REPAYMENT INFORMATION
The acceptance of a loan is a very serious legal obligation. It is, therefore, imperative that all student borrowers have a thorough understanding of all terms and conditions of the loan. The Financial Aid Office staff is available to answer questions concerning interest rates, repayment terms, etc.
The following table demonstrates the loan repayment associated with a total loan amount of $15,000 (the average indebtedness of current ASU students) calculated at various interest rates with the maximum pay period of 120 months.
| Interest |
Monthly |
Total |
| Rate |
Payment |
Interest |
| 5% |
$159.10 |
$4,092.00 |
| 6% |
$166.53 |
$4,983.69 |
| 7% |
$174.16 |
$5,899.20 |
| 8% |
$181.99 |
$6,838.80 |
| 9% |
$190.01 |
$7,801.20 |
ENTRANCE AND EXIT COUNSELING REQUIREMENTS
Students receiving funding through the federal loan programs must complete entrance counseling before receiving the first loan disbursement. Prior to graduating, transferring, or dropping below half-time status, all federal loan recipients must complete exit counseling. Entrance and exit counseling is required to inform each borrower of his/her rights and responsibilities as a loan recipient, and to allow an opportunity for questions concerning the program requirements and repayment options. Entrance and exit counseling is provided via the Internet.
FEDERAL PERKINS LOAN
The Federal Perkins Loan is a need-based loan program available to students who enroll at least half-time. Awards are limited to award year (Y) and aggregate (A) maximums (undergraduate: Y =$4,000, A = $20,000; graduate: Y =$6,000, A = $40,000 including any undergraduate amount). The current interest rate is 5% and does not accrue while the student is enrolled at least half-time. Repayment begins 9 months after the student ceases half-time enrollment. In addition to deferment benefits, loan cancellation for employment in designated teaching and public service areas is offered.
FEDERAL STAFFORD LOAN
The Federal Stafford Loan is a loan program offered through participating lending institutions for the purpose of making available low-interest loans to students who enroll at least half-time. Repayment of the principal begins 6 months after the student ceases half-time enrollment. The interest rate is variable, capped at 6.8%.
Stafford Loans are either subsidized or unsubsidized. A subsidized loan is awarded on the basis of financial need. The federal government pays the interest on the loan until the student begins repayment and during authorized periods of deferment. An unsubsidized loan is not awarded on the basis of need. The borrower will be charged interest from the time the loan is disbursed until it is paid in full.
Awards are limited to award year and aggregate maximums based on the borrower's grade level and dependency status for financial aid purposes.
| Dependent Undergraduate Loan Limits: |
| Freshman |
$3,500 per yr (sub/unsub) |
| Sophomore |
$4,500 per yr (sub/unsub) |
| Junior |
$5,500 per yr (sub/unsub) |
| Senior |
$5,500 per yr (sub/unsub) |
| Aggregate |
$23,000 (sub/unsub) |
| Independent Undergraduate Loan Limits: |
| Freshman |
$3,500 per yr (sub/unsub) $4,000 per yr (additional unsub) |
| Sophomore |
$4,500 per yr (sub/unsub) $4,000 per yr (additional unsub) |
| Junior |
$5,500 per yr (sub/unsub) $5,000 per yr (additional unsub) |
| Senior |
$5,500 per yr (sub/unsub) $5,000 per yr (additional unsub) |
| Aggregate |
$46,000 (no more than $23,000 can be subsidized) |
| Graduate Loan Limits: |
| Annually |
$8,500 per yr (sub/unsub) $10,000 per yr (additional unsub) |
| Aggregate |
$138,500 (includes undergraduate loans and no more than $65,500 can be subsidized) |
FEDERAL PARENT LOAN FOR UNDERGRADUATE STUDENTS (FPLUS)
The Federal Parent Loan for Undergraduate Students (FPLUS) is a loan program offered through participating lending institutions and is available to the parents of dependent students who enroll at least half-time. Eligibility is not determined on the basis of need. Repayment begins 60 days after full disbursement of the loan amount. The interest rate is variable, capped at 8.5%. Awards are limited to the student's cost of attendance less financial aid (including any Subsidized Stafford Loan eligibility).
COLLEGE ACCESS LOAN PROGRAM (CAL)
College Access Loans (CAL) are offered through the Texas Higher Education Coordinating Board (THECB) and are designed to assist students whose families are experiencing difficulty meeting the expected family contribution toward the educational costs.
Students wanting to apply for the CAL loan must meet the below requirements:
- The student borrower must be a Texas resident.
- Be enrolled at least half-time (6 hours)in a course of study leading to an associate, bachelor, graduate or higher degree.
- Meet the satisfactory academic policy set by ASU.
- Receive a favorable credit evaluation or provide a cosigner who has good credit standing and meets other requirements as outlined by the THECB.
- Students applying for the CAL loan are required to complete a Free Application For Student Aid (FAFSA).
- Students do not have to demostrate need, however, the amount of federal aid for which students are eligible must be deducted from the published cost of attendance (COA) in order to determine the CAL loan amount.
THECB no longer accepts paper applications, to apply for the CAL loan or to view the CAL loan fact sheet regarding re-payment terms, interest rates and origination fees, please click the link below.
Additional Information about the CAL Loan
TEXAS B-ON-TIME LOAN PROGRAM
The purpose of this state-funded program is to provide non-interest bearing loans to eligible students to enable them to attend colleges and universities in Texas. Additionally, the Texas B-on-Time Loan Program provides loan forgiveness |
