Widener University

GRADUATE LOANS

Federal Stafford Loan
The Federal Stafford Loan is a low interest federal loan funded by banks and other lenders. The interest rate is fixed at 6.8 percent.  Depending on need and other aid, the interest that accrues on the loan can be subsidized or unsubsidized. If the student has a demonstrated need, the federal government will pay the interest for the student while he/she is enrolled in school on at least a half-time basis and during grace and deferment periods. 

American Education Services (AES) offers Keystone BEST loans to Pennsylvania resident students and to students attending Pennsylvania schools.  In collaboration with Pennsylvania lenders, Keystone BEST loans are offered as reduced or no fee loans to the borrower.  Widener University recommends our students take advantage of these loans offered by any of the participating Keystone BEST lenders.  To determine our recommended lender lists, Widener University issued a national Request for Information to education lenders and has focused on loan rates and terms and a strong commitment to customer service.

Widener University recommends the following Keystone BEST Federal Stafford loan lenders for 2008-2009 (Lenders may change their fee structures and benefits at any time) :

       * Borrowers are free to select any lender they choose including those not listed.  The order lenders are listed is not intended nor does it reflect the University's position with respect to any lender.  Fees indicated are for loans that are disbursed on or after after July 1, 2008. 

Widener University will pre-certify a Federal Stafford Loan after a determination of eligibility is made. New students will receive a pre-printed Master Promissory Note in the mail from AES Loan Services. The note should be completed and returned to AES to complete your application and approval. Continuing students will be certified for renewed Federal Stafford eligibility each year and should notify the Office of Student Financial  Services to reduce or reject a loan offer. 

Eligibility
Degree-seeking students who are enrolled at least half time may receive Federal Stafford Loan funding as long as they meet the general eligibility requirements.

Borrowing Limits
The following limits apply:

^a Clinical Psychology students may borrow an additional $12,500 in unsubsidized funds due to the elimination of the HEAL program.

Cost of Borrowing and Repayment
A maximum of two percent in guarantee and origination fees can be deducted from the loan when it is disbursed depending on the lender you choose. Loan repayment begins six months after a student ceases to be enrolled on at least a half-time basis. The repayment term is usually 10 years, and the minimum monthly payment is $50.

Federal Graduate PLUS Loan
The Graduate PLUS Loan is a federally guaranteed, credit-based loan available to assist graduate/professional students in financing their education. Student Financial Services is recommending that students, who require additional funding after other aid, including Federal Stafford Loans, consider borrowing through the Grad PLUS program (New Jersey resident students should check on the New Jersey Class Loan Program prior to borrowing a GradPLUS Loan).  Information on Graduate PLUS loans and how to apply for the Keystone PLUS for Graduate Students can be found at www.aessuccess.org.  

• Fixed 8.5% Interest Rate
  Repayment begins 60 days after the loan is fully disbursed. However, students enrolled at least half-time will automatically be put in an in-school deferment.
• 3% Origination Fee charged at disbursement
  Credit check based on 'no adverse credit'; income and credit score will not affect eligibility. Students can borrow up to the difference between cost of attendance and other financial aid.

You will need to indicate the amount you would like to borrow as part of the process. In order to facilitate your application, you may sign it with your PIN from the Free Application for Federal Student Aid (FAFSA) process.  To determine our recommended lender lists, Widener University issued a national Request for Information to education lenders and has focused on loan rates and terms and a strong commitment to customer service.

Widener University recommends the following Grad PLUS loan lenders for 2008-2009 (Lenders may change their fee structures and benefits at any time):

            * Borrowers are free to select any lender they choose including those not listed.  The order lenders are listed is not intended nor does it reflect the University's position with respect to any lender.  Fees indicated are for loans that are disbursed on or after July 1, 2008.

Federal Perkins Loan
A Federal Perkins Loan is a need-based federal loan administered by Widener University. It is a subsidized loan, meaning that no interest accrues while you are in school. You also receive a nine-month grace period that starts as soon as you graduate, withdraw, or enroll less than half time at Widener. The Federal Perkins Loan carries a five percent interest rate and the minimum monthly payment will be at least $40.

If you are eligible for a Perkins Loan, you will be contacted by the Perkins Loan Office to schedule a Perkins Loan Entrance Interview and to sign your promissory note. Upon leaving Widener, you must attend an Exit Interview where your rights and responsibilities will be reviewed and you will receive further information on repayment. For more information, contact the Perkins Loan Office at 610-499-4172.

Student Loan Frequently Asked Questions and Answers