Q. What are the loan interest rates?
A. Interest rates vary with the type of loan. For specific rates, please see the information below for the 2013-2014 school year.
Perkins Loan-Undergraduate 5.0%
Federal Direct Subsidized Loan-Undergraduate 3.86%
Federal Direct Unsubsidized Loan-Undergraduate 3.86%
Parent PLUS Loan-Undergraduate 6.41%
Federal Direct Unsubsidized Loan-Graduate 5.41%
Graduate PLUS Loan-Graduate 6.41%
Private and alternative loans have variable rates based either on the prime interest rate or the three-month LIBOR (London Inter-Bank Offer Rate) and the credit scores of the applicants. To learn more about prime and LIBOR, and to see their current rates, visit www.bloomberg.com/markets/rates/keyrates.html.
Q. What is the total I have in loans (throughout college)?
A. You can review all federal loans you have taken out while an undergraduate and/or graduate student by visiting www.nslds.ed.gov. You will need your FAFSA PIN to access this information. To obtain information regarding non-federal loans such as a private loan, contact your loan provider.
Q. How do I sign a Master Promissory Note (MPN)?
A. Federal Direct Loan Master Promissory Notes and entrance counseling can be completed at studentloans.gov Direct loans will notify SLU that you have completed it.
Q. What is the difference between federal and alternative loans?
A. Also referred to as "private student loans," alternative loans provide another option than the more popular and standard forms of lending from federal and state governments, such as the Federal Direct Loans and PLUS Loans. Alternative loans don't have as restrictive amount caps as Direct Loans. Depending on eligibility, you often are able to borrow up to the cost of attendance minus your other financial aid. The interest rate is tied into prime or the LIBOR interest rates.
Q. What are the total Federal Direct Loan limits for students?
A. Dependent, Undergraduate $31,000 - no more than $23,000 of which can be subsidized Federal Direct Loan
Independent, Undergraduate $57,500 - no more than $23,000 of which can be subsidized Federal Direct Loan
Graduate $138,500 - no more than $65,500 of which can be subsidized Federal Direct Loan
Q. When do we have to repay the Parent PLUS loan?
A. Generally, repayment begins within 60 days after the final loan disbursement; however, parents may request a forbearance (delay in payment) for up to four years. There is no grace period. Interest begins to accumulate at the time the first disbursement is made.
Q. What other loans can I apply for?
A. The most common loans students apply for are Federal Direct Loans. There also are Parent PLUS loans, Graduate PLUS loans, private loans and alternative loans. For more information regarding loans, click here.