Federal Student Loan Changes for 2010-2011

Why is UI&U changing its loan process?
On March 25, 2010, the U.S. House of Representatives and the U.S. Senate passed The Health Care and Education Affordability Reconciliation Act of 2010 ("HCEARA"-H.R. 4872). This bill makes major changes in several federal student aid programs AND mandates that, effective July 1, 2010, all federal student loans (Stafford, PLUS, and Grad PLUS) will be originated through the Federal Direct Loan Program. The Family Federal Education Loan Program, which permitted private lenders to originate these loans, is eliminated effective June 30, 2010. President Obama signed the bill into law on March 30, 2010.

What do I have to do to get my loan funds?
As in prior years, you must:

• Complete the FAFSA (Free Application for Federal Student Aid). You can complete the FAFSA online at www.fafsa.ed.gov. Our school code is 010923.
• Provide any documents requested by our office (if any).
• Students who are borrowing for the first time and anyone wanting to borrow a PLUS loan will need to complete an “Entrance Counseling” Session. We would encourage ALL borrowers to go ahead and complete this short session to review your rights and responsibilities under the federal loan programs.
• ALL students will have to complete a new Master Promissory Note (MPN) for the Direct Loan program before the Department of Education will electronically disburse your funds to us.
• PLEASE NOTE: You will need you PIN that you used to complete your FAFSA when completing your MPN or Entrance Counseling, and when asked for the location of Union, please select OHIO.
• Once your file is completed (we have received all accurate and required documents), we will notify you via email of your award (if any).

Loan Consolidation
Click here for information concerning consolidation of your loans.

Contact Information
To speak directly with the federal offices responsible for these services, please visit our Learners and Borrowers contact page.