Types of Financial Aid
Loans for Students
Most financial aid packages consist of scholarships, work-study and loans. The student loan debt for recent graduates has ranged between $17,000 and $20,000.
Here is information regarding loans that may be included in your financial aid package. Additional information on loans beyond those included in a financial aid package is available on our "Other Financing Options" page.
Federal Direct Loan for Students:
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Regardless of financial need, any US citizen or permanent resident can borrow a Direct Loan if a FAFSA is filed
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3.4% subsidized and 6.8% unsubsidized fixed interest rate for 2012-13
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Subsidized (within need) portion accrues no interest while student is in college
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The portion of the loan that is "beyond financial need" is unsubsidized, which accrues interest upon disbursement
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Hamilton includes only subsidized loan in our financial aid awards. Depending on eligibility, additional loans may be borrowed to offset the expected family contribution
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The amount of subsidized loan offered will increase each year as the student advances to the next year of study (from freshman to sophomore; from sophomore to junior; and from junior to senior). In most cases, the amount offered is the maximum subsidized loan limit as indicated in the table below
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The completed Direct Loan Request Form must be returned to the Financial Aid Office. Most students receiving aid will find a personalized loan form when accessing the financial aid award area of their online My Hamilton account
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Students are required to sign a Master Promissory Note (MPN)
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An online entrance counseling session must be completed prior to the loan disbursement
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An origination fee (1.0%) will be removed prior to disbursement
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Loan proceeds will be credited directly to the student account within 10 days prior to the start of classes for both semesters
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An in-person exit counseling session is required upon graduation or if you drop below half-time attendance
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Repayment begins 6 months after graduation or if you drop below half-time attendance
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Federal regulations require that student loan information be reported to the National Student Loan Data System. Students should monitor their loan information while in school and after graduation.
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Additional information is available via the Direct Loan Website and the Direct Loan Basics for Students brochure.
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Federal Student Loan limits for the 2012-13 academic year:
Year of Study
|
Maximum Subsidized / Unsubsidized Base Amount for Federal Direct Student Loan
|
Additional Unsubsidized Amount for Federal Direct Student Loan
|
Maximum Federal Direct Student Loan Eligibility
|
|
Freshman |
$3,500
|
$2,000
|
$5,500
|
|
Sophomore |
$4,500
|
$2,000
|
$6,500
|
|
Junior |
$5,500
|
$2,000
|
$7,500
|
|
Senior |
$5,500
|
$2,000
|
$7,500
|
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Federal Student Loan Interest Rates:
Academic Year
|
Subsidized
Interest Rate
|
Unsubsidized
Interest Rate
|
|
2012-13 |
3.4% |
6.8% |
|
2011-12 |
3.4% |
6.8% |
|
2010-11 |
4.5% |
6.8% |
|
2009-10 |
5.6% |
6.8% |
|
2008-09 |
6.0% |
6.8% |
Federal Perkins Loan:
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5% fixed interest rate
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Students cannot request a Perkins Loan; Hamilton receives limited Perkins funds and distributes according to our policy
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Eligibility is based on financial need and students are notified in Award Letter
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Students sign for their loan in the Business Office after the start of classes each term
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An online entrance counseling session must be completed prior to the loan disbursement
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An in-person exit counseling session is required upon graduation or if you drop below half-time attendance
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Repayment begins 9 months after graduation and must be repaid in 10 years
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Federal regulations require that student loan information be reported to the National Student Loan Data System. Students should monitor their loan information while in school and after graduation.
