Loan Information for Students and Parents

Whitworth University administers federal Stafford and PLUS loans through the Federal Direct Loan Program. Borrowers complete the necessary processes and Whitworth facilitates the funding directly from the federal government. Below are links to web pages that will provide additional information on the Federal Direct Loan Program.

Federal Direct Stafford Loan Program Information

Federal Direct Parent Loan Program Information

Click on the loan program below to jump to more information and application processes:

Federal Direct Stafford Loan

Federal Perkins Loan

Federal Direct Parent Loan

Federal Direct Graduate PLUS Loan

Private Education Loans

Federal Direct Stafford Loans:

These loans are government-insured student loans. Students must file a FAFSA in order for the financial aid staff to determine eligibility. There are two types of Stafford Loans.

• Subsidized Stafford Loans are need-based loans subsidized by the federal government, which ensures that all interest charges during school and periods of deferment are paid by the government. The interest rate on this loan is currently fixed at 3.4% for undergraduate students and 6.8% fixed for graduate students. Students have six months from the day they are no longer enrolled at least half-time (see below) to begin repayment. Interest is not charged while students are in their grace period.

• Unsubsidized Stafford Loans are non-need-based loans that are not subsidized by the federal government. Students are responsible for all interest charges during school and periods of deferment. Students can defer interest payments until they begin repayment. The interest rate on this loan is currently fixed at 6.8 percent. Students have six months from the day they are no longer enrolled at least half-time (see below) to begin repayment on both principal and interest.

It is a federal regulation that institutions disclose to students the average amount a student would borrow on all federal loan programs in their respective program of study. Below is a chart that indicates these average borrowed amounts for students who participated in a federal loan program as compiled for the 2011-2012 academic year.

*The Standard Repayment Plan is the most aggressive payment plan offered by the Federal Direct Program.   There are other repayment plans that are offered and would reduce the monthly payments. 

Enrollment status information that has an impact upon loan repayment:

Undergraduate students must be enrolled in six credits or more to be considered half-time.

Graduate students must be enrolled in three credits or more to be considered half-time.

Online processes required for borrowers on the Stafford Loan Program

Complete Federal Direct Stafford electronic master promissory note: www.studentloans.gov

• You will need your federal PIN in order to complete this process.

Complete Stafford entrance loan counseling process: www.studentloans.gov

• Allow 30 minutes to complete the process.
• Read all text carefully.
• Print your "Borrowers Rights and Responsibilities" for your records.
• Print the "Verification" page that indicates that you have completed and passed the quiz. You may need this page as proof of completing this process. Please retain it in your records.

Complete Stafford exit loan counseling: www.studentloans.gov

• You will need your federal PIN in order to complete this process.

The Stafford exit loan counseling process will be required once a student is no longer enrolled at least half time.

As of March 2012, the following are the current federal Stafford and PLUS loan servicers:

Perkins Loan

• Federal Perkins Loan Information

Federal Parent Loans

Parents who are interested in borrowing a Federal Parent Loan for the 2012/2013 academic year should review the following information:

The online processes required to request and apply for a Federal Parent Loan require a federal PIN. The parent borrower who completes the online request form must be the same parent who completes the electronic PLUS Master Promissory Note. Parents are notified online at the time they make the request if the loan is approved or denied.

Visit www.studentlloans.gov to complete an online request form. The parent must login to begin the request process. You will be asked to choose the academic year for which you are borrowing. (For students who are attending fall 2012, parent borrowers should select the 2012/2013 academic year.)

• Approved borrowers- need to complete an electronic PLUS Master Promissory Note available on the same site.

• Denied borrowers - will be given options within the request process to pursue an endorser, challenge the credit decision with the processor or offer an additional Unsubsidized Stafford Loan to his/her student.
  
  

Federal Direct Graduate PLUS Loans

The Federal Direct Graduate PLUS program is similar to the Federal Direct Parent Loans. To be considered for a Graduate PLUS Loan, students must first apply with a FAFSA to determine eligibility for the Stafford Loan Program. This loan is not based on financial need; the student must show credit-worthiness, and interest is charged while the student attends school. Principal and interest repayment begins within 60 days from the date that the student is no longer enrolled at least half-time.

To apply for a Graduate PLUS Loan, a student must complete the Federal Direct Graduate Parent Loan Request Form online at www.studentlloans.gov . The student must login into order to access the request process.

If the student is approved for the loan, the student then needs to complete the following two online processes.

• Complete Federal Direct Graduate PLUS Promissory Note:

• Complete entrance loan counseling for a Graduate PLUS Loan.

• General Information