FINANCIAL AID RESOURCES

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Federal Direct Stafford Loan Application & Master Promissory Note

Federal Direct Parent Loan (PLUS) Application Master Promissory Note

Students-Loan Entrance/Exit Loan Counseling

Your Loan History (Federal Student Loans)

Loans provide an opportunity for families to spread out college costs over a repayment period. Most student loans provide an opportunity for deferment of principal payment until after graduation or until the student ceases to be enrolled at least half time in a degree-seeking program. Most parent loans require payment while the student is in college.
There are a number of loan programs which can help you meet your expenses at Florida Memorial University.  Education loans come in three major categories: student loans (for example, the Federal Direct Stafford Loan), parent loans (such as the Federal Direct Parent Loan), and private student loans (also called Alternative Student Loans).  To begin the process, students must complete the Free Application for Federal Student Aid (FAFSA) application, which determines the eligibility for student loans. The student is always the applicant/borrower, and annual maximum loan amounts apply.

Federal Direct Stafford Loans
The main federal loan program for students at Florida Memorial University is called the Federal Direct Stafford Loan and has two variations.  

Federal Direct Stafford Application & Master Promissory Note
• Federal Direct Student Loan Program (FDSLP) loans administered by the university are provided by the US government directly to students and their parents.

There are two types of Stafford Loans:

Stafford Subsidized Loan
This is a low-interest loan made to students by the federal government directly. Eligibility for a "subsidized" Federal Stafford Loan is based on financial need as determined by a federally mandated formula. "Subsidized" means that the federal government will pay the interest on the loan while a student is in school and during specified deferments.
Eligible freshmen may borrow up to $3,500 per year, sophomores up to 4,500; and juniors and seniors may borrow up to $5,500 per year. The maximum allowable undergraduate indebtedness over five years is $23,000.
Stafford Loans have a fixed interest rate of 5.6% for loans with a first disbursement on or after July 1, 2009.
Federal Stafford Loans are disbursed in two installments: one in the fall semester and one in the spring semester, after enrollment for each semester. When the loan is disbursed, federally required origination fee (which is used to offset administrative costs of the program) is DEDUCTED from the loan by the government or lender.  For example, a loan of $3,500 is disbursed in two installments of $1,742 each, totaling $3,484 after the fees are deducted.
Repayment begins six months after the borrower's last enrollment on at least a half-time basis.

Stafford Unsubsidized Loan
The Higher Education Amendments of 1992 created a new program offering unsubsidized Federal Stafford Loans to students who do not qualify in whole or in part for "subsidized" Federal Stafford Loans.
A Federal Stafford Unsubsidized Loan is a low interest loan made to students by the Federal government "directly". Under this program, the student borrower (and not the Federal government) pays the interest that accrues on the loan while the student is in school. Eligibility for a Federal Stafford Unsubsidized loan is determined by the Financial Aid Office using a federally mandated formula.
Eligible dependent freshmen may borrow up to $3,500 per year, sophomores up to $4,500; juniors and seniors may borrow up to $5,500 per year, less any amount of subsidized Stafford Loan eligibility. A student who shows need for only part of an annual subsidized Federal Direct/Stafford Loan may borrow the remainder through an unsubsidized loan. The maximum allowable loan undergraduate indebtedness is $23,000. 
Stafford Loans have a fixed interest rate of 6.8% for loans with a first disbursement after July 1, 2009.
Federal Stafford Loans are disbursed in two installments: one in the fall semester and one in the spring semester after enrollment for each semester. When the loan is disbursed, federally required loan fees (used to offset administrative costs of the program) are DEDUCTED from the loan by the government or lender.  For example, a loan of $3,500 is disbursed in two installments of $1,742 each, totaling $3,484 after the fees are deducted.

Federal Direct Parent Loan Program (PLUS)
Federal Parent PLUS Loan Program
The Federal PLUS Loan is a federally insured loan made by private lenders or "directly" by the federal government. Repayment of principal and interest begins 60 days after the loan proceeds have been disbursed. Eligibility for this loan is based on credit-worthiness as determined by the lender.
The interest rate for the Federal PLUS Loan varies annually (a new rate is effective each July 1), and the rate is based on the 52-week U. S. Treasury Bill rate plus 3.10% not to exceed 9%.
Federal PLUS Loans are disbursed to the college in two installments: one in the fall semester and one in the spring semester, after enrollment for each semester. When the loan is disbursed, federally required loan fees of 4% (used to offset administrative costs of the program) are deducted from the loan by the government or lender. Parents of dependent students may borrow up to the cost of education minus any financial aid. These loans, in combination with all other aid (including loans) may not exceed the educational cost. Financial need is not an eligibility factor.

Entrance/Exit Loan Counseling
• Taking on a loan is a huge responsibility. Therefore it is pertinent that students must understand their rights and responsibilities regarding the repayment of these types of loans.  To accomplish this goal all students must complete Loan Entrance Counseling prior to the first loan disbursement. Upon graduation, withdrawal, or enrollment of less than half-time, all students are required to complete Loan Exit Counseling.

Sallie Mae Signature Loan
The Signature Student Loan is a private, credit-based loan funded by Sallie Mae Bank or a Sallie Mae lender partner. After taking advantage of free money (like scholarships, grants) and low cost federal loans, you may still need money to help you pay for school. That's when you should consider Sallie Mae's private Signature Student Loan.

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Your Loan History