Student Loans & Federal Grants

You can pay for college through various means. Student Loans are a popular option.  Whether your college journey is just starting or it is underway, you need to often find funds to make it happen and sustain it.

Student Loans are one type of Financial aid available to you if you qualify. The financial aid process requires completing an application and submitting paperwork. This process can take 4-6 weeks, so file as early as possible to allow time for application processing.

 

Federal Direct Loan

 

What is it?

  • A subsidized and/or unsubsidized loan that has a low, fixed interest rate.
  • Loan amounts cannot exceed the college's Cost of Attendance minus any other aid received by the student.
  • Each loan is assessed a 1% processing fee by the federal government at the time the loan is disbursed.

Who is eligible for this financial aid program?

  • To be eligible for a Subsidized Direct Loan, you must demonstrate financial need as determined by the Expected Family Contribution (EFC) calculated on the FAFSA, and be enrolled at least half time (6 credit hours or more per semester) at one of the Maricopa Community Colleges.
  • To be eligible for an Unsubsidized Direct Loan, you must be enrolled at least half time (6 credit hours or more per semester).
  • You must meet all other Terms and Conditions and eligibility requirements for this financial aid program to receive funds.

Does it have to be repaid?

  • Loans must be repaid with interest. Use the Repayment Estimator to review repayment plan options and estimated monthly payments.
  • Interest is charged from the time the loan is disbursed until it is paid in full.
  • Repayment of principal (the amount of the loan itself) and interest begins 6 months after the student graduates, leaves schools or drops below half time status (takes less than 6 credit hours in a semester).
  • The government pays the interest on Subsidized Loan while the student is in school.
  • The student is responsible for interest that accrues on the Unsubsidized Loan at the time of the first disbursement.

To learn more about Direct Student Loans and to complete Entrance Counseling, a Master Promissory and Exit Counseling, please visit www.studentloans.gov.

 

Federal Direct PLUS Loan (Parent Loans for Undergraduate Students)

 

What is it?

  • A loan available to your parents/guardians if you are a dependent undergraduate students. The maximum amount of funds available to be disbursed is the Cost of Attendance minus any other aid that the student is receiving.
  • Each loan is assessed a 1% processing fee by the federal government.

Who is eligible for this financial aid program?

  • If eligible, you must be enrolled at least half time (taking 6 or more credits per semester).
  • The parent/guardian borrower must be approved through the Direct Loan credit check process.

Does it have to be repaid?

  • Interest is charged from the time the loan is disbursed until it is paid in full. Repayment begins 60 days after the loan has been fully disbursed.

Learn more about applying for financial aid programs and determining your eligibility.

 

Federal Pell Grants

The Federal Pell Grant program is the largest provider of student grants. Pell Grants provide tuition assistance to undergraduate students demonstrating financial need. To those who are eligible, Pell Grants do not need to be paid back.