Subsidized Federal Direct Stafford Loan

Borrower:  Undergraduate students who demonstrate financial need (must be enrolled at least half-time, which is 6 credits).
Lender: Federal government.
Loan amount: Up to $3,500 per academic year for freshman grade level, $4,500 for sophomore grade level, and $5,500 for junior and senior grade levels.
Application Process: Complete the FAFSA annually. Accept the Federal Direct Loan offer in your eSIS. Complete online Entrance Counseling and/or the Master Promissory Note on the Stafford Loan Processing page.
Interest Rate: Loans disbursed between July 1, 2013 and July 1, 2014 have a fixed interest rate of 3.86%. The Federal government pays the interest on the loan while you are enrolled at least half-time, and during periods of approved deferment.
Repayment: Repayment begins six months after graduation or after you cease to be enrolled at least half-time, which is 6 credits. Each year while you are in repayment, you are required to pay at least $600 or the unpaid balance (which ever is less). Standard repayment is over a 10 year period; however, several repayment options are available that may extend the length of repayment. There is no penalty for early repayment. In order to assist you with your planning, the U.S. Department of Education provides very helpful budget and repayment calculators.

Unsubsidized Federal Direct Stafford Loan

Borrower: Undergraduate and Graduate students regardless of financial need (must be enrolled at least half-time, which is 6 credits for Undergraduates and 4 credits for Graduates).
Lender: Federal government.
Loan Amount: Undergraduates can receive up to $5,500 per academic year for freshman grade level, $6,500 for sophomore grade level, and $7,500 for junior and senior grade levels. Amounts are higher for independent students.
Application Process: Complete the FAFSA annually. Accept the Federal Direct Loan in eSIS.  Complete online Entrance Counseling and/or the Master Promissory Note on the Stafford Loan Processing page.
Interest Rate: Unlike the Subsidized Loan, financial need is not a requirement for the Unsubsidized Loan. The interest on the Unsubsidized Loan begins immediately upon disbursement and accrues at 3.86% for Undergraduate students for the 2013-14 academic year (5.41% for Graduate students).  Students can pay the interest quarterly or allow the interest to add to the principal.
Repayment: Repayment begins six months after graduation or after you cease to be enrolled at least half-time, which is 6 credits for Undergraduates and 4 credits for Graduates. Each year while you are in repayment, you are required to pay at least $600 or the unpaid balance (which ever is less). Standard repayment is over a 10 year period; however, several repayment options are available that may extend the length of repayment.  There is no penalty for early repayment. In order to assist you with your planning, the U.S. Department of Education provides very helpful budget and repayment calculators.

Federal Perkins Loan

Borrower: Undergraduate students with exceptional need (must be enrolled at least half-time, which is 6 credits).
Lender: UW-River Falls.
Loan Amount: Up to $1,500 per academic year.
Application Process: Complete FAFSA. Accept Perkins Loan offer in your eSIS. First-time borrowers must complete an online Entrance Counseling and sign a Master Promissory Note on Perkins Loan Processing page.
Interest Rate: Fixed at 5.0%. The Federal government pays the interest on the loan while you are enrolled at least half-time, during the grace period before repayment, and during periods of approved deferment.
Repayment: Repayment begins nine months after graduation or after you cease to be enrolled at least half-time, which is 6 credits. A minimum payment of $40 per month is required, and you have up to 10 years to repay the loan. There is no penalty for early repayment.

Federal Parent PLUS Loan

Borrower: Parents of dependent undergraduate students.
Lender: Federal government.
Loan Amount: Up to the cost of attendance, minus any other aid the student has received. Note that a 4% origination fee will be deducted from each loan disbursement.
Application Process: The student must have a FAFSA on file with UW-River Falls. The parent borrower must have a PIN from the U.S. Department of Education (the same PIN used to electronically sign the FAFSA). A stepparent may apply for a PLUS if the stepparent's information is included on the FAFSA. To apply, complete the Federal Direct Parent PLUS Loan Request and sign the Master Promissory Note on the Parent PLUS Loan Processing page.
Interest Rate: Fixed Interest Rate for the 2013-14 academic year is 6.41%.  Interest is charged on the loan from the date that the first disbursement is made.
Repayment: Repayment of interest and principal begins within 60 days after the loan is fully disbursed. Standard repayment is over a 10 year period; however, several repayment options are available that may extend the length of repayment. The parent may choose to postpone repayment until six months after the student graduates or ceases to be enrolled at least half-time, but interest will continue to accrue while repayment is postponed.

Federal Stafford and Perkins Loans allow for cancellations of all or part of the loan in return for certain types of teaching or public service. Please visit Student Aid on the Web for detailed information.

