Loans
Federal Family Education Loan (FFEL) Program
Through the FFEL Program, participating lenders provide low-interest loans, insured by a U. S. Dept. of Education approved loan guarantor, to eligible students and parents. There are three kinds of FFEL program loans available at Florida Gulf Coast University:
Student Loan Practices Code of Conduct
Florida Gulf Coast University adopted a Code of Conduct for financial aid practices related to student loans. The Code of Conduct can be viewed at Student Loan Practices Code of Conduct.
Preferred Lender Selection Process
A preferred lender list allows students and parents to compare lender benefits and make an informed decision when selecting a lender. Click here (Preferred Lender Selection Process) to review how Florida Gulf Coast University develops its Preferred Lender list.
Entrance & Exit Counseling
All student borrowers are required to complete online entrance loan counseling and exit loan counseling. An entrance or exit counseling is an interactive tool designed to help students understand their rights and responsibilities as a student borrower. Exit counseling is used to inform lenders and guarantors that you have graduated, ceased attending or dropped below half time status. An exit interview is important because it notifies the lender of the appropriate time to begin the grace period and informs the borrower of repayment. It also updates the lender with information about the borrower that may have changed since the entrance interview. Failure to complete exit counseling may affect the availability of your transcript. Students can complete their entrance and exit counseling at http://mappingyourfuture.org/
Federal Stafford Loans are loans awarded on the basis of financial need. If a student qualifies for a subsidized loan, the federal government pays the interest on the loan until the student begins repayment and during authorized periods of deferment thereafter. Students who enroll in an eligible program of study at least half-time and meet all other general eligibility requirements may receive a Federal Stafford loan. The maximum annual borrowing limit and the maximum aggregate borrowing limit depend on the student's level of enrollment (undergraduate or graduate), their year in college, and their dependency status.
Federal Unsubsidized Stafford Loans are not awarded on the basis of need. If students qualify for an unsubsidized loan, they will be charged interest from the time the loan is disbursed until it is repaid in full. Students can choose to pay the interest or allow it to accumulate. If students allow the interest to accumulate, it will be capitalized - that is, the interest will be added to the principal amount of the loan and will increase the amount that has to be repaid. If the interest is paid as it accumulates, the student will have less to repay in the long run. Students who enroll in an eligible program of study at least half-time and meet all other general eligibility requirements may receive a Federal Unsubsidized Stafford loan. The maximum annual borrowing limit and the maximum aggregate borrowing limit depend on the student's level of enrollment (undergraduate or graduate), their year in college, and their dependency status.
Federal PLUS Loans are loans that parents of dependent students can borrow to pay for the student's education. PLUS Loans are also available to graduate and professional. The terms and conditions of the parent PLUS loans are also applicable to graduate and professional student PLUS loans.
- Federal PLUS Loans for Parents
These loans enable parents with good credit histories to borrow federal loan funds to pay the educational expenses of each child who is a dependent undergraduate student enrolled at least half-time. To be eligible to receive a Federal PLUS Loan, parents are required to pass a credit check. If they do not pass the credit check, they may still be able to receive a loan if someone, such as a relative or friend, is able to pass the credit check, agrees to endorse or co-sign the loan and promises to repay it if the student's parents should fail to do so. Students and their parents must also meet all other general eligibility requirements for federal student financial aid. The yearly limit on the Federal PLUS Loan is equal to the cost of attendance minus any other financial aid for which a student is eligible.
- Federal PLUS Loans for Graduate and Professional Students
Starting July 1, 2006, these loans enable graduate and professional students with good credit histories to borrow federal loan funds to pay a portion of their educational expenses if the students' cost of attendance, less other aid and resources, exceeds the maximum annual Federal Stafford Loan limit. Graduate and professional students are first required to have applied for their annual maximum loan eligibility in subsidized and unsubsidized Federal Stafford Loans before applying for PLUS loans.
Borrowing Limits for Federal Stafford and Unsubsidized Stafford Loans
The table below shows the maximum amount a student can borrow each year, depending on the student's dependency status, as determined by information on the FAFSA, and the student's academic level.
Stafford Loan Changes 2008-2009 Academic Year
On May 8, 2008 President Bush signed into law increased loan limits for all students under the Federal Family Educational Loan Program as part of HR 5715.
These changes will take effect on July 1, 2008.
|
Dependent Students |
Max Subsidized |
Unsubsidized = Total Annual Amount |
|
|
|
Effective July 1,2008 |
Total annual limit |
|
Freshman |
$3,500 |
$2,000 |
$5,500 |
|
Sophomore |
$4,500 |
$2,000 |
$6,500 |
|
Junior or Senior |
$5,500 |
$2,000 |
$7,500 |
|
Independent Students and Plus denials |
Max Subsidized |
Unsubsidized = Total Annual Amount |
|
|
|
Effective July 1, 2008 |
Total annual limit |
|
Freshman |
$3,500 |
$6,000 |
$9,500 |
|
Sophomore |
$4,500 |
$6,000 |
$10,500 |
|
Junior or Senior |
$5,500 |
$7,000 |
$12,500 |
|
Graduate or Professional |
$8,500 |
$12,000 |
$20,500 |
Aggregate Loan Limits
Dependent Undergraduate: $31,000 (Maximum $23,000 in Subsidized)
Independent Undergraduate: $57,500 (Maximum $23,000 in Subsidized)
Graduate or Professional: $138,500 (Maximum $65,000 in Subsidized)
Federal Stafford Loans Repayment Chart
Please click on the following link to review the repayment amount when borrowing Federal Stafford Loans - Federal Stafford Loans Repayment Chart.
Alternative Loans
Florida Gulf Coast University does not certify alternative loans. Alternative loans are very expensive and do not have a capped interest rate. If a student wishes to incur this type of debt he/she must contact a lender that offers alternative loans that do not require school certification.
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