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1. Direct Subsidized Loans - Direct Subsidized Student Loans are based on financial need. The lender is the US Department of Education. Direct Subsidized Student Loan payments are deferred until 6 months after students graduate, transfer, leave school, or drop below half-time status. The interest rate is a fixed 6.8%. The maximum amount students can borrow is based upon grade level, course of study and financial need.
   
   
2. Direct Unsubsidized Loans - Direct Unsubsidized Loans are not based on financial need. The lender is the US Department of Education. Links to these forms are available at www.eicc.edu/studentloanapp. Principal payments are deferred until 6 months after students graduate, transfer, leave school, or drop below half-time status. However, students are responsible for repayment of the interest accrued from the date the funds are disbursed. The interest rate is a fixed 6.8%. The maximum amount students can borrow is based upon grade level and course of study.
   
   Students wishing to borrow under the Direct loan programs must complete a Master Promissory Note (MPN), a Loan Authorization Form (LAF), and an entrance interview form in addition to completing the FAFSA application. Links to these forms are available at www.eicc.edu/studentloanapp.
   
   
3. Direct Parent Loans for Undergraduate Students - Direct Parent Loans for Undergraduate Students are available to parents or legal guardians of dependent undergraduate students. Parents or legal guardians may borrow up to the cost of attendance minus any financial aid each academic year. Direct PLUS Loans have a fixed interest rate of 7.9%. The repayment period begins 60 days after the loan is disbursed, unless a deferment has been requested and granted. The interest begins to accrue upon initial disbursement.

The following information will help you with the student loan process. Please read the information carefully. If you have further questions, contact the Financial Aid Office.
 
Students wishing to borrow under the Direct loan programs must complete a Master Promissory Note (MPN), a Loan Authorization Form (LAF), and an entrance interview form in addition to completing the FAFSA application. Links to these forms are available at www.eicc.edu/studentloanapp.

1. Read the student loan application (now entitled Master Promissory Note - MPN) thoroughly. THIS IS A LOAN AND REPAYMENT IS REQUIRED.
   
   
2. There are limitations to the ways your student loan can be used. It is legal to use your student loan for tuition, fees, books, supplies, equipment, childcare and commuting costs. It is NOT legal to use your student loan to buy or lease a car or motorcycle, to pay for trips or vacations, to purchase gifts, or to give your loan proceeds to anyone else.
   
   
3. Your maximum loan eligibility will be determined by your individual circumstances such as enrollment, course of study, financial need, other financial aid resources, etc. The maximum loan limits are as follows:
    
    
   1. Direct Subsidized/Unsubsidized Stafford Loan (the combined total) cannot exceed the following amounts for loan periods beginning on or after July 1, 2007:
      Dependent
      $3500 per academic year for freshman status (0-29 earned credit hours)
      $4500 per academic year for sophomore status (30+ earned credit hours)
      Independent
      $7500 per academic year for freshman status (0-29 earned credit hours)
      $8500 per academic year for sophomore status (30+ earned credit hours)
      
      
   2. Direct PLUS- maximum limit cannot exceed cost of attendance minus any financial aid received per academic year. 
       
       
4. You must complete your financial aid file, MPN, LAF and entrance interview requirements before your loan may be processed. This includes completing the Free Application for Federal Student Aid (FAFSA), plus submitting any other documents requested by the Financial Aid Office. You may complete your entrance interview via the web at www.studentloans.gov - (This link will open a new browser window.). Once you access the site, simply select "entrance counseling" and follow the instructions.
   
   
5. Total loan must be repaid, including loan fees, that may be deducted before your loan is disbursed to you.
   
   
6. It will take approximately 4 weeks for your loan application to be processed by the Financial Aid Office and then forwarded to your lender. This time frame may be longer during our peak processing months. Your lender will notify you through a disclosure statement of the approximate date that your loan will be disbursed to the school.
   
   
7. The earliest date student loan refund checks will be mailed to first time borrowers is approximately 6 weeks after the semester begins. The earliest date for all other student loan refund checks to be mailed is approximately 4 weeks after the start of the semester.
   
   
8. Federal regulations require a minimum of 2 disbursements for all loans. If your loan period is for both Fall and Spring, your first check will be disbursed Fall semester and your second check will be disbursed Spring semester.
   If your loan period is only for one semester, your second disbursement will be made approximately mid-term of that semester.
   (Second disbursements are made only if your enrollment status and academic standing continue to meet the guidelines set forth in the EICCD Financial Aid Probation/Suspension Policy.)
   
   
9. Prior loans and other financial assistance may affect your eligibility to receive student loans. Changing your enrollment status may also affect your loan eligibility.
   
   
10. The following procedures are used to disburse your loan funds:
     
     
    1. When your funds are received at the college:
       The Financial Aid Office checks your enrollment and grade point average. If you are making satisfactory academic progress and attending classes, notification of funding is sent to the Business/Bursar's Office. All loan disbursements are received electronically. The Business/Bursar's Office determines whether any tuition, fees, books and/or supplies were charged against the loan. Your refund check (if applicable) is computer-generated and mailed to your home from the EICCD District Office.
       
       
    2. It can take up to ten (10) business days to receive a refund check after it has been mailed.
       
        
11. All student loan recipients are required by the federal government to attend an exit interview session shortly before graduating, transferring from, or leaving EICCD. If you have not already attended an exit interview session at EICCD, you must complete this requirement during your LAST semester of attendance at EICCD. You may complete this requirement via the web at www.nslds.ed.gov - (This link will open a new browser window.). Once you access the site, simply select "exit counseling" and follow the instructions.
    
    
12.  If you apply for a student loan, you are agreeing to comply with all the requirements listed above.