SELF Loan

Borrower: Students regardless of financial need who are a Minnesota resident (must be enrolled at least half-time, which is 6 credits). A credit-worthy co-signer is required.
Lender: Minnesota Office of Higher Education
Loan Amount: Up to $10,000 per grade level for students enrolled in a bachelor's degree, postbaccalaureate, or graduate degree program. Amount must also fit within your cost of attendance budget for a given academic year. The aggregate maximum for undergraduate SELF loans is $50,000.
Application Process and Interest Rate:  SELF Loan
Repayment: Quarterly payments on just the interest that is accruing are required while you are in school. Monthly repayment of principal and interest starts after you graduate or leave school.

Private Loans

Borrower: Students regardless of financial need. Meant to provide additional funds after you have applied for federal financial aid. Private loans often have higher interest rates and loan fees. For those reasons we highly recommend all students and families apply for federal financial aid through the FAFSA before applying for an private loan.
Lender: You choose between a variety of private banks and lenders on the online application.
Loan Amount: Up to your cost of attendance, minus any other aid you have received.
Application Process: Apply online through FASTChoice.
Interest Rate and Repayment: Unlike federal loans, the terms of alternative loans are set by the individual lenders. The interest rate and fees are determined by your credit history, your debt-to-income ratio and that of your co-signer. The interest rates for alternative loans are variable and are most often based on a range using the Prime or LIBOR as a base and add an additional percentage based on the borrower's credit. The current Prime and LIBOR rates are available at the Federal Reserve Statistical Release.

Unsubsidized Federal Direct Stafford Loan

Borrower: Students; regardless of financial need (must be enrolled at least half-time, which is 4 credits).
Lender: Federal government.
Loan Amount: Up to $20,500 per academic year.
Application Process: Complete the FAFSA annually. Accept the unsubsidized loan offer in your eSIS. Complete online Entrance Counseling and/or sign MPN on the Stafford Loan Processing page.
Interest Rate: The interest on the Unsubsidized Loan begins immediately upon disbursement and accrues at 5.41% for Graduate students for the 2013-14 academic year. Students can pay the interest quarterly or allow the interest to add to the principal.
Repayment: Repayment begins six months after graduation or after you cease to be enrolled at least half-time, which is 4 credits. Each year while you are in repayment, you are required to pay at least $600 or the unpaid balance (which ever is less). You have up to 10 years to repay the loan. There is no penalty for early repayment. In order to assist you with your planning, the U.S. Department of Education provides very helpful budget and repayment calculators.

Federal Graduate PLUS Loan

Borrower: Students; regardless of financial need (must be enrolled at least half-time, which is 4 credits).
Lender: Federal government.
Loan Amount: Up to the cost of attendance, minus any other aid the student has received. Note that an origination fee will be deducted from each loan disbursement.
Application Process: You must have a PIN from the U.S. Department of Education (the same PIN used to electronically sign the FAFSA) and a FAFSA on file with UW-River Falls. To apply for a Grad PLUS Loan, contact the UW-River Falls Financial Aid Office at finaid@uwrf.edu or 715-425-3141.
Interest Rate: Fixed Interest Rate for the 2013-14 academic year is 6.41%.  Interest is charged on the loan from the date that the first disbursement is made.
Repayment: Repayment of interest and principal begins within 60 days after the loan is fully disbursed, and the repayment term is up to 10 years. You may choose to postpone repayment until six months after you graduate or cease to be enrolled at least half-time, but interest will continue to accrue while repayment is postponed.

Federal Stafford Loans allow for cancellations of all or part of the loan in return for certain types of teaching or public service. Please visit Student Aid on the Web for detailed information.

SELF Loan

Borrower: Students regardless of financial need who are a Minnesota resident (must be enrolled at least half-time, which is 4 credits). A credit-worthy co-signer is required.
Lender: Minnesota Office of Higher Education
Loan Amount: Up to $10,000 per grade level for students enrolled in a bachelor's degree, postbaccalaureate, or graduate degree program. Amount must also fit within your cost of attendance budget for a given academic year. The aggregate maximum for undergraduate plus graduate SELF loans is $70,000.
Application Process and Interest Rate: SELF Loan
Repayment: Quarterly payments on just the interest that is accruing are required while you are in school. Monthly repayment of principal and interest starts after you graduate or leave school. 

Private Loans

Borrower: Students regardless of financial need. Meant to provide additional funds after you have applied for federal financial aid. Private loans often have higher interest rates and loan fees. For those reasons we highly recommend all students and families apply for federal financial aid through the FAFSA before applying for a private loan.
Lender: You choose between a variety of private banks and lenders on the online application.
Loan Amount: Up to your cost of attendance, minus any other aid you have received.
Application Process: Apply online through FASTChoice.
Interest Rate and Repayment: Unlike federal loans, the terms of private loans are set by the individual lenders. The interest rate and fees are determined by your credit history, your debt-to-income ratio and that of your co-signer. The interest rates for alternative loans are variable and are most often based on a range using the Prime or LIBOR as a base and add an additional percentage based on the borrower's credit. The current Prime and LIBOR rates are available at the Federal Reserve Statistical Release.