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Student Loans

Many students and/or their parents borrow student and/or parent loans to help defray the cost of higher education.

Stafford Loans

Undergraduate students are eligible for subsidized Stafford Loans, which are based on need. The government pays the interest on this type of loan 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.

Stafford Loans for undergraduate students that are disbursed on or after July 1, 2014, will have an interest rate of 4.66%

The origination fee will be 1.072% for loans first disbursed on or after July 1, 2014.  The origination fee will be 1.073% for loans first disbursed on or after October 1, 2014.

Loan limits for undergraduate students 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 $3,500 per year in a subsidized loan and $2,000 per year in an unsubsidized loan.
  • Students with 30–59 completed college credit hours can borrow up to $4,500 per year in a subsidized loan and $2,000 per year in an unsubsidized loan.
  • Students with 60 or more completed college credit hours can borrow up to $5,500 per year in a subsidized Stafford Loan and $2,000 in an unsubsidized Stafford Loan.

Loan limits for graduate students are also set by the federal government, but are tied to the cost of attendance for your academic program.
Stafford Loans for graduate students that are disbursed on or after July 1, 2014 will have an interest rate of 6.21%.

The origination fee will be 1.072% for loans first disbursed on or after July 1, 2014.  The origination fee will be 1.073% for loans first disbursed on or after October 1, 2014.

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 (six credits for undergraduate students; four credits for graduate students), and lasts at least 10 years. There is no penalty for prepayment.

If you have never borrowed a Federal Stafford Loan before, then you must complete a Direct Loan Master Promissory Note (MPN). You also must complete Direct Loan Entrance Counseling. Both of these items can be done online using your FAFSA PIN. These documents only need to be completed one time (rather than annually, like the FAFSA). They will be good for all of the Stafford Loans that you borrow while attending North Park.

Both of these items, the MPN and Entrance Counseling, must be received by the Financial Aid Office before your loan can be processed.

Perkins Loans

  • Need-based loans given to first- and second-year traditional undergraduate students; amounts vary.
  • Perkins Loans are deferred while you are in school.
  • The current interest rate is 5%, and interest will begin to accrue when you begin repayment.
  • Repayment will begin nine months after you cease to be enrolled at least half-time, which is six credit hours/semester for undergraduates, and lasts at least 10 years.
  • North Park University maintains the promissory notes for this federal loan program. ACS is the servicer of these loans.
  • You must complete a Perkins Loan Master Promissory Note and Perkins Loan Entrance Counseling before your loan can be processed.

Federal Nursing Loans

  • Need-based loans given to third- and fourth-year traditional undergraduate nursing students; amounts vary.
  • Nursing loans are deferred while you are in school.
  • The current interest rate is 5%, and interest will begin to accrue when you begin repayment.
  • Repayment will begin nine months after you cease to be enrolled at least half-time, which is six credit hours per semester for undergraduates, and lasts at least 10 years.
  • North Park University maintains the promissory notes for this federal loan program. ACS is the servicer of these loans.
  • You must complete a Federal Nursing Loan Master Promissory Note (one time only), Nursing Loan Entrance Counseling (annually), and Self Certification Form (sent to you directly from the Financial Aid Office; must be completed annually) before your loan can be processed.

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 and 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 awarding. 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 they are denied for the PLUS loan, you will be eligible for an additional unsubsidized Stafford Loan.
  • The interest rate is a fixed 7.21%.  Loans first disbursed on or after July 1, 2014, will be subject to an origination fee of 4.288%.  Loans first disbursed on or after October 1, 2014 will have an origination fee of 4.292%.
  • 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 credits per semester for undergraduates, when completing the PLUS Loan Application. Parents 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, and has never borrowed a PLUS Loan on your behalf, s/he must complete both the PLUS Loan Application and the PLUS Loan Master Promissory Note (MPN) online using his/her own FAFSA PIN.
  • If your parent has borrowed a Direct PLUS Loan in the past, s/he only needs to complete the PLUS Loan Application. The MPN does not need to be redone. The PLUS Loan Application is completed online. S/he will use his/her own FAFSA PIN to sign into the website to complete this application.
  • Parents that have borrowed a PLUS Loan for the 2013–2014 academic year and wish to make changes to the loan must submit a PLUS Loan Change Form form to the Financial Aid Office. This form must be completed by the parent borrower of the PLUS Loan, not the student.

Graduate PLUS Loans

  • If you are a graduate student, and you have borrowed your annual limit of Federal Stafford Loans, then you can apply for a Graduate PLUS Loan, which is a credit-based loan guaranteed by the federal government.
  • The current interest rate is a fixed 6.41%. Loans first disbursed on or after June 28, 2013, will have an origination fee of 4.204%.  Loans first disbursed on or after December 1, 2013 will have an origination fee of 4.288%.
  • Repayment begins 60 days after the final disbursement has been sent to North Park and the repayment term is up to 10 years. You do have the option to defer payment while you are enrolled at least half-time (four credit hours per semester). You can choose this option when you complete the PLUS Loan Application or by contacting Direct Loan Servicing ((800) 557-7394) after the loan has been disbursed. There is no penalty for prepayment.
  • Two documents must be completed for this loan to be processed: the Grad PLUS Loan Application and, if your loan is approved, the Grad PLUS Loan Master Promissory Note. Both are completed online using your FAFSA PIN.

Private Loans

  • We recommend exhausting all federal financial aid options before applying for a private loan as private loans are not regulated by North Park or the government and are often not as favorable as the PLUS and/or unsubsidized Stafford Loans.
  • Most dependent students will need a credit-worthy cosigner to be approved for a private loan.
  • The application process and terms of the loan (interest rate, repayment terms, etc.) are set on an individual basis, and are usually related to the credit of the borrower and his or her cosigner. Make sure you read and understand all of the terms of the loan before you agree to borrow these funds.
  • Some private loans require a school certification, so the loan is added to your account as pending aid and the funds are sent directly to North Park. Others do not, so the funds are sent directly to you. Once you receive the loan funds, you must make a cash payment to North Park. Be advised that direct to consumer loans are often more expensive than loans that require school certification.
  • Student Lending Analytics provides a valuable tool for finding the right private loan to meet your needs.

Exit Counseling

Students who leave the University are required to complete exit counseling for their federal student loans (Stafford, Perkins, and Nursing Loans, if applicable). Exit counseling will explain to you your rights and responsibilities as a student loan borrower. While you may have already paid off your loans, made payment arrangements with your lenders and servicers, or will be continuing your education elsewhere (which means that you will not begin repayment at this time), this exercise will provide you with valuable information about your student loans.

It is likely that you have borrowed multiple types of federal and/or private loans. You may have borrowed funds from a variety of lenders or loans may have since been sold to another lender/servicer. It is important to keep track of what you borrowed and who currently owns your loans so that you remain current on your accounts. You can access your federal loan history online. You will need your FAFSA PIN to access your records.

  • Exit counseling can be completed online. You must complete an exit session for each loan type that you borrowed while at North Park as each program has its own rules and regulations. The Financial Aid Office will receive your information electronically.
  • Stafford Loan Exit Counseling session can be done online. You will need your FAFSA PIN to complete the counseling session.
  • All Perkins and Federal Nursing Loan Exit Counseling sessions are completed online with Mapping Your Future.

One final note as you leave North Park and enter repayment: please make sure that you keep your contact information up to date with your lender/servicer. Name and address information updated at North Park will not be forwarded to your lender/servicer.

North Park students walk across campus.