NEW YORK CITY COLLEGE OF TECHNOLOGY

Transcription

1 NEW YORK CITY COLLEGE OF TECHNOLOGY William D. Ford Federal Direct Loans Office of Financial Aid Namm G- 13

2 Attention CITYTECH Loan Borrowers We will not be utilizing the direct loan processing form on CUNYfirst. Beginning May 1 st Direct Loan Paper applications will be Available

3 How to Request a Federal Direct Loan Academic Year Please follow these easy steps to Request a Federal Direct Loan: 1. If you haven t already done so, file a Free Application for Federal Student Aid (FAFSA). 2. Complete all financial aid requirements on your CUNYfirst To-Do-List 3. Complete and submit a paper Direct Loan Processing Form to the Financial Aid Office. If you are a first-time Direct Loan borrower at NYCCT, you must complete the Entrance Counseling Session on-line at studentloans.gov and attach the confirmation page to the processing form. Submit both to the Financial Aid Office. You must sign an Electronic Master Promissory Note (e-mpn) at studentloans.gov using the FSA ID you used to complete your FAFSA, if you have not already done so at CITYTECH. What happens Next: * Allow at least 20 business days for your loan to be process. Once your request is submitted to the U.S. Department of Education, you will receive a Loan Disclosure Statement that summarizes the approved loan amount(s), and the anticipated dates of disbursement. (Disbursement dates for your loans will be based on when the loan was requested, reviewed and awarded). * Your loan will be disbursed in two payments. Each disbursement will be half of the total approved loan amount. First time borrowers will receive payment no earlier than the 30 th day of the semester, and the second disbursement will occur after the midpoint of the semester. You will receive notices from the college for each scheduled disbursement. Please check your CityTech account regularly. * Once your loan has been awarded, you can check the status on your CUNYfirst account. Please utilize the Account Inquiry link to view your pending aid. Pending means that you have been awarded the aid, but has not been officially disbursed. NOTE: If you have already submitted a loan request for the academic year, and you need to increase/reduce/cancel your loan, you must submit a paper Federal Direct Loan Status Change Form to the Financial Aid Office. If you received loans from another institution within the academic year, your annual loan limit will be reduced accordingly.

4 UPDATE!!!!!! CityTech Will Not Utilize the Online CunyFirst Direct Loan Processing Form Paper applications are available Now *We apologize for any inconvenience this may cause*

5 WILLIAM D. FORD FEDERAL DIRECT LOANS Academic Year The Direct Loan is not a Grant; it must be Re-paid Federal Loan interest rates and origination fees are finalized each year and announced by the U.S Department of Education. For current rates and fees, visit on types of Aid>Loans>Subsidized/Unsubsidized Loans. Subsidized Loans: If you are an undergraduate student and have financial need you are eligible for a Subsidized Direct Loan. With Subsidized loans no interest will be charged as long as you maintain at least half time enrollment (6 credits). Financial need is the difference between Cost of Attendance and your Expected Family Contribution. Unsubsidized Loans: The unsubsidized loans are charged an interest as soon as the funds are disbursed and is available to students who do not qualify for the subsidized loan. The difference in the unsubsidized loan is the interest accrues while the student is still in attendance. ********************************************* Most federal student loans have loan fees that are deducted proportionately from each loan disbursement you receive. This means the money you receive will be less than the amount you actually borrow. You're responsible for repaying the entire amount you borrowed and not just the amount you received. Maximum Loan Limits for Subsidized and Unsubsidized Federal Direct Loans Loans for Dependent students (Federal Direct Loans) The Amount You Are Eligible To Borrow Each Academic Year Maximum Subsidized Loan Additional Unsubsidized Loan Total Loan Combined Subsidized and Unsubsidized) 1 st Year (0-29 credits) $ 3, $2, $ 5, nd Year (30-59 credits) $ 4, $2, $ 6, rd Year and Beyond (BA Programs only) 60 credits $ 5, $ 2, $7, Loans for Independent students (Federal Direct Loans) The Amount You Are Eligible To Borrow Each Academic Year Maximum Subsidized Loan Additional Unsubsidized Loan Total Loan Combined Subsidized and Unsubsidized) 1 st Year (0-29 credits) $ 3, $ 6, $ 9, nd Year (30-59 credits) $ 4, $ 6, $ 10, rd Year and Beyond (BA Programs only) 60 credits $ 5, $7,00.00 $ 12, Aggregate Limits: (cap the total amount of Federal Direct Loans a student can accumulate) Dependent Undergraduates: $ 31,000 (no more than $23,000 may be subsidized) Independent Undergraduates: $ 57,500 (no more than $23,000 may be subsidized) **Once a student has reached the maximum aggregate loan limits, he/she is no longer eligible to receive federal student loans, and may instead consider a private student loan.

