Direct Student Loans
What types of Direct Loans are available?
Direct Loans are generally awarded as part of a larger "award package," which may contain other types of aid as well, to help you meet the costs of going to college.
- The Direct Loan Program offers the following types of loans:
- Subsidized: for students with demonstrated financial need, as determined by federal regulations. No interest is charged while a student is in school at least half-time, during the grace period, and during deferment periods.
- Unsubsidized: not based on financial need; interest is charged during all periods, even during the time a student is in school and during grace and deferment periods.
- PLUS loans are low-interest loans for the parents of dependent students to help pay for education expenses up to the cost of attendance minus all other financial assistance. Interest is charged during all periods.
How much loan will I be eligible for?
The actual loan amount you are eligible to receive for an academic year is determined by calculating your unmet need. With a Direct PLUS Loan, the parent of a dependent student can borrow up to the cost of the student's attendance minus other financial aid the student receives.
If the parents are unable to borrow from the plus loan program, then the dependent student will be eligible to borrower the independent unsubsidized of $4000 ($2000 dependent & $4000 independent = $6000).
The financial aid office will notify you of the loan amounts you are eligible for by sending an award letter. Please note that in certain cases a student may receive more than one award letter. Students should evaluate their award letter and compare it to their tuition bill to ensure they have enough aid to cover their tuition and fees but that they are not borrowing more than they really need.
Keep in mind that whatever amount you borrow must be paid back with interest. CCBC establishes estimated cost of attendance based on the average student if your living expenses are not as high as the standard allowance projected, you may not have to borrow as much as the amount in the award letter. If you choose not to borrower the full amount of the loan, please notify the financial aid office in writing with the amount you wish to cancel.
The maximum amount you can borrow each year in Direct Subsidized and Unsubsidized Loans depends on your grade level (CCBC only has 1st & 2nd grade levels) and on whether you are a dependent student or an independent student. The following table shows the maximum amount of money you may borrow each academic year in Direct Subsidized and Unsubsidized Loans:
$5,500 (maximum $3,500 subsidized)
3rd- and 4th-year undergraduate
NA (All graduate and professional students are considered independent.)
1Except those whose parents are unable to borrow a PLUS loan.
2These limits also apply to dependent students whose parents are unable to borrow a PLUS loan.
3The numbers in parentheses represent the maximum amount that may be subsidized.
The actual loan amount you are eligible to receive for an academic year is determined by your school and may be less than the maximum annual amounts shown in the chart above.
NOTE: Student who wish to reduce the amount of unsubsidized loans should check with Finanical Aid to see if they are eligible for Federal Work Study funding. For more information see the Work Study section of this page.
Below are the aggregate (total) limits for Direct Subsidized and Unsubsidized Loans:
- $31,000 for dependent undergraduate students excluding those whose parents are unable to borrow a PLUS Loan (no more than $23,000 may be subsidized)
- $57,500 for independent undergraduate students and dependent undergraduates whose parents are unable to borrow a PLUS loan (no more than $23,000 may be subsidized)
- $138,500 for graduate or professional students (no more than $65,500 may be subsidized; includes loans for undergraduate study)
These aggregate limits include both Direct Subsidized and Unsubsidized Loans and any subsidized and unsubsidized Federal Stafford Loans received through the Federal Family Education Loan (FFEL) Program.
Applying for Direct Loans
Here are the steps for students to complete the MPN at www.studentloans.gov:
Please note that your FAFSA must already be completed.
