Federal Student Loan Information
The array of loan options available to finance medical/graduate education is potentially confusing. The Financial Aid Office will work closely with you throughout your years of medical/graduate school to assure that you have the information necessary for making informed decisions.
FIRST... a Federal Perkins Loan (if eligible)
Federal Perkins Loans are awarded to the students with the highest financial need. Because Perkins Loan funds are limited, recipients are selected by the University based on institutional policies. Eligibility for the subsidy -- interest payments on your behalf during in-school or deferment periods -- is based upon financial need, often medical students that apply for, and receive, need-based institutional financial aid will qualify. Because the federal government guarantees repayment, no collateral is required nor must a borrower have established credit. currently, the annual awards vary from $4,000 - $8,000. Due to Congressional action on December 18, 2015, the Perkins Loan Program is scheduled to end as of September 30, 2016. Only continuing borrowers will be able to receive a Perkins Loan for the 2016-2017 academic year.
THEN...an Unsubsidized Federal Direct Stafford Loan
The primary source of aid for any medical student who is a US citizen or permanent resident is the Unsubsidized Direct Stafford Loan. Like the Perkins Loan, an Unsubsidized Stafford is federally guaranteed, however there is no interest subsidy while the borrower is in school or deferment. Generally borrowers accrue rather than pay the accumulating interest during this period. For loans obtained through the Federal Direct Stafford Loan program, accrued interest is not capitalized until the end of the grace period. Currently the total unsubsidized Stafford loan amount available annually is $42,722 - $47,166, depending on your program and the length of your academic year.
The interest rate on Federal Stafford loans is fixed at 5.31% for loans disbursed after July 1, 2016. Interest accrues and capitalizes at the end of the grace period.
Federal Direct Stafford loans are obtained simply by submitting a FAFSA (Free Application for Federal Student Assistance) and additional materials as described in the financial aid application materials provided to all interviewed applicants and current students. First-time borrowers will have to complete online promissory notes for Federal Direct Stafford loans.
Finally, If Necessary
Most students will find the Stafford loan, in combination with family support and/or other financial aid, sufficient to meet their needs. If this is not the case for you, please then consider a Federal Direct Grad PLUS Loan to meet the difference between your resources and the estimated cost of attendance. Like the Stafford Loan, a Grad PLUS Loan is federally guaranteed, and there is no interest subsidy while the borrower is in school or deferment. However, a credit check is required for a Direct Grad PLUS loan..
Additional Loan Information
Evaluating a Lender
Comparison: Federal vs. Private Student Loans
FA Code of Conduct
For More Information:
Call us at (585) 275-4523 or email us at firstname.lastname@example.org. You can also stop by our office weekdays between 8:00 a.m. and 4:30 p.m. where our staff is available to assist you.