6 Things you need to know if you borrow a Federal Direct Loan Federal Direct Loan borrowers taking their first loan on or after July 1, 2013 may qualify for subsidized direct loans for a maximum of 150% of the published time of his academic program. Students will be limited to subsidized loans for 3 years in a 2 year program or 6 years in a 4 year program. Students reaching this limitation could receive unsubsidized loans if eligible. Additionally, borrowers who reach the 150% limitation will have their interest subsidy end for all outstanding subsidized loans. No loan will be certified for an amount greater than your cost of education. As a borrower, you are obligated to repay the full amounts of your loans, plus interest, even if you do not complete your program of study. Even if you Do Not like the school or program; or do not obtain employment after completing your program of study, you are required to abide by the terms of the loan. If your enrollment drops below half-time (6 credits), but you are not fully withdrawn, you may not be eligible for payment. If you withdraw from all of your classes during the semester, your loan will be Pro-rated, based on your length of enrollment. Once you drop below half-time (6 credits) enrollment, it is your responsibility to complete an Exit Interview online at Eligibility for Alternative /Private Loans (see attachment) ** Warning these loans are consumer loans, and are a very Expensive way of Financing your Education You should also visit the National Student Loan Database System (NSLD) website at to access your full loan history, Title IV grants, information about your loan and interest accrued on your loan(s) You should keep the Direct Loan Servicing Center and the Office of Financial Aid informed of any changes to your name, address, telephone number, social security number, employer, or enrollment status that might occur during the life of your loans. If you have any questions, you can call the Direct Loan Servicing Center at , or contact Ms. Wells the Direct Loan Coordinator at the Office of Financial Aid at MWells@citytech.cuny.edu or contact her at

7 Direct Loan Processing Form Academic year Borrower Information To Be Completed By Student (Please PRINT this information legibly) 1. Name:(Last) (First) 2. SS#: - - CUNYFIRST ID# address: 3. Telephone: ( ) Birth Date: / / 4. Permanent Address: Apt: 5. City: State: Zip: LOAN TYPES There are two types of William D. Ford Federal Direct Loans: The Subsidized is based on your financial need, and The Unsubsidized which is not based on need. You will automatically be considered for the Subsidized Loan. To be considered for the Unsubsidized Loan, you must check the box below. Interest will be charged on your Direct Unsubsidized loan from the day the loan is disbursed until the loan is paid in full. Please note: Your request will only be processed if you are registered as a matriculated student for at least part-time status (6 credits) within your grade level. 7. Direct Subsidized Direct Unsubsidized Loan Amount Requested: 8. Have you ever borrowed a Direct Loan from City Tech? Yes or No If you answered no, please make sure you are submitting your completed entrance interview with your loan request. 9. Will you be graduating from City Tech, before the end of the academic year? Yes or No If Yes; which semester will you be graduating 10. Which semester or semesters are you requesting your loan to be processed for? *Summer 2017 Fall 2017 Spring 2018 Please note: * Summer 2017 Direct Loan funds will only be disbursed when 6 matriculated credits have been completed. * If you are not meeting Satisfactory Academic Progress (SAP) your loan will not be processed. Processing Certification: Your signature below certifies that you understand that this is a processing form and not the Promissory Note. First time borrowers must sign The Master Promissory note on-line. Please note, that the Office of Financial Aid will determine eligibility for the William D. Ford Direct Loans based on Federal Law. Student s Signature: Date: / /

8 Section B: Loan Record Data (for office use only) Entrance Interview Date: / / Students Financial Awards/ Estimates: Dependency _ Transaction # Name of Program Program 2yr Grade Level as of 4yr AID 2.5 month F/orSp Acd yr Pell Other Aid Total Aid APTS SEOG FWS PERKINS SEEK Other Aid Other Aid TAP Other Aid Loans used doing acd yr at diff college Sub Unsub _ Name of college Budget EFC Need Total Aid Summer 17 (1) Credits Summer 17 (2) Credits Fall 17 Credits Spring 18 Credits Remaining Need Subsidized Loan Loan Amount Originated First time Borrower Loan History Y or N Budget Unsubsidized Loan Aggregate Sub reached max sub Y or N Aggregate Unsub reached max unsub Y or N Aggregate Total reached max Total Y or N Remaining Sub Need Remaining Unsub Need Total Aid Subsidized Loan Remaining Need Disbursement Plan used Loan Amount Originated Financial Aid Counselor Date of Origination Comments: