Types of Aid

Grants

Grants are need-based awards funded by the federal or state governments. Grants are gift aid and do need to be paid back.

• Pell Grant: A federal grant based on need; amounts range from $555-$5,550/year
• Illinois Monetary Award Program (MAP): A need-based grant for Illinois residents (residency according to the standards set by the State of Illinois); up to $4,720/year

Loans

Stafford Loans:

• If you are given a subsidized Stafford Loan, which is based on need, the government pays the interest while you are a student. If you receive an unsubsidized Stafford Loan, interest will accrue throughout the life of the loan. However, you are not required to make interest payments while in school.
• The interest rate for subsidized Stafford Loans first disbursed on or after July 1, 2010 is 4.5%.  Subsidized Loans disbursed on or after July 1, 2011 will have an interest rate of 3.4%. The interest rate for unsubsidized Stafford Loans is a fixed interest rate of 6.8%. All Stafford Loans have an origination fee of .5%.
• Loan limits are determined by the federal government, and are based on completed college credit hours. Students with 0-29 completed college credit hours can borrow up to $3500/year in a subsidized loan and $6000/year in an unsubsidized loan. Students with 30-59 completed college credit hours can borrow up to $4500/year in a subsidized loan and $6000/year in an unsubsidized loan. Students with 60 or more completed college credit hours can borrow up to $5500/year in a subsidized Stafford Loan and $7000 in an unsubsidized Stafford Loan.
• You do not have to make payments on your Stafford Loans while you are in school. Repayment begins six months after you cease to be enrolled at least half- time, which is six credit hours/semester and lasts at least 10 years. There is no penalty for pre-payment.
• To receive the Stafford Loan, you must complete a Direct Loan Master Promissory Note and Direct Loan Entrance Counseling before your loan can be processed.  You will need your FAFSA PIN to access these loan documents, which we will receive electronically upon completion.

Parent PLUS Loans:

• If you are a dependent student, your parent may borrow up to your cost of attendance minus any other aid that you are receiving. Cost of attendance includes tuition, room/board, personal expenses, transportation, and books. Not all of these costs will appear on your bill and can vary for each student, but these figures are used by the Financial Aid Office for packaging. The cost of attendance is usually higher than your direct costs to allow you to borrow funds for additional expenses. Your financial aid cannot exceed your cost of attendance.
• To be eligible to borrow a PLUS loan, your parent must not have adverse credit. If s/he is denied for the PLUS loan, you will eligible for an additional unsubsidized Stafford Loan.
• The current interest rate is a fixed 7.9% and the origination fee is 2.5%.
• Repayment begins 60 days after the final disbursement of the loan is received, and the repayment term is up to 10 years. Parents do have the option to defer payment on the PLUS Loan while you are enrolled at least half-time, which is six credit hours/semester.  This option can be selected on the PLUS Loan Application.  S/he can also contact Direct Loan Servicing (800-557-7394) to set up this payment option AFTER the funds have been disbursed.
• Completion of the FAFSA is required.
• There must be a PLUS Loan Master Promissory Note (MPN) on file for each student. Your parent may not use the same PLUS promissory note for more than one student.
• If your parent would like to borrow a PLUS Loan on your behalf, s/he must complete a PLUS Loan Application and the PLUS Loan Master Promissory Note (MPN) with Direct Loans.  S/he will use his/her FAFSA PIN to sign into the website and access these documents, which we will receive electronically upon completion.

Private Loans:

• Interest rate and repayment terms vary by lender, and are not as favorable as the PLUS and/or Unsubsidized Stafford Loans.
• Most undergraduate students will need a credit-worthy cosigner to be approved for this loan.
• Typically, you can borrow up to your cost of attendance (minus other aid received), but you may not use the loan to cover previous balances.
• Payment typically begins six months after you have graduated. However, some lenders require interest payments while you are enrolled. The length of repayment is usually 10 years.
• Student Lending Analytics provides valuable information about private loans.