum $23,000 subsidized)||$57,500 (maximum $23,000 subsidized)|
*Note: If you receive a Direct Subsidized Loan that is first disbursed between July 1, 2012 and July 1, 2014, you will be responsible for paying any interest that accrues during your grace period. The interest will be added to your principal balance.
The Direct Loan Program charges a loan fee of 1% of the total amount of borrowed principal. The 1% fee is deducted from your loan funds prior to the funds being posted to your Stevenson University account. The loan amount you actually receive will be less than the amount you have to repay.
Interest Rates for Undergraduate Borrowers
Effective for loans made for periods of enrollment beginning on or after July 1, 2012, both Subsidized and Unsubsidized Direct Student Loans will have a fixed interest rate of 6.8%.
To make certain that student loan borrowers are given the most up-to-date information on student loans, all borrowers are required to attend on line entrance and exit counseling sessions. www.studentloans.gov.
All student loan borrowers are required to complete exit counseling before graduating or withdrawing from Stevenson University or ceasing to enroll at least half-time. The online session covers all subjects that were covered in the entrance counseling, with an emphasis on repayment strategies. If you borrowed under the Federal Direct Loan Program (either a subsidized Direct Loan or an unsubsidized Direct Loan, or both) please complete the Federal Student Loan Exit Counseling at www.studentloans.gov.
For more complete information on the Direct Loan Program, visit the federal web site, www.direct.ed.gov.
Federal Direct PLUS (Parent) Loans for Undergraduates
Stevenson University participates in the Federal Direct PLUS Loan Program. The U.S. Department of Education is the lender for the Direct PLUS Loan Program rather than a bank or other financial institution. Direct PLUS Loans are for the biological or adoptive parent of dependent students. The stepparents of dependent students are also eligible if their financial information is included on the Free Application for Federal Student Aid (FAFSA). The U.S. Department of Education requires that all students complete the FAFSA.
The student must be enrolled at least half-time status (6 credits or more per semester).
Credit Worthiness Standards
Annual Loan Limits
Cost of attendance less other aid.
The Direct PLUS Loan Program charges a loan fee of 4% of the total amount borrowed. The 4% fee is deducted from your loan funds prior to the funds being posted to your student's Stevenson University account.
The interest rate is fixed at 7.9%. Interest starts to accrue the day the loan funds are disbursed.
FSA Student Loan Ombudsman
Students or Parents receiving Direct Student Loans or Plus Loans should be aware that if they are in a dispute about a federal student loan, they can contact the Federal Student Aid Ombudsman Group as a last resort.
If you’ve completed the steps to resolve your loan dispute and you still are not satisfied, you may need to contact the Federal Student Aid (FSA) Ombudsman Group of the U.S. Department of Education (ED). The Ombudsman Group is a neutral, informal, and confidential resource to help resolve disputes about your federal student loans.
Contact the Ombudsman Group as a last resort. Make every effort to resolve your student loan problems before contacting the Ombudsman Group.
The FSA Student Loan Ombudsman Group may be contacted via their website, or one of the following alternate ways:
U.S. Department of Education
FSA Ombudsman Group
830 First Street, N.E., Mail Stop 5144
Washington, D.C. 20202-5144
Alternative/Private Education Loan
Alternative Student Loans, also commonly referred to as Private Education Loans, are consumer loans offered by banks, credit unions and other private lenders to cover the cost of college not covered by financial aid.
Before applying for an Alternative Student Loan, the student and parent of a dependent student should compare the terms of the loan with loan assistance available through the Federal Direct Student Loan and Federal Direct Parent PLUS Loan Programs. Most Alternative Student Loan Programs are not competitive with the Federal Loan Programs and are only intended to provide supplemental education financing after all federal options are exhausted.
If you live in the following states, you should also review information about your state's Private Education Loan Programs: Alaska, Connecticut, Iowa, Maine, Massachusetts, Minnesota, Montana, New Jersey, New York, North Dakota, Rhode Island, South Dakota South Carolina, Texas, Vermont, Wisconsin and Wyoming.
Stevenson University does not provide a Preferred Alternative Student Loan Lender List, but we are able to provide you with a list of banks and credit unions that have made loans to our students in the past 4 years. Please be advised that Stevenson University does not recommend, promote or endorse the loan products of the lenders on these lists. You are free to borrow from any lender of your choice.
The banks, credit unions and lenders that have made loans to our students in the past 5 years are as follows:
|Lender Name||Phone Number|
|Baxter Federal CU||1-877-654-5258|
|Comstar Federal CU||1-877-654-5258|
|Digital Federal CU||1-877-654-5258|
|Discover Student Loans||1-877-728-3030|
|Everence Federal CU||1-888-549-9050|
|Fynanz Student Loans||1-888-549-9050|
|Heritage Valley FCU||1-877-654-5258|
|Member 1st CU||1-877-654-5258|
|Mid-Atlantic Federal CU||1-888-654-5258|
|NASA Federal CU||1-877-654-5258|
|Pentagon Federal CU||1-800-247-5626|
|Sun Coast FCU||1-877-654-5258|
|Sun Trust Bank||1-866-232-3889|
|Tobyhanna Federal CU||1-877-654-5258|
|Wells Fargo Bank||1-800-658-3567|
|York Education FCU||1-877-654-5258|
(Note that sometimes the phone numbers listed here do change after this is published. If the number above does not work you may need to check with the lender or try the lender's web site for more recent contact information.)
Stevenson University provides Alternative Student Loan Counseling through the FASTChoice website. The FASTChoice website is powered by Great Lakes Student Loan Services and will provide you with general information about loan types, loan terms and conditions and borrower responsibilities.
For our larger volume lenders, you will be able to use the FASTChoice comparison tool to view individual bank loan details, including eligibility requirements, interest rates, loan limits, and borrower benefits. Since most credit unions have specific membership requirements, we would suggest that you contact them individually to determine their membership requirements.
It is very important that you pay close attention to the information you receive about a private loan and the repayment of the loan and that you retain the information you receive. It will apply when you have to begin repayment of your loans. Private loans may not have the same flexibility and options available with Direct Loans. You do not want unwelcome surprises and issues when you begin repayment.
The Alternative Student Loan industry has experienced a number of regulatory changes that could add additional time to the approval process. If you are planning to use an Alternative Student Loan to pay your charges, please allow sufficient processing time. Most lenders will agree that using a credit worthy cosigner may speed up the application process, help lower the interest rate and increase the chance of approval.
When the lender has determined whether the student meets the approval criteria, the lender will contact Stevenson for the school certification. After the certification has been provided, the lender will issue a disclosure statement detailing the loan agreement. If you request to borrow an amount that exceeds eligibility, Stevenson will reduce the requested amount to comply with federal guidelines.
The Higher Education Opportunity Act was signed into law on August 18, 2008. The Act requires all colleges to adopt a College Loan Code of Conduct. Stevenson University has adopted the College Loan Code of Conduct proposed by the Attorney General of the State of Maryland.