Student Loans

NOTICE: Our student loan process has changed for the 2010-2011 award year. For information concerning this program, the William D. Ford Federal Direct Loan Program, please CLICK HERE.

Student loans, unlike grants and work-study, are borrowed money that must be repaid with interest. There are four types of federal student loans:

Federal Perkins Loans are made through participating schools, like UI&U, to undergraduate, graduate and professional degree students. Federal Perkins loans are offered to students who demonstrate financial need as evidenced by their annual FAFSA results and who are enrolled part-time or full-time. Federal Perkins loan are repaid to the school.

Federal DIRECT Stafford Loans are for undergraduate, graduate and professional degree students who are enrolled at least half-time. There are two types of Federal DIRECT Stafford loans: subsidized and unsubsidized. You must have financial need as evidenced by your annual FAFSA results to receive a Federal subsidized Stafford Loan. The U.S. Department of Education will pay (subsidize) the interest that accrues on subsidized Stafford loans during certain periods. Financial need is not a requirement to obtain an unsubsidized Stafford loan. You are responsible for paying the interest that accrues on unsubsidized Stafford loans. Federal DIRECT Stafford Loans are repaid to the federal government.

Federal PLUS Loans are loans parents can obtain to help pay the cost of education for their dependent undergraduate children. In addition, graduate and professional degree students may obtain PLUS loans to help pay for their own education. Federal PLUS Loans are repaid to the federal government.

Federal Consolidation Loans allow student or parent borrowers to combine multiple federal education loans into one loan with one monthly payment.

Repayment
Repaying your student loan is a serious matter and it is important to keep accurate, accessible records. At a minimum you should be sure to retain:

• financial aid award letters
• loan counseling materials (entrance and exit counseling)
• promissory notes

Additional Resources
You should also use the U.S. Department of Education's National Student Loan Data System (NSLDS). The NSLDS system is the central database for federal student aid and will help you keep track of all of your federal student loans.

If you withdraw, drop to less-than-half-time, take an academic leave of absence, go on academic extension which is not equivalent to full-time academic study, graduate, or transfer schools, you enter repayment at the conclusion of your grace period.

Please select from the menu on the right of this page for more detailed information on student loans.