Loans

In order to qualify, student must:

• Have completed FAFSA results on file
• Be enrolled at least half-time (6 financial aid eligible hours)
• Meet all other eligibility criteria for receiving Federal Student Aid.

Interest rates

For loans first disbursed on or after 7/1/26 and before 7/1/27 the interest rate is 6.52%.

       The U.S. Department of Education pays the interest on a Direct Subsidized Loan

• while you’re in school at least half-time
• for the first six months after you leave school (referred to as a grace period)
• during a period of deferment (a postponement of loan payments).

Repayment

Begins when student graduates or ceases to be enrolled at least half time for a period of at least 6 months.

• For repayment plan options visit Federal Student Loan Repayment Plans.

Eligibility Amounts

• First year students (30 semester credit hours or less): $3,500 per academic year.
• Second year students (students who have completed more than 30 semester credit hours): $4,500 per academic year.
• The allowable aggregate amount of Direct Loans for an undergraduate student is $23,000.

Loan Fees

A loan fee is proportionately deducted from each loan disbursement. The percentage varies depending on when the loan is first disbursed, as noted below:

Origination Fee:
First disbursement on or after October 1, 2020 and before October 1, 2027	Fee = 1.057%

 

In order to qualify student must:

• Have completed FAFSA results on file.
• Be enrolled at least half-time (6 financial aid eligible credit hours)
• Meet all other eligibility criteria for receiving Federal Student Aid

Interest rates and repayment options:

For loans first disbursed on or after 7/1/26 and before 7/1/27 the interest rate is 6.52%.

The student is responsible for paying the interest on a Direct Unsubsidized Loan during all periods.

• Repayment begins when student graduates or ceases to be enrolled at least half time for a period of at least 6 months.
• For repayment plan options visit studentaid.gov.

Eligibility Amounts:

• First year independent students (students who have completed less than 30 semester credit hours): up to $6,000. Awarded $4,000 and must submit an Offer Revision Form requesting additional funding
• Second year students (students who have completed more than 30 credit hours): $6,000. Awarded $4,000 and must submit an Offer Revision Form requesting additional funding
• Dependent students are eligible for up to $2,000 in unsubsidized loans annually, but must submit an Offer Revision Form requesting the additional loan funding.
• Dependent students whose parents have applied for and been denied a PLUS loan are eligible for Unsubsidized Loans in the same amounts as an independent student. A form is emailed to the student when the PLUS loan denial is received.
• The allowable aggregate (lifetime) amount of Subsidized and Unsubsidized Loans for an independent undergraduate student is $57,500. For a dependent undergraduate student, the aggregate amount is $31,000.

Loan Fees

A loan fee is proportionately deducted from each loan disbursement. The percentage varies depending on when the loan is first disbursed, as noted below:

Origination Fee:
First disbursement on or after October 1, 2020 and before October 1, 2027	Fee = 1.057%

For more information on interest rates and fees for federal student loans, please visit here: Understanding Federal Student Loan Interest Rates and Fees.

Federal Student Loan Exit Counseling

If you borrowed a Federal Student Loan (Federal Direct Subsidized or Federal Direct Unsubsidized loan) while attending Columbus State and are no longer taking classes**,  the Department of Education requires you to complete Exit Counseling.

Exit Counseling can be completed online in about 30 minutes.  The counseling session will ensure you understand your student loan obligations and are prepared for repayment.

You'll learn about what your federal student loan payments will look like after school and explain your payment options.

**Email notifications are sent to students upon graduation or dropping below half-time (6 credit hours) stating the requirement to complete Exit Counseling.

For additional information, visit Exit Counseling | Federal Student Aid, choose "I am an Undergraduate Student," and log in using your FSA ID.

The Federal Direct PLUS (Parent Loan for Undergraduate Students) Loan is available for a parent who wishes to access additional resources above what the student is currently eligible to receive. The loan option may cover up to the Cost of Attendance. The PLUS loan may be borrowed by the natural, adoptive, or step parent of a DEPENDENT student. In order for the parent to receive a Federal PLUS loan, the parent may not be in default on a prior education loan and must pass a mandatory credit check performed by the Direct Loan Servicing Center.

