Student Loans: A Critical Resource Student loans play a critical role in bringing the cost of your education at UWS within your financial grasp. The vast majority of UWS students borrow student loans. It is important for you to understand your rights and responsibilities when you borrow student loans. Before any federal student loan funds can be disbursed, you must first sign and return your Financial Aid Award Notification letter, complete Entrance Counseling, and sign a Master Promissory Note for each type of loan you will receive.
All loans Must Be Repaid When you accept a loan, you are making a commitment to repay that loan on time and in full. Loan counseling and debt management information is provided via entrance counseling prior to the first disbursement of federal student loan funds. Information regarding your rights and responsibilities as a borrower is included on your promissory notes. Borrow wisely—you’ll thank yourself later!
UWS graduates are conscientious loan borrowers UWS has a very low student loan
default rate. To view our current Cohort Default Rate, go to
http://www2.ed.gov/offices/OSFAP/defaultmanagement/cdr.html, click on the “Search the Cohort Default Rate Database: Go” button, and enter 012309 as the OPE-ID.
Entrance Counseling and Promissory Notes Direct Loan Entrance Counseling and Master Promissory Note (MPN) To complete your Direct Loan Entrance Counseling and Master Promissory Note, go to
www.studentloans.gov, and sign in using your Federal PIN (this is the same PIN used to file your
FAFSA).
Select “Complete Entrance Counseling.” Note that you can add an email address to which correspondence about your loans can be sent.
Select “Complete MPN.” The entire MPN process must be completed in a single session lasting no more than 30 minutes. Be prepared to provide reference information (address, phone, etc.) for two people who have known you for at least 3 years.
Perkins Loan Entrance Counseling and Master Promissory Note Perkins Entrance Counseling may be completed at
www.mappingyourfuture.org/pe.
Click here to view and print the Perkins Loan Master Promissory Note. Once you have completed the promissory note, please return it to the Financial Aid Office at UWS. Photocopied and/or faxed promissory notes are not acceptable.
Direct Grad PLUS Loan Master Promissory Note (MPN) Grad PLUS loans are available to graduate/professional students.
Click here for information on applying for Grad PLUS loans.
Direct Parent PLUS Loan Master Promissory Note (MPN) Parent PLUS loans are available to parents of dependent undergraduate students.
Click here for information on applying for Parent PLUS loans.
Federal Student Loans in Brief
Perkins Loans Perkins loans are available based upon collections received on Perkins Loans that are in repayment status; funds available for these loans may vary substantially from year to year. Funds are awarded to students with the lowest EFCs and who file their FAFSA by UWS’s priority filing deadline of March 1st each year.
- Fixed 5% interest rate
- No origination or guaranty fees are charged
- Interest does not begin to accrue until the loan enters repayment
9-month grace period after you graduate or leave school before repayment begins
Direct Loans (Subsidized and Unsubsidized Federal Direct Stafford Loans) The William D. Ford Federal Direct Loan Program is the primary source of federal student loans in the United States. The Direct Loan program includes Subsidized Direct Loans, Unsubsidized Direct Loans, Direct Grad PLUS Loans, and Direct Parent PLUS Loans.
Subsidized Direct Loans - Fixed 6.8% interest rate for graduate students
- Fixed 3.4% interest rate for undergraduate students for loans first disbursed between July 1, 2011 and June 30, 2012
- 1% origination fee, of which .5% is rebated up front (rebate is retained after making the first 12 monthly payments on time)
- Interest is paid by the federal government until the loan enters repayment
- 6-month grace period after you graduate or drop below half-time status before repayment begins
Unsubsidized Direct Loans - Fixed 6.8% interest rate
- Interest accrues throughout the life of the loan
- Origination fee and grace period: same as Subsidized Direct Loans
Direct Grad PLUS Loans The Direct Grad PLUS Loan program enables graduate/professional students to borrow up to the Cost of Attendance, minus any other financial aid (loans, grants, scholarships, VA benefits, etc.) the student is receiving.
- Borrower must pass a credit check; cosigner option available for borrowers with adverse credit
- Fixed 7.9% interest rate; interest accrues throughout the life of the loan
- 4% origination fee, of which 1.5% is rebated up-front (rebate is retained after making the first 12 monthly payments on time)
- 6-month deferment by request after graduating or dropping below half-time enrollment status
Direct Parent PLUS Loans The Direct Parent PLUS Loan program enables parents of dependent undergraduate students to borrow up to the Cost of Attendance, minus any other financial aid (loans, grants, scholarships, VA benefits, etc.) the student is receiving.
- Borrower must pass a credit check; cosigner option available for borrowers with adverse credit
- Fixed 7.9% interest rate; interest accrues throughout the life of the loan
- 4% origination fee, of which 1.5% is rebated up-front (rebate is retained after making the first 12 monthly payments on time)
- Deferment available by request while your child is enrolled and for up to 6 months after your child graduates or drops below half-time enrollment status
Loan Repayment and Consolidation All student loan borrowers are required to complete exit counseling prior to graduating or otherwise leaving school. During exit counseling, students learn about repayment options and other information relevant to managing their student loan debt. Federal student loan consolidation is a popular tool to help borrowers manage repayment. A resource page to help students with consolidation can be found
here.
Please do not hesitate to contact the Financial Aid Office by email at finaid@uws.edu or call 503-847-2563 if you have any questions.