Federal Direct Student Loan
The Federal Direct Student loans are funds borrowed from the federal government for educational costs. They must be repaid starting six (6) months from the date in which the student completes a degree, ceases to be enrolled, or drops below half-time status. The loan is made to the student, and the student is directly responsible for repayment of this debt. Eligibility is contingent upon completion of a FAFSA and submission of all required supporting documentation.
All applicants who complete the FAFSA are automatically eligible for an unsubsidized Federal Direct Student Loan, on which interest accrues while the student is in school. The maximum annual loan limit for a graduate student is $20,500 per year.
Repayment of the unsubsidized loan can be made over 10 or more years. The federal government charges an origination fee for the student loan. These fees are deducted from each semester’s check to the school. The fixed interest rate, set each year on July 1st, is based on the 91-day Treasury bill, plus a 3.1% allowance, not to exceed 8.25%
To receive a Federal Direct Student Loan, the student must complete Entrance Counseling and sign a Master Promissory Note for a Subsidized/Unsubsidized Loan (MPN), both available at studentaid.gov.
Loans will be electronically certified by the College in equal amounts for each semester of eligible enrollment in an academic year. The Office of Student Accounts will receive the net amount and credit it to the student account.
Federal PLUS Loan for Graduate/Professional Students (GPLUS)
The Federal Loan for Graduate/Professional Students (GPLUS) is a program whereby credit-worthy students may borrow up to their cost of attendance, minus any financial aid already awarded, or tuition discounts. The Bipartisan Student Loan Certainty Act of 2013 sets the annual fixed interest rate on Direct PLUS Loans at the rate on high-yield 10-year Treasury notes plus 4.6%, but caps that rate at 10.5%.
To apply for a GPLUS Loan, eligible students must visit studentaid.gov and complete the application, as well as the MPN for Graduate/Professional Students.
If an applicant is denied, they may appeal the credit decision or seek out an endorser.
If at any time you wish to decline or change a loan, simply e-mail finaidmail@mville.edu.
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