Check Disbursement Entrance/Exit Counseling
Stafford Loans
These loans are either subsidized or unsubsidized.
A subsidized loan is awarded on the basis of financial need. You
will not be charged any interest before you begin repayment or during authorized periods
of deferment. The federal government "subsidizes" the interest during these
periods.
An unsubsidized loan is not awarded on the basis of need. You'll be
charged interest from the time the
loan is disbursed until it is paid in full. If you allow the interest to accumulate, it
will be capitalized--that
is, the interest will be added to the principal amount of your loan and additional
interest will be based
upon the higher amount. This will increase the amount you have to repay. If you choose to
pay the
interest as it accumulates, you'll repay less in the long run.
You can receive a subsidized loan and an unsubsidized loan for the same enrollment
period.
PLUS Loans
These loans enable parents with good credit histories to borrow to pay the
education expenses of each
child who is a dependent undergraduate student enrolled at least half time. PLUS Loans are
available
through the FFEL programs. Most of the benefits to parent borrowers are
identical in
the two programs. To be eligible to receive a PLUS Loan, your parents generally will be
required to pass a credit check. If they don't pass the credit check, they might still be
able to receive a loan if someone, such as a relative or friend who is able to pass the
credit check, agrees to endorse the loan, promising to repay it if your parents should
fail to do so. Your parents might also qualify for a loan even if they don't pass the
credit check if they can demonstrate that extenuating circumstances exist. You must meet
the general eligibility requirements for federal student financial aid. Your parents must
also meet some of these general requirements. For example, your parents must meet
citizenship requirements and may not be in default or owe a refund to any SFA Program.
Disbursement of Loan Funds
Upon completion of a Master Promissory Note, your lender will
send your loan funds to the College of DuPage according to the dates listed
on your Notice of Guarantee. The loan funds will be placed directly on
your student account via Electronic Funds Transfer (EFT) no earlier that the
start of the term. Any remaining loan funds in excess of your
educational costs will be mailed to your address within 10 days of being
placed on your account.
If you are a first time borrower at the College of DuPage,
disbursement of your loan funds will be delayed until 30 days after the
start of the term. Any loan funds in excess of your educational costs
will be mailed to your address within 10 days of being placed on your
account.
If you wish to have your loan cancelled you must notify the Office of
Student Financial Aid in writing within 14 days from receipt
of the notification.
The College of DuPage does not process Summer-only Stafford/Plus
Loans for students who have not attended the college during any other term during the
academic year.
Copyright © 1997 College of
DuPage
Financial Aid · Student Resource Center (SRC), Room 2050 · (630) 942-2251
loans@cdnet.cod.edu