Loan Proration for Graduating Students
The FAO is required to prorate loan eligibility for those students who will graduate, or complete, their programs after one semester of enrollment during the academic year. For example, if a student will graduate at the end of the fall semester, the FAO is required to prorate the student's loan eligibility. The maximum that a student who enrolls for twelve credits is eligible to borrow is generally one-half of the annual amount for which the student is otherwise eligible. Students who enroll for six or more but less than twelve credits are eligible for less than half of the annual maximum amount of loan funds.
If you will graduate after attending only one semester in an academic year, please visit the FAO for assistance in understanding your remaining loan eligibility.
Monitoring annual and aggregate amounts borrowed
Students who have borrowed from any of the federal student loan programs can monitor their annual disbursements and aggregate amounts by logging into the National Student Loan Data System at studentaid.gov.
Changes in your program, number of credits, and your prior borrowing history can significantly alter your eligibility for funding from the Direct Loan program. If you have questions about the aggregate or annual amounts that you have borrowed or are considering changes in your enrollment or program, please visit the FAO for assistance in understanding your status.
Direct Parent Loan for Undergraduate Students (PLUS)
The Direct PLUS program is available to credit-worthy parents of undergraduate dependent students. The parents of independent students are not eligible to borrow from the PLUS program for the student. The amount of loan eligibility is determined by the cost of attendance (COA)* minus the financial aid (including student loans) already awarded. The students must be enrolled at least half-time (six credit hours) for the parent to be eligible for the PLUS program. A parent must complete the Direct PLUS Loan Application and Master Promissory Note (MPN)* and submit authorization for a credit check.
Dependent students whose parents are not approved for a Direct PLUS Loan due to adverse credit history may be able eligible to receive additional unsubsidized Direct loan funds.
Graduate PLUS Loan
The Graduate PLUS loan program is available to credit-worthy graduate level students. The amount of loan eligibility is determined by the cost of attendance (COA)* minus the financial aid (including student loans) already awarded. The students must be enrolled at least half-time (four graduate credit hours) to be eligible for the PLUS program. The student must complete the Graduate PLUS Loan Application, Master Promissory Note (MPN)*, Graduate PLUS Loan Entrance Counseling, and submit authorization for a credit check.
Nursing Education Assistance Loan Program
The 1998 South Dakota Legislature authorized this loan program to provide financial assistance to qualified South Dakota residents who are admitted to a nursing program. The number and amount of each loan will be determined annually by the South Dakota Board of Nursing but may not exceed $1,000 per full academic year. Student borrowers may elect to repay the loan either by employment in nursing in South Dakota at a conversion rate of $1 per hour or monetary payments within the required time period of five years. Applications are available at doh.sd.gov/boards/nursing/loan.aspx
Alternative Loans
Alternative loans may be an option for qualifying students or parents who are in need of additional resources to cover educationally related expenses. Typically, alternative loans require that the borrower have a good credit history and may have minimum income levels as well as a maximum debt-to-income ratio. Students and/or parents may borrow up to the remaining cost of attendance* for the student's education. Students have the right to select a lender of their choice.