what loans are available to a dependent student?
You are considered dependent if:
- You are under 23 years od age
- You are not married
- You do not financially support any dependents
- You are not a ward of the court
- You are not an emancipated minor
- You are not a veteran of the US Armed Forces
Dependent students have two federal loan options:
stafford student loan
The Stafford Student Loan is a loan that is taken out in the student's name. Based on information provided on the FAFSA form, the loan will either be subsidized or unsubsidized. A subsidized loan does not accrue interest while the student is in school. An unsubsidized loan does accrue interest while a student is in school. However, the student will begin repayment on their loan approximately six months after they graduate and will continue repayment until the loan is completely paid off within a ten year timeframe. The interest rate is at a fixed 6.0%.
parent plus loan
The Parent Plus Loan is a loan in the student's parent's name. In order to be eligible for funds, the parent applying must have a positive credit standing. This loan is interest bearin. The interest rate is variable and will never exceed 9.00%. Payment on the plus loan begins after the second disbursement of loans while the student is in school. Please contact the Financial Aid Coordinator for current interest rates. In the event that a student's parent is denied the Plus Loan, the student is automatically eligible to receive additional Stafford Loan amounts.
