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The Federal Direct Ford Loan is a low-interest loan to help you meet the costs of
postsecondary education. The federal government is the lender.
Eligibility
All students enrolled at least half-time
in postsecondary education are eligible to borrow under this program provided you
have not already borrowed the maximum cumulative amount at prior institutions.
The federal government requires that you file a Free Application for Federal Student
Aid (FAFSA) to assess eligibility for the in-school interest subsidy. Additional
required forms include tax returns and a verification form (if requested). Students
who are not eligible for the in-school interest subsidy may still borrow through this program,
but will be responsible for paying interest or allowing it to accrue while they
are enrolled in college.
Annual Maximum Loan Limits for Undergraduates
Please note: Aggregate lifetime subsidized undergraduate loan limit is $23,000.
Interest Rate
This rate for 2011-12 is fixed at 3.4% (6.8% for graduate students).
The federal government pays the interest on the loan while the student is enrolled
at least half-time in postsecondary education if the student qualifies for the
in-school subsidy. Those who do not qualify for a subsidized loan have the option
of accruing interest while enrolled, or paying interest-only on a quarterly basis (note, unsubsidized Direct Loans have a 6.8% interest rate).
Loan Fees
Loans are paid to a student’s account
after an origination fee is taken out. For 2011-12, the fee is 0.5% of the
loan amount.
Disbursement Requirements
Loan proceeds are generally disbursed in
two equal installments, one per semester. First-time borrowers must complete an on-line promissory
note and online entrance counseling
at https://studentloans.gov before loan proceeds may be
applied to their student account. Sign-in requires use of your 4-digit federal student aid PIN.
Repayment
Repayment begins six months after you graduate,
withdraw, or drop below half-time enrollment.
All students are eligible to borrow up to an additional $2,000 in Federal Unsubsidized Loan, depending on their calculated family contribution.
Independent
students and Dependent students whose parents are denied for a federal PLUS Loan may be eligible to borrow additional amounts through this program.
Annual Maximum Loan Limits for Undergraduates
Interest Rate
This rate for 2011-12 is fixed at 6.8%.
There is no in-school interest subsidy. Students have the option of allowing interest
to accrue during periods of enrollment, or paying interest quarterly.
Loan Fees
Loans are paid to a student’s account
after an origination fee is taken out. For 2011-12, the fee totaled 0.5% of the
loan amount.
Disbursement Requirements
Loan proceeds are generally disbursed in
two equal installments, one per semester. First-time borrowers must complete an on-line promissory
note and on-line entrance counseling at https://studentloans.gov before loan proceeds may be
applied to their student account. Sign-in requires use of your 4-digit federal student Aid PIN.
Repayment
Repayment begins six months after you graduate,
withdraw, or drop below half-time enrollment.
Smith College Loans are made available through private funds administered by Smith
College. These funds are limited and loans are awarded at the discretion of
the Student Financial Services staff.
Interest Rate
Six percent (6%) beginning six months
after you graduate, withdraw, or drop below half-time enrollment. Interest does not accrue while in school and during the 6 month grace period following separation from Smith.
Disbursement
The Loan is disbursed in two equal payments
to your tuition account after you sign and submit a promissory note for this loan.
Repayment
Repayment begins six months after you graduate,
withdraw or drop below half-time enrollment. The monthly payment amount depends on the amount borrowed, but will not be less than $50.
Perkins Loans are federally-guaranteed student loans in which the schools serve as lenders. Loans are need-based and are awarded at the discretion of Student Financial Services. Funding is limited.
Eligibility
Your eligibility depends on many factors,
but is determined by your calculated federal eligibility. You must file a FAFSA
to have your need assessed. Additional forms required include tax returns and a
verification form (if requested).
Traditional Undergraduate Student Loan Limits
Student Financial Services
determines the amount not to exceed the federal limits of:
Fees
None.
Interest Rate
Five percent (5%), starting nine months
after you graduate, withdraw, or drop below half-time enrollment.
Disbursement Requirements
Full-year Perkins Loans disburse in equal semester installments. They pay directly to borrowers' tuition accounts.
First-time borrowers of this loan type at Smith must satisfy two one-time disbursement requirements before this loan can disburse. The requirements are as follows:
PERKINS ENTRANCE COUNSELING: Do online at www.mappingyourfuture.org. We receive the results electronically.
MASTER PROMISSORY NOTE: Enclosed with the official award letter. Promptly sign, date and return.
Repayment
Repayment begins nine months after you graduate,
withdraw or drop below half-time enrollment. The minimum payment is $40 a month.
The repayment period is ten years.
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