Federal Perkins Loans (PERK)
These are low-interest loans for undergraduate and graduate students. The interest rate is fixed at five percent throughout the life of the loan. To qualify, you must have exceptional financial need. For undergraduate programs, you can borrow up to $4,000 per year, and for graduate programs, up to $6,000 per year. Perkins Loans are made through the WSU Financial Aid and Scholarship Office. The loan is made with government funds, but the university is the lender and repayment is made to WSU. The amount of your monthly payment will depend on the size of your debt and the length of your repayment period. You have nine months after you graduate, leave school, or drop below half-time status before you must begin repayment. This is a loan and must be repaid.
Direct Subsidized Loan (DLSF)
This loan is awarded on the basis of financial need. The funding for this loan comes from the US Department of Education. The borrower will be charged interest on disbursements made on or after July 1, 2013 for the period before you begin repayment or during authorized periods of deferment. The federal government does not pay the interest during these periods. For undergraduate students, the current rate for Direct Subsidized Stafford loans is 6.8 percent. You have six months after you graduate, leave school, or drop below half-time status before you must begin repayment. This is a loan and must be repaid.
Direct Unsubsidized Loan (DLUS)
Eligibility is determined based on cost of attendance minus other estimated financial assistance. Requests for this loan type can be made by submitting a completed Student Loan Supplement Form. You will be responsible for interest payments during the life of the loan. The funding for this loan also comes from the US Department of Education. For undergraduate students the current rate for unsubsidized stafford loans is 6.8 percent. You have six months after you graduate, leave school, or drop below half-time status before you must begin repayment. This is a loan and must be repaid.
Graduate or Professional PLUS loans (DLGP)
Graduate or professional students are eligible to borrow under the PLUS loan program up to their cost of attendance minus other estimated financial assistance. The funding for thi sloan type comes from the US Department of Education. The terms and conditions include a determination that the applicant does not have an adverse credit history, repayment begins on the date of the last disbursement of the loan and a fixed interest rate of 8.5 percent. All applicants are required to complete the Free Application for Federal Student Aid (FAFSA) for eligibility determination. Requests for this loan type can be made by submitting a completed Student Loan Supplement Form. Graduate PLUS loans fixed rate is 8.5 percent. This is a loan and must be repaid.
Direct Parent Loan for Undergraduate Students (DLPL)
This loan is available to the parents of dependent undergraduate students. Parents who do not have an adverse credit history can borrow up to the cost of attendance less any financial aid per college student. Students of parent borrowers must complete the FAFSA and be awarded before PLUS eligibility can be determined. Parents who are requesting this loan type must submit a completed PLUS Loan Request Form. PLUS loans fixed rate is 8.5 percent. This is a loan and must be repaid.
Please Note: Information regarding loan funding received by the student or parent while at Weber State University, will be submitted to the National Student Loan Data System (NSLDS) and will be accessible by state agencies and other institutions determined to be authorized users of the data system. This pertains to the loan programs listed above this message.
Sample Loan Repayment Plan
Based on a $3,500 loan with 6.8% interest.
|Repayment Plan||Terms in Months||Initial Mo. Payment||Total Payment|
Click on Repayment Plans and Calculators for further information.
WSU Financial Aid strongly encourages ALL students who need tuition assistance or who are requesting an alternative loan apply first for federal student aid. To apply for federal student aid, complete a FAFSA at www.fafsa.ed.gov.
Alternative loans are direct loans from participating banks for the purpose of helping supplement educational costs not covered by federal or state financial aid programs. Alternative loans allow you to borrow additional money if you have reached your stafford loan limit or if you no longer qualify for federal financial aid. These loans are not guaranteed by the federal government, and the interest rates are not capped. Interest rates are variable and could be quite high. Even if interest rates appear low, you could be paying high front-end and back-end fees. Weber State University does not suggest or recommend specific alternative loan programs or lending institutions and encourages that all interested students perform their own thorough research on the various alternative loan options before borrowing. These are loans and must be repaid.
Before considering an alternative loan, make sure all government and institutional financial resources are exhausted. Ask lenders questions, such as the following:
- What is your lowest interest rate and fee combination and how can I get it?
- Is the rate only for a limited period, or is it for the life of the loan?
- Is there a limit on how high the variable rate can go?
- How often is the interest rate adjusted, and how is it determined?
- What interest rate can I get on a fixed-rate loan?
- How long will I be repaying the loan?
- Is there a penalty for paying it off early?
- What proportion of your borrowers get the discounts you offer?
- Are your discounts guaranteed, or are they subject to change later?
Remember A.B.C. Always Borrow Conservatively.
Code of Conduct - Weber State University explicitly prohibits conflicts of interests with the responsibilities of the insitution in respect to private educational loans, specifically: revenue-sharing; gift receiving; contacting arrangements which provide financial benefit; directing borrowers to particular lenders or refusing or delaying loan certifications; offers of funds for private loans; advisory board compensation; financial aid office staffing assistance.
(HEOA Sec. 493(a)(1), Sec. 493(c), amended Sec. 487 - Sec 487 (a)(25), Sec. 487(e); 34 CFR 601.2, 601.21, 668.14(b)(27)).