Student loans are borrowed money that must be repaid, with interest. They are legal obligations. All Federal Direct Subsidized and Unsubsidized student loans, Graduate PLUS Loans, and Parent PLUS Loans are funded through the U.S. Department of Education, with the exception of Perkins Loans and Federal Nursing Loans.

How to Apply for Loans Complete the FAFSA application at www.fafsa.gov. Federal Direct Student Loans These loans are for undergraduate and graduate students. You must be enrolled as at least a half-time student to be eligible for them. There are two types of loans, subsidized and unsubsidized. Subsidized Loans You must have financial need to receive a subsidized loan. The U.S. Department of Education will pay the interest on subsidized loans while you are enrolled as a half-time student and during certain other periods. The lender is the U.S. Department of Education.   Unsubsidized Loans Financial need is not a requirement to obtain a unsubsidized loan. You will be required to pay interest on these loans from the time of disbursement. The lender is the U.S. Department of Education.   Federal Perkins Loans These loans are awarded to undergraduate and graduate students who demonstrate financial need. The lender is the University of Mary. Federal Nursing Loans These loans are awarded to junior and senior nursing students. These loans are awarded to undergraduate and graduate students who demonstrate financial need. Students must be enrolled half-time to qualify. The lender is the University of Mary. Parent PLUS Loans These are loans that parents can obtain to help pay the cost of education for their dependent undergraduate student. Students must be enrolled at least half-time for the parents to qualify for this loan. The parents must qualify for the loan and will begin repayment immediately upon disbursement. The lender is the U.S. Department of Education. Grad PLUS Loans Graduate students may apply for these loans when all other student loan eligibility has been exhausted. The student must be enrolled at least as a half-time student and repayment will begin upon disbursement. The student must qualify for this type of loan. The lender is the U.S. Department of Education Alternative Education Loans As you pursue your educational goals, we understand that meeting the cost of your education can be a major concern. It is important to first consider your lowest cost options which include scholarships, state grants, and federal aid. The terms and conditions of federal loans may be more favorable than the provisions of private education loans. We encourage you to complete the Free Application for Federal Student Aid (FAFSA) to determine your eligibility for federal and state aid. Prior to applying for an alternative loan, you should be aware that the terms and conditions of private alternative loans are different than your federal student loans. Below is a link to a comprehensive list of lenders used by our students for the processing of alternative loans. The University of Mary financial assistance office and its staff do not endorse, or accept any incentives, financial or otherwise, from any lender. Lender information is provided as a courtesy and in now way should it be interpreted as a requirement to use one of the lenders listed below. The University of Mary will process loans from any lender that participates in any educational loan programs. Effective February 2010, the Federal Reserve and the Department of Education implemented new rules and regulations that impact students who borrow private educational loans. All lenders must be in compliance with the new regulations and each lender may handle the process differently. We encourage you to contact your lender regarding processing and disbursement time frames. Remember, alternative education loans are private student loans that help supplement federal financing. Alternative borrowing sources should be a last resort for students. These are private loans that students must apply for and qualify for based on the lender's requirements. Since these are private loans, they have different terms, conditions, repayment options and fees than federal loans do. Alternative education loans cannot be consolidated with federal loans. Federal funding sources should be pursued first by completing the FAFSA application. Click here for a comprehensive lender list Consider the following when selecting a private alternative loan lender: Value and Benefits What fees does the lender charge? Does the lender offer competitive rates and pricing? Does the lender offer interest rate reductions and rebates? How easy is it for you to earn and keep rate reductions and rebates? Customer Service Does the lender recommend that students maximize their use of free aid and federal loans prior to considering a private loan? Can you apply online and do you have 24/7 access? Repayment Options When will you have to start repaying your loan? Does the lender offer a variety of repayment options & solutions? Does the lender educate borrowers about effective debt management? Experience and Longevity Is the lender a steady and responsible lender with a track record that demonstrates its commitment to students? Loan Entrance Counseling Before we can apply for your Federal Direct Student Loan (subsidized or unsubsidized), Federal Perkins Loan or Federal Nursing Loan, regulations require that you complete an entrance counseling session. The counseling session provides information about how to manage your student loans, both during and after college. Even if you have completed loan entrance counseling at another institution, this step is required as a first time borrower at the University of Mary. You may need to complete more than one session depending on the type of loan you are awarded. Subsidized and Unsubsidized Loans: Complete loan counseling at http:/www.studentloans.gov. Graduate PLUS Loans: Complete loan counseling at http:/www.studentloans.gov. Perkins/Nursing Loans: Counseling will be completed through ECSI, a loan servicer. If you are awarded a Perkins or Nursing loan, you will be contacted by ECSI. Master Promissory Notes (MPN) A promissory note is a binding legal document you sign when you get a student loan. It lists the conditions under which you're borrowing and the terms under which you agree to pay back the loan. You will complete your Direct Loan Master Promissory Note at http:/www.studentloans.gov. If you were awarded a Federal Perkins Loan or a Federal Nursing Loan, your promissory note will be completed through ECSI. Funds cannot be released to your University of Mary student account to pay your tuition and fees until you complete a promissory note. Learn more about your financial aid options at http://www.finaid.org.