Loans

Federal Stafford Loans Federal Stafford Loan is a federal loan available to both undergraduate and graduate students. Loan amounts are based on academic class level, and range up to $12,500 for undergraduate and teacher credential and $20,500 for graduate master. Two types of Stafford loans are available:   Subsidized Federal Stafford Loan: If you have financial need, you qualify for a subsidized Stafford Loan and the government pays the interest while you are in school. Unsubsidized Federal Stafford Loan: Unsubsidized Stafford loans are available to students without consideration of financial need. You are responsible for all interest payments. Payments can be deferred. Cal Poly Pomona processes their loans through the ELM Loan Delivery System. To view a list of suggested Lenders. For the use of lenders not listed on the participating lender list please visit the Office of Financial Aid and Scholarships for further info. The terms and conditions of all the loan programs are the same for each lender, but lender policies may vary. Students are encouraged to inquire about these differences. Some of the differences may include; servicing the loan, consolidation, repayment options, repayment incentives. Second Teacher Credential Program Students are NOT ELIGIBLE for any Financial Aid, including Loans. Participating Lenders Benefits: Participating lenders are selected based on the benefits they offer to students during the life of the loan. We select participating lenders who offer the benefits we believe are the most useful and money saving for students.    All lenders submit a “Request for Information” (RFI’s) in which we ask detailed questions about borrower benefits, repayment options, deferments, customer service and loan servicing. All RFI’s are reviewed on an annual basis to determine the best selection of participating lenders for our students. Interest Rate: The interest rate is fixed at 6.80% for unsubsidized and 5.60% for subsidized (starting 07/01/09). Repayment Term: Subsidized and Unsubsidized Stafford loans are payable beginning six months after you graduate or are enrolled less than half time. Deferments are available, including deferment of payment for service under the Peace Corp Act, and service under the Domestic Volunteer Service Act of 1973 or comparable service as a volunteer for a tax-exempt organization of demonstrated effectiveness in the field of community service. For further information regarding these types of deferments, students must contact their lenders. If you are a first time borrower, you must attend a loan entrance workshop before the loan request can be processed. Schedules are available in the Office of Financial Aid and Scholarships. You may also complete the entrance workshop requirement on-line.

Federal Plus Loans: PLUS loan is a federal loan for parents of undergraduate students. Eligibility is not based on financial need. Parents may borrow from $100 up to the total cost of attendance minus any other financial aid received. The interest rate is fixed at 8.50%. Repayment begins sixty days after disbursement of the total loan for the year. A valid FAFSA must be completed each academic year. Federal Graduate Plus Loans: Graduate PLUS loan allows graduate or professional student to borrow from $100 up to the total cost of attendance minus any other financial aid. The interest rate fixed at 8.5% for the life of the loan. Interest rate begins to accrue immediately upon disbursement. Payments may be deferred until after graduation or as long as the student is seeking a degree and is enrolled at least half-time.   Federal Perkins Loans: The Perkins loan is a federal loan for undergraduate and graduate students. This loan is based on financial need. The interest rate is 5%, and interest and repayment begins nine months after you graduate or are enrolled less than half time. Loans range up to $3000 per year. Alternative Loans: Alternative loans are offered by many lenders as an addition to the Federal Student loan program. Alternative loans can also assist borrowers who do not qualify for the federal program. Interest rates, fees, and repayment vary from lender to lender. A valid FAFSA must be completed each academic year.                                                                                                                Back to Types of Aid