How do I find out if I qualify for a Stafford loan?
Your school determines your subsidized and unsubsidized Stafford loan eligibility; details of your eligibility will be included in the financial aid award authorization once you have filed the FAFSA and completed all additional requirements. The same application is used for both Subsidized and Unsubsidized loan types; you do not need to complete multiple applications.
What is the difference between Subsidized/Unsubsidized Stafford and Graduate PLUS loans?
To be eligible for the Subsidized Stafford Loan, you must have demonstrated financial need to borrow a subsidized Stafford loan. The federal government pays the interest while you are enrolled in school (at least half-time) and during grace and deferment periods.
The Unsubsidized Stafford Loan is not based on demonstrating financial need and the federal government does not pay the interest; you are responsible for all interest. Interest begins to accumulate immediately upon disbursement. Repayment of accrued interest will be deferred until repayment of principal is required.
The Graduate PLUS loan is not based on demonstrating need and repayment begins after funds have been disbursed. There is an origination fee of 4% that is deducted from your loan proceeds. Please be aware that the Federal Graduate PLUS loan is contingent upon a credit approval and can only be certified for the amount remaining after consideration of your cost of attendance less all other financial aid awarded.
What do I need to do after I have accepted my loans?
Once a student loan has been accepted by a student there are still several steps that need to be completed before the loan will credit to a student's account.
First-time borrowers of the Federal Stafford and the Graduate PLUS Loan programs at Saint Michael's College will be required to sign a Master Promissory Note (MPN) and complete and online entrance counseling session. The Master Promissory Note is valid for 10 years and once signed will be used for any Stafford and/or Graduate PLUS Loans through this 10-year period. Entrance counseling is a short orientation to the rights and responsibilities of being a student loan borrower. Both of these steps must only be completed once for each student while they are attending Saint Michael's. The MPN comes from the lender you choose to loan you the funds. Entrance counseling can be completed online through http://www.mappingyourfuture.org and must be done through the combined Stafford and PLUS loan link, even if you do not have PLUS loan for this year.
How do I select a lender for my loans?
To assist with making an informed decision regarding student loans, we have contracted with Simple Tuition to provide you with information regarding some suggested lenders that provide loan programs with the student’s best interest in mind.
Federal loans are regulated and are the same for every lender however, repayment benefits, as well as loan services, differ from lender to lender. We recommend that you review and compare lender benefits before choosing a lender.
Please Note: Our list of lenders is in random order. Some of the lenders will have their logos displayed and other’s will not. This is not an indication of any lender preference by Saint Michael's College. To view Saint Michael's College suggested list of lenders please go to http://www.simpletuition.com/smcvt. You are not limited to selecting from our suggested lenders list. You have the right to select any lender you choose and your selection will not cause unnecessary certification delays. Please contact your lender of choice to complete the master promissory note (MPN) and forward the school copy to our office.
When can I get my loan funds?
Loans are disbursed by term. Once you have resolved all eligibility issues (including verification and satisfactory academic progress) your financial aid for the upcoming term will in most cases be disbursed on the first day of classes. Final adjustments due to changes in your credit hours will occur approximately two weeks after the start of the term.
What happens to excess loan funds on my student account?
If the amount of financial aid and other credits on your bill exceed tuition, fees, and other charges, you may receive a refund. You may use your refund for books, indirect expenses, or any other education expenses for the term. You will receive a check in your Saint Michael's mail box or you can arrange to have it held in the Cashier's office. No funds will be released before the first day of classes.
All forms and requests for loans should be sent to the Office of Student Financial Services, Box 4, Colchester Vermont 05439 or fax to 802.654.2591.