1. Sign in using your FSA User ID that you used for the FAFSA Application
2. Complete Entrance Counseling if you are a first time student loan borrower.
3. Complete the Master Promissory Note: It takes approximately 30 minutes and must be completed in one session.
4. Select Subsidized/Unsubsidized Loans.
5. Hit submit.
Here are the steps for parents to complete the application and MPN for Direct Plus Loans at www.studentloans.gov:
1. Sign in using the same FSA User ID for parents that you used for the FAFSA Application.
2. Complete the Promissory Note this is the parents promise to repay the loan.
3. Complete the plus loan application this is the actual application.
Repayment of Student Loans
The most important step in student loans is repayment. Once you leave CCBC or drop to below 6 credits you will receive information regarding the repayment of your student loans. These websites will provide you with some additional information and resources with regards to repaying your loans.
www.studentloans.gov- this website provides usefull information regarding financial awareness, exit counseling, repayment tools and calculators.
www.nslds.ed.gov- this website provides student with access to view the grants and loans they have recieved as well as information regarding the servicer of your student loans.
www.studentclearinghouse.com- this website provides students with the ability to verify enrollment if the attend another institution
www.youcandealwithit.com -this website provides additional information regarding different repayment options.
Grant programs provide financial aid that does not need to be repaid for students with demonstrated financial need. To apply for grant programs, you must complete a Free Application for Federal Student Aid (FAFSA). Please note: To receive aid you cannot be in default on a federal student loan and/or owe a repayment on a federal grant.
Federal Pell Grant
The Federal Pell Grant is a gift aid program that is based on financial need. In order to qualify for the PELL Grant you must:
- Be enrolled as an undergraduate student.
- Make satisfactory academic progress
- Demonstrate financial need (calculated by the Federal Government).
- The maximum number of semesters a student can recieve a pell grant is 12.
Federal SEOG Grant
Federal SEOG Grants are available to students with exceptional need. Any student wishing to be considered for this grant must:
- Enroll as an Undergraduate Student.
- Demonstrate exceptional need.
- Make satisfactory academic progress
PHEAA State Grant
The PHEAA State Grant program is a gift aid program based on financial need determined by PHEAA. PHEAA will send you an estimated award notice; however, your award is contingent upon meeting the criteria listed below. In order to qualify for the PHEAA State Grant you must:
- Be a Pennsylvania resident.
- Submit a FAFSA by May 1st.
- Enroll in an Associate Degree Program.
- Enroll as an Undergraduate Student
- Enroll at least half-time (6 or more credits).
- Make satisfactory academic progress according to PHEAA's progress policy guidelines.
- Take at least 50% of your program in the classroom.
- Complete the State Grant Status Notice (If required)
State Grant Status Notice Independent Student
State Grant Status Notice Dependent Student
PHEAA Special Programs
PHEAA offers several other specialized programs to students. For more information on PHEAA State Grant and Special Programs go to www.pheaa.org or contact the Financial Aid Office.
Financial Aid Grant Program Questions
Questions regarding financial assistance or the application process may be directed to:
- CCBC Financial Aid Office at 724-480-3501
- Federal Grant Programs at 1-800-433-3243 or 1-319-337-5665
- State Grant and Special Programs at 1-800-692-7392 or 1-717-720-2860
Federal Work Study
Federal Work Study is a federally funded need based program designed to assist students in paying for their educational cost. It is an alternative to Federal Student Loans. The college will assist you in reducing your student loan debt by using work study funding prior to unsubsidized loan when processing financial aid. Students can work up to 20 hours a week around their classes and be paid $7.25 an hour. Student can earn up to $ 4640.00/academic year.
Eligibility is determined by the Financial Aid Office. In order to be eligible to participate in Federal Work-Study, you must be:
1. Download and complete a Student Employee Application.
2. Return the application to the Financial Aid Office.
3. The Financial Aid Office will determine your eligibility and send you an award letter as to how much you will receive.
4. The Financial Aid Office will forward your name, address and telephone number to all department on campus that are currently hiring Federal Work Study students.
5. The supervisor will contact you directly for an interview.
6. If you are hired then you will need to complete an orientation with career services.
7. If hired you must also provide Human Resources with two forms of ID and complete all forms required prior to your first day of work.
Important Information Regarding Work Study
- You must be hired as a work-study in order to receive the work study grant.
- You will receive a pay check, the college will not put this money towards your tuition and fees.
- The financial aid office must receive all the necessary paper work in order for you to receive the funds from work study.
Please contact the financial aid office at 724-480-3501 with question regarding your eligibility.
Please contact the payroll office at 724-480-3358 with questions regarding your pay.