Federal & State Financial Aid

In order to be considered for these loans, you need to fill out a current FAFSA on the web

• Eligible U.S. citizens and permanent residents may qualify for up to $20,500 each year from the Stafford Loan programs. • Students who have completed their coursework but are registered for Doctoral Studies or Continuous Registration still qualify for Federal Stafford Loans. • These loans are made by various lending institutions and are insured by the federal government. • There are two types of loans available, subsidized and unsubsidized (see below for clarification). • An origination fee of 3% is deducted from the loan proceeds prior to disbursement, which means that if you are offered $20,500 in Federal Stafford Loans, you will net $19,885. • The interest rate for unsubsidized loans is currently a fixed rate of 6.8%. • Repayment begins six months after the borrower graduates, leaves school, or drops to less than half-time enrollment (under 4 units). • First-time Stafford loan borrowers are required to show evidence of completing a loan counseling session before their funds will be disbursed.  You may satisfy this requirement by completeing the on-line Entrance Counseling questionaire at Complete your Graduate Entrance Counseling.

Subsidized Loans The subsidized Federal Stafford Loan is for students who demonstrate financial need. The federal government subsidizes (pays) the interest until repayment begins. The federal limit is $8,500 per academic year.

Unsubsidized The unsubsidized Federal Stafford Loan is the portion of the Federal Stafford Loan for which the student does not show need. It may be all or part of the Federal Stafford Loan up to the annual and aggregate loan limits. Eligibility for the subsidized portion must be determined prior to the unsubsidized portion, and the student is responsible for the interest on the unsubsidized portion, which begins to accrue at the time of disbursement. The student may or may not elect to defer this interest while in school at least half-time. A student who is eligible for a reduced amount on the subsidized Stafford loan may receive the balance through the unsubsidized Stafford loan. The combination of the subsidized and the unsubsidized may not exceed the annual and aggregate loan limits on the Federal Stafford Loan program. The federal limit per academic year is $12,000.

Federal Perkins Loans The Federal Perkins Loan program provides low interest (currently 5%) long-term loans to assist in paying educational costs. All students who meet the priority deadline of March 3, 2003 are considered for an award for the 2003-2004 academic year. The amount awarded to individual students depends on federal allocations to the institution and the student's financial need. Loans range from $500 to $6,000 with a cumulative maximum of $40,000 for a student's graduate education (including all Perkins and NDSL amounts borrowed as an undergraduate or graduate student). Repayment begins following a short grace period (9 months) after the student has ceased to be enrolled at least half-time. Interest begins to accrue when repayment starts. The minimum quarterly payment is $120 and the maximum repayment term is 10 years.

Federal Work Study The Federal Work-Study program is designed to provide assistance to students in meeting their educational costs while enrolled at CGU by providing employment opportunities both on and off-campus. Hourly pay rates vary depending upon the individual employer and type of work performed. Receiving a work-study award does not guarantee employment. Awarded students are eligible to interview for available positions. Current listings of open positions are posted in the Office of Student Financing. Priority for the 2003-2004 academic year is given to those students who meet the financial aid priority deadline of March 3, 2003.

State Financial Aid Programs Graduate APLE The Graduate Assumption Program of Loans for Education (Graduate APLE) provides loan assumption benefits for up to 500 students who are pursuing a recognized graduate degree and intend to become college-level faculty. Students will be awarded up to $2,000 per year for up to three years of teaching service at an accredited California college or university. Application procedures and deadline information is available at www.csac.ca.gov.

Loan Assumption Program for Teacher Education Students If you are a teacher serving in a low-income or subject-matter shortage area, it might be possible to cancel or defer your Federal Stafford and/or Perkins loans.   http://studentaid.ed.gov/PORTALSWebApp/students/english/teachercancel.jsp?tab=repaying