Mother and two daughters enjoy time at Family Day

Loans

There are several types of loans available to Bluffton students, both federal loans and private student loans.

 

Students will qualify for one or more of the loans discussed below unless the student is in default on a previous student loan, has borrowed the maximum allowed or has already received financial aid sufficient to cover all their costs. Undergraduate students must have a minimum of six credit hours per semester to be eligible for loans. Students must complete the FAFSA to determine what type of loans and the amount they may be eligible to receive.

 

William D. Ford Federal Direct Loan Programs

 

All first-time direct loan borrowers at Bluffton must complete Entrance Loan Counseling and a Master Promissory Note at Studentloans.gov.

 

Federal Direct Subsidized Loans

    • Need based loan
    • No interest while a student is registered for at least six credit hours
    • Fixed interest rate of 3.86% for loans disbursed on or after July 1, 2013
    • 1.072% origination fee for new loans disbursed after Dec. 1, 2013.  1.051% origination fee continues for loans disbursed after July 1 and prior to Dec. 1, 2013

    • Repayment on the principal begins six months after completing program of study or dropping below six credit hours
    • Recent changes in the federal law eliminates the interest subsidy provided during the six-month grace period for loans disbursed between July 1, 2012, and July 1, 2014. Students receiving a subsidized loan during this timeframe will be responsible for the interest that accrues on the loan during the grace period. If a student does not pay the interest accrued, the interest will be added (capitalized) to the principal amount of their loan when the grace period ends.
    • More information about federal direct loans, including income-based repayment options 

 

Federal Direct Unsubsidized Loans          

    • Non-need based loan
    • Interest begins as soon as the loan is disbursed
    • Students may choose to make interest only payments while in school or choose to have the interest capitalized
    • Fixed interest rate of 3.86% for loans disbursed on or after July 1, 2013
    • 1.072% origination fee for new loans disbursed after Dec. 1, 2013.  1.051% origination fee continues for loans disbursed after July 1 and prior to Dec. 1, 2013

    • Repayment on the principal begins six months after completing program of study or dropping below six credit hours
    • More information about federal direct loans, including income-based repayment options 
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Federal Direct Parent PLUS Loan

    • Parents of dependent students may apply for this loan each year after May 1.  A new application must be submitted for each academic year.
    • If a Parent Plus loan or an estimated Parent PLUS loan is included on the award letter, you will need to take additional steps to secure that loan. You will need to complete both the application and the Master Promissory Note (MPN) at studentloans.gov .
    • The parent must pass a credit check to qualify for a PLUS Loan.

       

      If you do not wish to borrow the loan, contact the financial aid office and we will revise the student award.
    • Repayment on the principal and interest begins within 60 days after the second disbursement, with a 10 year repayment period. Deferment of repayment is an option.
    • Fixed interest rate of 6.41%
    • 4.204% origination fee 
    • Maximum amount that may be borrowed is the student's cost of attendance less other estimated financial aid.
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Federal Perkins Loans

 

Perkins Loans are awarded to students that have exceptional need as determined by the FAFSA and Bluffton University. Students who are awarded a Federal Perkins Loan for the first time will be required to complete an Entrance Interview and Master Promissory Note with the business office. The interest rate is a fixed 5%, but no interest will accrue during the in-school period and during the 9-month grace period. There is no origination fee for this loan.

 

Private education loans

 

Private education loans provide students an option for funding their education. For private education loans, please see FASTChoice for lender information and selection.