Loans
Student loans are long-term, low-interest, borrowed funds that you must repay after you graduate or cease to be enrolled in your declared program at least half-time (six or more credit hours). Subsidized and unsubsidized federal loans are the most common type of student loan, with loans for parents and private loans also available.
If you receive a loan offer as part of your financial aid package and wish to accept it, you must follow the formal loan acceptance procedure. Before you borrow anything, be sure to carefully assess how much money you need to fund your education. You will need to have a completed Undergraduate Entrance Counseling and Master Promissory Note on file at studentaid.gov prior to receiving student loans.
Exit counseling related to student loans is also a mandatory federal requirement. Please see additional information below. Throughout the journey of considering and receiving a student loan, the EFSC Financial Aid team provides a variety of guidance and tools to help you manage your debt and prevent loan defaults that can impact a student’s financial future. View more on that in our default management section.
If you have questions about loans or other forms of financial aid at EFSC, please contact the Financial Aid Office.
How to Apply for Loans
When you complete the FAFSA, EFSC will automatically consider you for subsidized and unsubsidized Federal Direct Stafford Loans. Because your financial situation can change, you must reapply for financial aid each academic year.
Parents can apply for Direct PLUS Loans through the Federal Student Aid website. If you are seeking a private loan, you must apply directly through the individual lender.
Types of Loans
Federal Direct Subsidized Stafford Loans (FDSSL) are long-term, need-based loans that are available to undergraduate students at variable interest rates. Interest on FDSSLs does not accrue while you are enrolled at least half-time (six or more credit hours).
How Much Can I Borrow?
There are limits on the amount of FDSSL funding you are eligible to receive each academic year (the annual loan limit) and the total amount that you may borrow for undergraduate study (the aggregate loan limit). These vary depending on what year you are in school and whether you're a dependent or independent student:
| 1st Year in Program Annual Loan Limit | 2nd Year in Program Annual Loan Limit |
Aggregate Loan Limit |
|
|---|---|---|---|
| Dependent Students | $3,500 | $4,500 | $23,000 |
| Independent Students | $3,500 | $4,500 | $23,000 |
Annual and aggregate loan limits increase when you have completed 30 credit hours, so students pursuing a bachelor's degree may be eligible for additional aid.
Accepting an FDSSL
If you receive an FDSSL offer as part of your EFSC financial aid package and wish to accept it, you must follow the formal loan acceptance procedure, which includes reviewing and agreeing to the loan through the myEFSC portal, completing an online entrance counseling session, and signing a Master Promissory Note (MPN).
Repaying an FDSSL
Repayment on FDSSL loans begins six months after you graduate (the end of the grace period), when you drop to less than half-time enrollment, or when you withdraw from college completely. Additional information on this will be provided during your mandatory entrance counseling, as well as during your exit counseling, which you must complete when you leave school or enroll in fewer than six credit hours.
Federal Direct Unsubsidized Stafford Loans (FDUSL) are long-term, non-need-based loans with variable interest rates. Interest on FDUSLs begins accruing upon disbursement.
How Much Can I Borrow?
There are limits on the amount of FDSSL funding you are eligible to receive each academic year (the annual loan limit) and the total amount that you may borrow for undergraduate study (the aggregate loan limit). These vary depending on what year you are in school and whether you're a dependent or independent student:
EFSC's FDUSL Limits
| 1st Year in Program Annual Loan Limit |
2nd Year in Program Annual Loan Limit |
Aggregate Loan Limit |
|
|---|---|---|---|
| Dependent Students | $5,500 | $6,500 | $31,000 |
| Independent Students | $9,500 | $10,500 | $57,500 |
Annual and aggregate loan limits increase when you have completed 30 credit hours, so students pursuing a bachelor's degree may be eligible for additional aid.
Accepting an FDUSL
If you receive an FDUSL offer as part of your EFSC financial aid package and wish to accept it, you must follow the formal loan acceptance procedure, which includes reviewing and agreeing to the loan through the myEFSC portal, completing an online entrance counseling session, and signing a Master Promissory Note (MPN).
Repaying an FDUSL
You are responsible for paying interest on an FDUSL once it disburses including while you are still in school, during the six-month grace period after leaving school, and any time the loan is in deferment.
Principal repayment on an FDUSL loan begins six months after you cease to be enrolled at least half-time. Additional information on this will be provided during your mandatory entrance counseling, as well as during your exit counseling, which you must complete when you leave school or enroll in fewer than six credit hours.
Federal Direct PLUS Loans are unsubsidized loans that are available to parents of dependent students to help pay for educational expenses (up to the cost of attendance minus all other financial assistance). Interest is charged during all periods, with interest rates capped at 9%.
Applying for a DPLUS
The Federal Direct PLUS Loan application is available on the Federal Student Aid website. All applicants are subject to a credit check.
Receiving a DPLUS
If you are approved for a Direct Parent PLUS Loan, you must complete an online Master Promissory Note (MPN) using your own FSA ID (not your child's) before any funds will be disbursed. An insurance premium of 1% of the loan principal and a 3% origination fee will be deducted from the loan proceeds prior to disbursement.
Repaying a DPLUS
Principal and interest repayment on a DPLUS both begin once the loan disburses. Additional information on this will be provided in the individual terms and conditions of your loan.
We recommend that you exhaust your federal financial aid options before considering a private loan, which vary in terms, conditions, and eligibility requirements. To apply for a private loan, you must go through a private lender or bank, which may require a credit-worthy cosigner. EFSC does not keep a list of preferred lenders.
Exit Counseling
Student loans, unlike grants and work-study, are borrowed money that must be repaid, with interest. You cannot have these loans canceled because you weren’t satisfied with the education you received, didn’t get a job after graduation, or because you’re having financial difficulty. Loans are legal obligations that you must repay.
Exit counseling is required when you do one of the following:
- Graduate
- Withdraw
- Drop below half-time attendance (even if you have an approved leave of absence and plan to re-enroll at Eastern Florida State College, or transfer to another school)
Required information
During exit counseling that takes place online, you will need to provide the following information which will be included as part of your loan records. Make sure you have this information available with you when you start your exit counseling session on the Federal Student Aid website. You need to complete the session in one session as it cannot save your information, so allow approximately 30 minutes
- Names, addresses and phone numbers for your next of kin
- Two references who live in the United States
- Your future employer (if known)
- Driver’s license number (if you have a driver's license)
Why is exit counseling required?
- Because it is a mandatory federal requirement for any federal student loan borrowers.