Students should explore all sources of gift aid (grants and scholarships) and student part-time employment before applying for education loans. If the student finds that the gifted aid/part-time employment doesn’t meet their educational expenses, loans are available. WSCN participates in the Federal William D. Ford Direct Loan Program. Eligible students and parents borrow directly from the U.S. Department of Education. These loans are repaid directly to the U. S. Department of Education.
Students who are accepting the Federal Direct loan at WSCN for the first time will have to complete a Master Promissory Note (MPN) on the Federal Direct loan website, https://studentloans.gov. The school will be contacted by the Department of Education to certify the loan.
Students must complete an Entrance Counseling before certification of their first Federal loan at West Suburban College of Nursing. The Entrance Counseling can be completed at https://studentloans.gov. The student has to maintain an enrollment of 6 credit hours or more to avoid starting the repayment process which includes a 6 month grace period. When enrollment status is less than 6 credit hours or 30 days before the student is to graduate an Exit Counseling will need to be completed. The Exit Counseling can be completed at http://www.nslds.ed.gov.
Students can also apply for alternative loans but Federal loans should be considered first. Federal loans carry a lower fixed interest rate than most private loans and they are guaranteed by the government.
*Click on hyperlink below for more loan information.
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Federal Subsidized Loan / Federal GRAD Subsidized Loan
The subsidized loan program is money the student has to repay if they decide to accept the loan. The government pays the interest on the loan while the student is attending school, during the 6 month grace period, and during any approved deferment period.
This is a need-based program. The amount the student is able to borrow for the academic year depends on their financial need minus any accepted need based awards and scholarships that are accepted by the student.
- The fixed interest rate is 4.5% for loans on or after July 1, 2010 for a student in an undergraduate program.
- The fixed interest rate is 6.8% for loans on or after July 1, 2010 for a student in a graduate program.
- The maximum a student can receive at a junior or senior level for an academic year is $5,500.
- The maximum total of debt an undergraduate student can have in subsidized loans is $23,000.00.
- The maximum a student can receive at a graduate level for an academic year is $8,500.
- The maximum total of debt a graduate student can have in subsidized loans is $65,000.00.
Federal Unsubsidized Loan / Federal GRAD Unsubsidized Loan
The unsubsidized loan program is money the student has to repay if they decide to accept the loan. The student is responsible for the interest on an unsubsidized loan. The student has the option of paying the interest on the loan while attending school or letting it accumulate and be added to the principal amount of the loan.
This loan is not based on need but combined with the other accepted financial aid awards and scholarships cannot be more than the student’s cost of attendance.
- The fixed interest rate is 6.8%.
- The maximum a dependent student can receive at a junior or senior level for an academic year is $7,500 (minus any subsidized loans received).
- The maximum total of debt a dependent student can have in unsubsidized loans is 31,000.00 (minus any subsidized loans received).
- The maximum an independent student can receive at a junior or senior level for an academic year is $12,500 (minus any subsidized loans received).
- The maximum total of debt an independent student can have in unsubsidized loans is 57,500.00 (minus any subsidized loans received).
- The maximum a student can receive at a graduate level for an academic year is $20,500 (minus any subsidized loans received).
- The maximum total of debt a graduate student can have in unsubsidized loans is 135,500.00 (minus any subsidized loans received).
- The maximum total of debt a graduate student can have in unsubsidized loans is 135,500.00 (minus any subsidized loans received).
PLUS Loan / GRAD PLUS Loan
The PLUS loan is money a parent borrows to assist their dependent student with their educational expenses. The fixed interest rate on the PLUS loan is 7.9%. The money will have to be repaid by the parent 60 days after the full disbursement has been received. Parents can request an in-school deferment from the lender. This will extend the parent’s repayment period as long as the student is enrolled at least 6 credit hours per term.
The GRAD PLUS loan is money the graduate student borrows to assist with their educational expenses.
The parent’s or graduate student’s credit history will be checked. If a dependent student’s parent receives an adverse credit history, contact the Financial Aid Office for other options. Parents are not required to take Entrance and Exit Counseling for the PLUS loan but graduate students will have to complete the necessary counseling sessions.
This loan is not based on need but cannot be more than the Cost of Attendance minus any accepted awards and scholarships.
Alternative Loan
An Alternative loan, also known as a private loan, is money a student has to repay if they are approved for the loan. The interest rate on an alternative loan varies as does the repayment period. Applying for this loan requires a different application than the application for a Federal loan. It is the student’s choice on the lender they use for the loan.
Application for an alternative loan can be completed on the lender’s website or by contacting the lender. Most lenders will check the student’s credit history and may ask for a co-signer. The interest rate on the loan may depend on the student’s and the cosigner’s credit history. The student’s required enrollment status varies per loan specifications.
This loan is not based on need but cannot be more than the Cost of Attendance minus any accepted awards and scholarships listed on the student’s award letter.
Note: The Alternative loan should be the student’s last financial aid resource in meeting their educational expenses.
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Loans Will Have to Be Repaid |
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