Loans

FEDERAL LOAN PROGRAMS

You must be enrolled in a minimum of 6 credit hours to be eligible for loan assistance.

All loans are made in two equal disbursements based on your enrollment pattern. For example, if you will be attending fall & spring terms, you would receive one disbursement in fall & one in spring.

All new borrowers must complete Entrance Counseling prior to disbursement.  Even if you have received student loans elsewhere, you are still required to complete Entrance Counseling at Fairmont State or Pierpont.

When you withdraw, graduate or drop below half-time, you are required and will want to complete Exit Counseling.  Exit counseling will allow you to review repayment information for your outstanding federal student loans to know when your first payment will be do and how much it could be.  This will help you budget your income to be ready to begin repaying your student loans at the end of your grace period,

Both requirements can be completed at www.studentloans.gov.

You may also refer to www.studentloans.gov for information on loan forgiveness and www.loanconsolidation.ed.gov for consolidation questions.

 Federal Perkins Loan

• A federally funded student loan based on financial eligibility as determined by the filing of a Free Application for Federal Student Aid.
• Annual limit of borrowing is $4,000 with a total possible of $20,000 for your undergraduate education.
• Interest is 5% with the loan(s) repayable beginning nine months after you cease to be a half time student or graduate.

Entrance Counseling is required before receiving a disbursement from your Federal Perkins Loan.  This can be completed at www.ecsi.net.

 William D. Ford Federal Direct Loan

• A federally funded student loan based on financial eligibility as determined by filing the Free Application for Federal Student Aid.
• If eligible, $2,625 may be borrowed as a freshman; $3,500 as a sophomore, and $5,500 each in the junior or senior year. Total amount that may be borrowed as an undergraduate is $23,000.
• Independent students (as defined by the Department of Education) may receive additional amounts through the unsubsidized loan program in the amount of $4,000 as a freshman or sophomore and $5,000 for the remaining undergraduate years not to exceed an aggregate of $46,000 (Total of subsidized and unsubsidized).
• This is a fixed rate loan at 6.8 percent. The student borrower is responsible for the interest which accrues while enrolled on unsubsidized loans. The federal government pays the interest for students whose loans are subsidized.
• Repayment begins six months after you graduate or cease to be a half time student with a minimum payment of $50 or higher based on the aggregate total of your loans

 Federal Direct Parent Loan for Undergraduate Students (PLUS)

 Parents of dependent students may apply for loans up to the cost of education less other aid awarded.

• The interest rate is a fixed rate loan at 8.5 percent.
• The loan will be disbursed in two payments and credited to the students account. Left-over funds will be paid to the student.
• Repayments begins 60 days after the full amount has been disbursed.

Click here to download the Federal Direct Parent PLUS Loan Application

 Federal Direct Graduate/Professional Loan

•  Available to graduate and professional students to help meet the cost of attendance.
• May borrow up to the cost of attendance minus any financial aid. Students must complete the Free Application for Federal Student Aid (FAFSA)
• Students must pass a credit check and be enrolled at least half-time.
• The interest rate is fixed and will not exceed 7.9 percent. Interests accrues from the date the loan funds are disbursed. Repayment begins 60 days after the loan disbursement. Students may receive a deferment while enrolled in school at least half-time.
• First time Federal Direct Graduate/Professional Loan borrowers will receive instruction from our office on how to complete a PLUS Master Promissory Note (MPN).
• If the PLUS Loan Application is denied, you will be notifies by the Loan Origination Center on other ways to secure an approval.

Click here to download the Federal Graduate/Professional PLUS Loan Application.

ALL FEDERAL FUNDS ARE SUBJECT TO FEDERAL BUDGETARY RESTRAINTS.
 

 Private Alternative Loans

Private loan programs are non-federal educational loans through a private lender that allows a student to borrow additional funds after federal student aid has been exhausted. Each lender has different eligibility requirements, interest rates, fees and repayment terms. Private loans cannot be consolidated with federal loans for payment purposes. It is in your best interest to borrow the maximum amount of federal student loans before you borrow from a private lender. Do not apply too early for a private loan because lenders have an expiration date on the credit check and your application will not be certified until after you are registered for classes and have been packaged for all federal and state financial aid.

 Private Loan helps you bridge the gap between federal aid and the full cost of your education.

• Students may borrow up to the cost of attendance minus any financial aid. Students should complete the Free Application for Federal Student Aid (FAFSA) to determine eligibility for federal aid.
• Funds are sent directly to the school
• Interest paid on these loans may be tax deductible; consult your tax advisor
• Use the funds for any education-related expense
• Receive a preliminary decision within minutes of applying online
• The interest rate is variable depending on the student and/or co-signers credit. Interest accrues from the date the loan funds are disbursed.
• Apply with a creditworthy cosigner and you may receive a lower rate.

To assist you in this process, FSU has compiled a comparison list on ELM Select for different alternative lenders that we think may best match our student body. You are free to choose ANY lender whether it is on the list or not without penalty. Fairmont State University does not endorse any particular lender.

Listed below is the website of the lending institutions where you can apply for an alternative loan:

ELM Select: https://www.elmselect.com/oll/SchoolLenderList/?schoolId=8570