How to Apply for a Direct PLUS Loan

Step 1: Student must complete a Free Application for Federal Student Aid (FAFSA) for the appropriate year and the results must be on file with Columbus State Community College (CSCC).

Step 2: Parent borrower must complete the Direct PLUS Loan Application by logging in to the Federal Student Aid website. Parent will need to complete the Direct PLUS Loan Master Promissory Note (MPN) also. These documents are required to apply for the loan.

NOTE: To electronically sign the MPN, the parent borrower will need a Department of Education FSA ID. To apply for the FSA ID, the borrower may create the FSA ID here. (If the parent borrower provided income information on the student's FAFSA and signed the form electronically, the same FSA ID may be used for the MPN signature.)

Step 3: Columbus State will receive the Direct PLUS Loan information from Federal Student Aid and we will award the loan based on the information provided. The student will be able to view the awarded Parent PLUS loan in their Financial Aid Self Service. 

Approved borrowers, who have completed the Master Promissory Note, will receive the Notice of Guarantee and Disclosure Statement from the Direct Loan Servicing Center. This will indicate the approved loan amount and estimated disbursement dates when funds will be sent to the college.

If the parent borrower is denied, CSCC will send an email to the student's CSCC email account requesting how to proceed with the PLUS Loan application.  The student will return the form to us with their instructions.

Interest Rates and Loan Fees

Interest rates for the Parent PLUS loan are fixed for the life of the loan.

For PLUS loans first disbursed on or after 7/1/26 and before 7/1/27 the interest rate is 9.07%.

A loan fee is proportionately deducted from each loan disbursement. The percentage varies depending on when the loan is first disbursed, as noted below:

Origination Fee:
First disbursement on or after October 1, 2020 and before October 1, 2027	Fee = 4.228%

For further detailed information regarding the Federal Parent PLUS Loan Program, please visit: 

PLUS Loan Application | Federal Student Aid

PLUS Counseling is required if the U.S Department of Education has informed you that you have an adverse credit history and you have obtained an endorser or documented to the satisfaction of the U.S Department of Education that there are extenuating circumstances related to your adverse credit history.

PLUS Counseling can be completed voluntarily at any time. If PLUS Counseling is completed voluntarily and you are determined to have an adverse credit history by the U.S Department of Education within 30 days of PLUS Counseling completion, your PLUS Counseling requirement will be considered to be fulfilled. Credit decisions are good for 180 days.

Private/Alternative Educational Loans

Private Student Loans, also known as Alternative Loans, are originated through private lenders such as banks and credit unions. Columbus State Community College recommends students complete a FAFSA and take advantage of Federal Direct Student Loans and Federal PLUS loans whenever possible before applying for and accepting Private/Alternative Loans. The Federal Direct and the Federal PLUS Loan programs almost always offer lower borrowing costs than Private/Alternative Loans.

These Alternative Loans are usually made to the student, but often require a credit worthy co-signer.  The loans can be used to offset educational costs such as tuition, room and board, and books and supplies.

Private/Alternative Student Loans may be a viable option for students if the student or parent is unable to borrow federal student loans or PLUS loans because they do not meet eligibility criteria for Federal Student Aid programs.

How to apply:

•  A current list of lenders who offer Private/Alternative Loans to Columbus State students, along with instructions on how to apply, can be found on the FastChoice website.
• Students must submit a Private Education Loan Application Self-Certification form to the lender as part of the application process.
• Once you are registered for the minimum number of credit hours required by the lender we suggest that you begin the application process.
• Allow 4-6 weeks for processing and disbursement of funds.
• If you plan to attend more than one semester for the particular year, we recommend you apply at the beginning of award year, which is Autumn semester.

Eligibility amounts:

• Student’s Cost of Attendance minus any other financial aid awarded.

Find more information about federal student loans including interest rates.