Loans (Graduate Students)
Federal Student Aid Changes for 2012-2013
Federal Student Loans for Graduate and Professional Students:
The Budget Control Act (BCA) of 2011 was signed into law on August 2, 2011. This Act makes several important changes to the Federal Direct Stafford Loan Program. The most important one for our student population is highlighted below:
Loss of Subsidized Loan Eligibility for Graduate and Professional Students
Effective for loans made for periods of enrollment (loan periods) beginning on or after July 1, 2012, graduate and professional students are no longer eligible to receive Federal Direct Subsidized Loans. The terms and conditions of Direct Subsidized Loans received by any student for loan periods beginning before July 1, 2012, for either graduate or undergraduate study, are not affected by this change.
The annual loan limit for graduate and professional students remains unchanged at $20,500, but this amount will now be limited to Direct Unsubsidized Loans, as shown in the following chart:
|
Annual Loan Limits for Graduate/Professional Students |
||||
|
Loan periods beginning before July 1, 2012 |
Loan periods beginning on or after July 1, 2012 |
|||
|
Subsidized Loan Maximum |
Unsubsidized Loan Maximum |
Subsidized Loan Maximum |
Unsubsidized Loan Maximum |
|
|
All Graduate and Professional Students |
$8,500 |
$20,500, less any subsidized amount received |
$0 |
$20,500 |
The aggregate loan limit for graduate and professional students remains unchanged at $138,500, not more than $65,500 of which may be in subsidized loans.
The elimination of subsidized loan eligibility for graduate and professional students does not affect undergraduate student borrowers, who remain eligible to receive Direct Subsidized Loans.
Loans are a significant source of funding in higher education and the proper administration of these programs is critical to members of The Citadel family. The staff of The Citadel's Office of Financial Aid and Scholarships stands by the Code of Conduct established by the National Association of Student Aid Administrators (NASFAA) in carrying out the professional responsibilities associated with a variety of loan programs.
This list does not contain complete information about the loans, so additional information should be obtained from the Financial Aid Office before making a final loan decision.
Federal/State Loan Options
Completing Entrance Counseling and signing a Master Promissory Note are initial requirements for all Federal Stafford and Direct student loans.
**Those loans will not be paid to the account until the requirements are met.**
Upon graduation, leaving school, or dropping below half-time status, students with any Federal Student Loans must also complete Exit Counseling.
| Loan | Who | Priority | Limit | Interest Rate | Deadline | Repayment |
|---|---|---|---|---|---|---|
| Federal Perkins | at least half-time degree-seeking student |
financial need
|
$8,000 a year |
5%
|
first-come
|
begins 9 mo. after you graduate, leave school, or drop below half-time status |
| Unsubsidized Federal Stafford/Direct | at least half-time degree seeking student |
N/A
|
$20,500 |
Fixed at 6.8%
|
N/A
|
Responsible for interest from date of disbursements. |
| Grad PLUS | students must be enrolled at least half-time in a degree seeking program and have exhausted their annual Stafford/Direct eligibility |
N/A
|
Cost of attendance minus all other aid |
Fixed at 7.9% |
N/A
|
Responsible for interest from date of disbursement otherwise repayment is similar to Stafford/Direct |
| SC Teachers Loan/Career Changers | SC residents enrolled at least half-time |
First come, first served
|
$15,000/yr $60,000/career |
current Stafford Rate Plus 2%
|
June 1
|
Loan can be cancelled at rate of 20% or 33% per year if you meet teaching obligations. |
Private Loan Options
Private educational loans or alternative loans are available through many different lenders. We recommend that you explore the Federal Programs first as their terms and conditions are generally the most favorable. The following lenders are only recommended. You are encouraged to explore all of your options, including those lenders not listed here.
 |
 |
|
|||
|
|
|
||||
| Palmetto Assistance Loan | Collegiate Loan |
