Federal Direct Student Loans- Beginning 2012-2103

• Federal Direct Subsidized Direct Loan- $3500.00 for first year students enrolled in a program that is a full academic year program. Repayment begins six months after student drops to less than half time status; student has up to 10 years to repay. Current interest rate is 0% in-school (subsidized by federal government) and beginning July 1, 2012, 6.8% during as soon as the student drops below 6 credits. Repayment begins 6 months later.

• Federal Direct Unsubsidized Direct Loan- Same amounts as Subsidized loan; if student is not eligible to receive funds from the Subsidized Direct Loan, limit cannot exceed $5500.00. Beginning in July 1, 2013 the interest rate is 6.8% and will accrue during in-school and six-month grace periods.

• Federal Direct Parent Loan for Undergraduate Students (PLUS)- Annual loan limit is the dependent student`s cost of education minus any estimated financial aid received. Repayment begins within sixty days of disbursement, or six months after student drops to less than half time status with up to ten years to repay. Beginning July 1, 2013 the interest rate is 7.9%.

ALTERNATIVE STUDENT LOANS

• Alternative Loans - Alternative loans should be a last resort for students whose financial aid package already includes Direct Loans and other sources of financial aid and still needs additional funding to meet their educational costs. Annual loan limit is the cost of education minus any estimated financial aid received. Eligibility is determined by the lender. The borrower may need to be credit worthy and have established annual income, or need a co-signer. Feel free to use the Word Wide Web or contact your personal banker to learn about Privarte Alternative Loans.