Various Loan Programs
As a student, there are several loan programs available to you. These include federal, state, and private (alternative) loans. You will find explanations for all of these programs below.
Federal Direct Loan Program
Direct loans are available to all students who complete the FAFSA. These are low-interest rate loans that help students pay for the cost of a college education.
There are two categories of direct loans: subsidized and unsubsidized.
- Subsidized loan: the government pays the interest while the student is in college
- Unsubsidized loan: the student is responsible for the interest while in college
First-time borrowers are required to complete entrance counseling and a Master Promissory Note (MPN) to take out a direct loan. The entrance counseling will give you, the borrower, important information about your rights and responsibilities as you take out a Federal Direct Loan. It is legally required and should be completed by you, the student. Once you complete entrance counseling, continue on and complete the Master Promissory Note (MPN). When completing the MPN, the borrower is agreeing to repay the borrowed funds, including any applicable interest and fees. While Kuyper College will list the maximum loan you may borrow on your financial aid package, we strongly urge that you do not borrow more than you need.
The link below will direct you to the site that provides access to entrance counseling and the direct loan MPN. You will be required to log in with your user ID and password.
Though the lender is the U.S. Department of Education, your loan servicer may be a private business.
Loan Repayment: Repayment begins six months after the student drops below six credit hours, graduates, or leaves school.
Information on direct loans, entrance counseling, and the Master Promissory Note can be found here.
Direct PLUS Loans
The Direct PLUS Loan is for parents to help pay for the cost of a dependent student’s education. After the student has applied for the Federal Direct Loan, if there are still additional funding needs, parents can borrow on behalf of their dependent student through the Federal Direct PLUS Loan program. If the parent is denied a PLUS loan, the student will be eligible to borrow an additional $4,000 through their unsubsidized Direct Loan.
The link below will guide you to the Direct PLUS Loan application. You will be required to log in with your four-digit PIN to begin the application process.
Information on Direct PLUS Loans can be found here.
Alternative loans (also known as private loans) are available to help students meet educational costs not covered by federal, state, institutional, or personal resources. These loans are provided by private lending institutions, as opposed to the federal government.
- Typically require a co-signer
- Require a credit check and/or low debt-to-income ratio
- Accrue interest while you are in school
- May require payment while you are in school
- Have fixed or variable rates
Kuyper’s Financial Aid Office has a preferred lender list. The list is comprised of lenders who we have confidence in and trust their level of customer service and benefits. The use of the preferred lender list is not required. Students may choose any lender. If this happens, the student should make the Financial Aid Office aware of the lender information so that the loan can be certified. Kuyper College will not delay processing for a loan that is not from one of the preferred lenders.
Information on additional alternative private loans can be found here.
Kuyper College Code of Conduct for Financial Aid Professionals
Information on the Kuyper College Code of Conduct for Financial Aid Professionals can be found here.