Non-Traditional Graduate Aid
Federal Aid
Any student who wishes to apply for federal programs must be a U.S. citizen, permanent resident, or an eligible noncitizen.
Stafford Direct Loan Program
Direct Stafford Subsidized Loan
This is a need-based loan with the interest paid by the federal government through the six-month grace period after graduating, leaving school, or falling below half-time enrollment.
Please note that Budget Control Act of 2011 eliminates subsidized loans for graduate students beginning July 1, 2012. Students will still be eligible for the full $20,500 annual amount but all loans will be completely unsubsidized.
Direct Stafford Unsubsidized Loan
This is a non-need based loan with interest starting to accrue upon disbursement. The student has the option to postpone payment of interest, which is then capitalized or added to the principal balance.
Continued Eligibility:
You must make satisfactory academic progress to continue receiving loans and financial aid. Please refer to the satisfactory academic progress policy for further information.
Amount:
- Up to $20,500 in a combination of subsidized and unsubsidized
- $8,500 maximum subsidized, depending on financial need
Renewable:
Yearly—Students must complete the FAFSA and Information Application – AI (PDF) form every year. Additional forms might be requested, if selected for verification.
Interest and Fees:
- Interest fixed at 6.8 percent
- Loan fee of 1 percent of the principal amount charged for each Direct Loan that you borrow. The total fee is reduced to 0.5 percent after an up-front rebate equal to 0.5 percent of the principal amount.
Repayment:
Repayment begins six months after you graduate or drop below half-time status, unless you have previously used your grace period. Standard repayment is 10 years.
Federal Direct Graduate PLUS Loan
General Eligibility:
- You must apply for the maximum amount of Direct Stafford loan.
- You must be a U.S. citizen or eligible noncitizen and have a valid Social Security number.
- You must meet basic eligibility requirements. If you cannot meet the requirements, you may be eligible if you have a creditworthy endorser/cosigner.
Continued Eligibility:
You must make academic progress to continue receiving loans and financial aid. Please refer to the satisfactory academic progress policy for further information.
Amount:
You may borrow up to the cost of attendance, minus any other aid, scholarships, or loans.
Renewable:
Yearly—Students must complete the FAFSA and Information Application – AI (PDF) form every year. Additional forms might be requested, if selected for verification.
Interest and Fees:
- Fixed at 7.9 percent
- The 4 percent loan fee is reduced to 2.5 percent after an up-front rebate equal to 1.5 percent of the principal amount.
Repayment:
Repayment begins within 60 days of the last disbursement. The option to postpone payment is available while the student is enrolled in school at least half-time.
Detailed information is available at www.studentaid.ed.gov.
Alternative Loans
A private student loan is a nonfederal loan issued by a lender such as a bank or credit union. Private student loans often have variable interest rates, require a credit check and a co-signer, and do not provide the benefits of federal student loans. These loans are designed to cover costs that are not eligible to be paid by a Federal Direct Loan, i.e. a past-due balance from a previous semester or less than half-time attendance.
Federal Direct Loans generally have more favorable terms and conditions than private loans. We recommend that you utilize all Direct Stafford Loan eligibility before turning to private loans.
Students who need additional funds beyond the Stafford Loan should consider the Direct PLUS Loan before applying for a private loan.
Azusa Pacific University uses a wide range of private lenders based upon their ability to provide good service to our students. Students may apply for a private loan from a list of recommended lenders or feel free to choose another lender who provides education loans.
APU’s private lender list is without prejudice and is for the sole benefit of students attending the institution. Employees responsible for processing loans adhere to a strict student loan Code of Conduct.
