Federal Parental Loan for Undergraduate Students (PLUS)
Description:  Fixed interest rate
Eligibility:  Parent of dependent student enrolled at least half time; based on credit rating
Application: Free Application for Federal Student Aid (FAFSA)
Contact:  Ivy Tech Community College Financial Aid Office

It's our goal to make the financial aid process work as smoothly as possible for you. In doing so, we are providing the following information for those students who have anticipated eligibility for a Federal Stafford Loan. Please contact the Ivy Tech Community College - Lafayette Financial Aid Office at [765] 269-5616 if you have any questions regarding your loan application. Below is information regarding the Federal Family Education Loan Program [FFELP] at Ivy Tech Community College - Lafayette. Please follow all instructions carefully.

Federal Stafford Loan

The subsidized Federal Stafford Loan program is a program available to students with financial need. The unsubsidized Federal Stafford Loan program is available to students who do not have financial need. The interest rate on both types is variable; capped at 8.25%. Previous borrowers should review their promissory notes for repayment terms.

An origination fee of 3% of the loan principal will be deducted. Additionally, an insurance premium of up to 1% may be charged by the guarantee agency. As a result, the actual loan disbursement will be less than the amount for which the loan is approved. However, repayment of the entire amount is required.

The maximum amounts for Stafford loans are $2,625 for the first year of study, $3,500 for the second year.

First-time borrowers at Ivy Tech Community College must complete the online entrance loan counseling and verify class attendance. Attendance Verification Forms are available in the Financial Aid Office after the start of the term.

You will be required to attend an Exit Interview before leaving the college. Complete information regarding Stafford loan rights and responsibilities and repayment obligations will be provided at the Entrance Counseling Session and the Exit Interview.

Additional fees may be applied in addition to tuition. Textbooks and supplies are not included in tuition costs. Consult with your academic advisor to determine additional fees and costs.

1. A Free Application for Federal Student Aid [FAFSA] must be completed including any additional information required by the government and/or the Office of Financial Aid.
2. Students must be enrolled in a degree program [AS, AAS or TC]
3. Students must be enrolled in and attending at least 6 credit hours
4. First time Ivy Tech - Lafayette borrowers must wait at least 35-40 days after a term has started to receive loan funds. No loan funds are available to pay tuition the first time you borrow at Ivy Tech Community College - Lafayette.
5. All first time borrowers must complete verify class attendance and complete online entrance counseling.
6. Returning students must sign a deferment with the Cashier to use a loan to defer payment for tuition.
7. Students on financial aid probation are denied student loan eligibility in most cases.
8. Transfer students need to talk to the loan counselor to determine their loan eligibility.
9. If you are required to take brush up courses, you need to save your limited loan eligibility until you are program ready [taking 100 level or higher courses].
10. For any loan period, loan funds must be delivered in two disbursements.
11. Our office should be able to process your loan application within 3 - 4 weeks of submission. If you are a first time Ivy Tech borrower or on financial aid probation, we may wait until a term begins to process your loan.
12. You should confirm that your financial aid file is considered complete before turning in your loan application.
13. Once funds are received by the Cashier, the Financial Aid Office must verify your enrollment, loan counseling completion, and attendance before funds can be officially credited to your account; any refund check should be mailed to you 5-7 days thereafter.
14. Your High School Diploma/GED must be on file in the Admissions Office.

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These are the steps to follow in order to receive a Federal Stafford Loan at Ivy Tech Community College-Lafayette:

1. File the Free Application for Federal Student Aid [FAFSA]. Once you receive back FAFSA filing results in the form of a Student Aid Report [SAR], you may want to discuss your estimated grant eligibility with a financial aid counselor.
2. Submit any requested verification documents to the Financial Aid Office in order to receive an official Financial Aid Notification [FAN]. The FAN [or award letter] shows your grant eligibility, allowing you to decide how much, if any, student loan funding you will need.
3. Contact a lender to request a Federal Stafford Loan application [see information below]. Study the application and complete what you can, and work through the worksheet on the back of the form to determine your need for direct educational expenses.
4. Submit to the Financial Aid Office a Stafford Information Sheet.
5. Call or stop by the Financial Aid Office to make an appointment for an initial loan counseling session. During this counseling session you will turn in your loan application for processing, decide how much to request, and be able to ask individual questions with a counselor.
6. Verify class attendance. Forms are available in the Financial Aid Office after the start of the term
7. Complete the on-line entrance counseling by clicking here.

HOW TO CHOOSE A LENDER

To obtain a Federal Stafford Loan application, you should request an application from a participating commercial lender or credit union; if you have borrowed before, you should request an application from the lender you have used in the past. Federal guidelines regulate the primary features of the student loan programs; though lender services can vary widely.

HOW MUCH SHOULD I BORROW?

In determining how much to request on your loan application, remember to request only what you absolutely need. And it is important to anticipate the length of time of your entire program of study, especially if you are just taking brush up courses.

WARNING: Debt will add up quickly! You may want to utilize the following calculator to determine your approximate need for direct expenses per term (There may be additional program specific fees - talk to an advisor for details):

Regardless of this figure, remember the maximum subsidized Stafford Loan for a typical first time borrower at Ivy Tech is $1313 per term [$2625 for a two-term loan].

To speak with a loan counselor, stop by the Financial Aid Office in Ivy Hall Room 1144 or call