1. The Financial Aid Office Student/Parent Loan Process
The Solution Center
The Financial Aid Office
Student/Parent Loan Process

2. Objective Student/Parent Loan Processing: Responsible Borrowing Video
What you will learn
Student/Parent Loan Processing:
Federal Direct Subsidized & Unsubsidized Loans
Federal Direct Parent Plus Loan
Federal Direct GRAD Plus Loan
Federal Perkins Loan
Alternative Loans
Responsible Borrowing Video

3. Federal Direct Un/Subsidized Loans
Application:
FAFSA required
No Separate Loan Application
No Credit Check
Must be enrolled at least half-time, degree seeking
Students with demonstrated financial need must complete verification
Origination:
Loans are originated and certified with the Department of Education
Disbursement:
Before funds can be disbursed, student must complete:
Entrance Counseling, and
Master Promissory Note online at (
Repayment:
Repayment starts six months following graduation, a student’s withdrawal from school, or when a student drops to less than half-time enrollment

4. Federal Direct Parent PLUS Loan
Application:
FAFSA required
Credit Check is Required
Application can be downloaded from
Borrower must be step/parent of an undergraduate dependent student
Borrowing limit is COA less other aid received
If Parent PLUS is denied:
student gains eligibility for additional Unsub of $4,000 (FR/SO) or $5,000 (JR/SR), OR
Parent may be able to request re-evaluation of credit decision, OR
Parent can elect to have an endorser
Eligibility Requirements:
Loan manager manually certifies loan, enters awards, and originates loans
Disbursement:
Before funds can be disbursed, parent must complete Master Promissory Note online at (
Repayment:
Repayment begins within 60 days after the loan is fully disbursed
Deferments may be requested while the student is enrolled at least half-time

5. Federal Direct Grad PLUS Loans
Application:
FAFSA Required
Credit Check is Required
Loan for students enrolled in a graduate degree or eligible certificate program
Application can be downloaded from
Borrowing limit is COA less other aid received
If Grad PLUS is denied:
No further aid or eligibility for additional unsubsidized loan
Student may be able to request re-evaluation of credit decision, OR
Student can elect to have an endorser
Origination:
Loan manager manually certifies loan, enters awards, and originates loans
Disbursement:
Before funds can be disbursed, student must complete Master Promissory Note online at (
Repayment:
Repayment begins within 60 days after the loan is fully disbursed
Deferments may be requested while the student is enrolled at least half-time

6. Federal Perkins Loan Application : Disbursement: Repayment:
FAFSA required
No Separate Loan Application
No Credit Check
Must be enrolled at least half-time, degree seeking
Students with demonstrated financial need must complete verification
Disbursement:
Before funds can be disbursed, student must complete:
Master Promissory Note in person, at the Financial Aid office
The Master Promissory Note is recorded into iSiS
Documents are forwarded to the Student Financial Services Office for managing loan repayment
Repayment:
Repayment starts nine months following graduation, a student’s withdrawal from school, or when a student drops to less than half-time enrollment
Repayment may be extended over a ten-year period

7. Alternative Loans Alternative Loans Disclosures
Before considering private loan options, we recommend that students apply for federal, state and institutional financial aid, including federal student loans by completing the FAFSA
The Federal Government discourages schools from recommending a specific lender to students and families. Therefore, selection of lenders is left solely at the discretion of the student/parent
The University of Massachusetts has a preferred lender list on our website which families can choose from. However, families have the liberty to borrow from lenders not on the list
Some of these loans may be used to cover a past due balance, may be used toward Non-Degree courses and some may not require a student to meet SAP standards. See complete guidelines at

8. Alternative Loans Application: Certification: Disbursement:
A Loan Application is required
FASFA Recommended
Credit checks required
Student is the borrower
Credit worthy co-signer may be required
A Self Certification Form
Certification:
UMass Lowell will not receive the application for an alternative loan until the borrower’s file is 100 percent complete with the lender
Once file is complete with lender, the school will:
Extract loan information from the Education Loan Management System (ELM) for certification
A “Supplemental Loan Application (FXSUPP)” checklist is added as “Received”
Students who have not filed a FAFSA are contacted to file before private loan is processed
Loan is awarded and posted to the student’s account
The “Supplemental Loan Application (FXSUPP)” checklist is updated to “Complete”
A comment is made indicating amount of loan certified, lender, aid year and reason for loan
Disbursement:
Disbursements are made directly to the student’s account
For a list of alternative loans and their specific terms visit:

9. Responsible Borrowing
YouTube Video
(Double Click on screen to begin)