Loans

Educational loans are available to meet any financial need not covered by grant or scholarship aid or through the Federal Work Study program. These loans are seen as an investment in your future, and you, as the student, are expected to repay them. Parents may also consider taking out a parent loan to aid in the education investment.

Federal Direct Student Loan Program This is a long-term, low-interest educational loan available from the Department of Education. The college determines eligibility for either a subsidized or unsubsidized loan based on demonstrated financial need.

Direct Subsidized Loans With these loans, the federal government will pay the interest on your behalf while you’re enrolled in school on at least a half-time basis. Repayment begins six months after you graduate or leave school. Direct Unsubsidized Loans These are for students who do not qualify or only partly qualify for the Federal Direct Subsidized Loan Program. All students are eligible for $2,000 per year from this resource above the eligible yearly loan limits. You will be responsible for interest that accrues while in school. You may choose to make interest payments, or to defer payment until six months after graduation or leaving school. Direct Parent Loans for Undergraduate Students (PLUS) This long-term loan is available through the U.S. Department of Education for up to the full cost of a student’s education minus financial aid received. Parents who do not have an “adverse credit history” are eligible to borrow. Repayment may extend over a 10-year period. You’ll pay about $12 per month for every $1,000 borrowed, and you may make interest-only payments while your student is in school.

Alternative loans Many private alternative loan options are available to assist in financing a student’s education. These loans vary and are subject to credit approval and debt-to-income ratio analysis. Some offer deferment options while your student is enrolled in school. But since the interest rate is often higher than federal loans, please review all your options before considering these loans. Student alternative loans commonly require a creditworthy co-signer. PAYMENT OPTIONS Standard payments College bills are issued twice a year, with half of tuition due in August and the other half due in January. With the exception of Federal Work Study, your bill will reflect any financial aid the college has offered to you. Monthly payments An alternative to standard payment arrangements, the Monthly Payment Plan allows you to spread out your college payments over ten months in equal monthly installments. The service cost of joining this plan is $50 per semester, and there is no finance charge. You can use a combination of current income, savings, payment plans, and loans to manage your educational costs. Information is available from the Saint Anselm College Student Financial Services at www.anselm.edu/financial-services.