Direct Loans
Students may be eligible for a Direct Loan if they:
- Are a U.S. citizen or an eligible non-citizen,
- Have a high school diploma or its equivalent; and
- Plan to attend an eligible post-secondary school at least half time
Eligibility for Financial Aid
All students must meet the following criteria to apply for Title IV federal aid (grants, work study, and loans):
- Be enrolled as a regular student in a degree-granting or certificate program.
- Be a U.S. citizen or an eligible non-citizen (permanent resident).
- Be enrolled at least half time (most programs-regular semesters; undergraduate, six hours).
- Not be in default on prior student loans or owe a refund on a federal grant.
- Be making satisfactory academic progress as described in the section Satisfactory Academic Progress Policy for purposes of financial aid eligibility.
There are two kinds of Direct Loans: Subsidized and Unsubsidized.
Students are required to begin repaying Direct Loans six months after they leave school or drop below half-time status.
Direct Subsidized Loans
The Federal Subsidized Loan is a need-based loan that must be repaid upon completion of school or interruption of studies. The student who qualifies may borrow up to $3,500 for the academic year as a freshman and $4,500 as a sophomore. All borrowers are required to complete an Entrance Counseling Interview online at the Direct Loan website, i.e., www.studentloans.gov. Students are required to be actively enrolled for at least six credit hours each semester to maintain loan eligibility.
Direct Unsubsidized Loans
Direct Unsubsidized Loans enable students to borrow regardless of need. A Direct Unsubsidized Loan is not based on need. Interest will accrue on this loan while the student is enrolled and may be paid or capitalized as agreed by the borrower and the lender. If a student elects to pay the interest payments during school, the student can complete a Master Promissory Note (MPN) electing to pay. If a student elects to not pay the interest payments during school, the interest will be added or capitalized onto the principal balance at repayment, which means the interest will be added to the student’s principle balance.
Direct Plus Loans for Parents
The Direct Plus Loan for Parents allows parents of dependent students to borrow per year up to the cost of education less any other aid. The repayment period begins on the day the loan is disbursed, and the first installment to the Department of Education is due within 60 days of that date. This loan is not based on need.
The parent applying for the loan is responsible for repaying the loan. In this case, parent means the student’s parent, adoptive parent, or step-parent.
A PLUS loan is available without regard to financial need and may include the full cost of education minus other forms of financial aid. The lender is required, however, to verify that the parent borrower does not have an adverse credit history.
First Time Borrowers
Federal regulations require that the college delay delivering the proceeds of educational loans to first time borrowers until 30 days after the start of classes. In addition, all first time borrowers must receive loan counseling before loan funds can be disbursed. Students must complete a Master Promissory Note and entrance loan counseling at www.studentloans.gov.
Books/School Supplies
If a student is eligible to receive a Pell Grant or student loan and has authorized aid, or their account has a credit balance (it will appear as a negative balance) after all tuition and fees have been paid and the student has authorized the college to use their Title IV funds to pay non-institutional charges, students may purchase books in the college contracted bookstore online at http://dcc.bncollege.com.
Financial Aid Payments in Excess of Tuition/Fees/Books
At the time financial assistance is disbursed or credited to a student’s account, valid outstanding charges will be deducted and any applicable excess credit balance will be refunded to the student within 14 days after the credit balance appears on the student’s account. Refunds are delivered to students through BankMobile based on the student’s Refund Selection Preference. Delgado will NOT issue refund checks, so students MUST select a refund preference online through BankMobile. For more information on refunds and BankMobile, see Refund Questions on the Delgado website and/or dolphinonecard.vibeaccount.com/.
Mandatory Exit Interview
Each loan recipient is required by federal regulations to participate in an exit interview at the time the student ceases to attend Delgado Community College at least half-time. Students should go to the Financial Assistance office at their respective campus for this exit interview before the student withdraws, graduates, drops to less than half-time, or completes his/her last semester at Delgado. Students can also complete an exit interview on the Internet at www.studentloans.gov/.
Veterans’ Benefits
Delgado’s Veterans Affairs counselors serve as certifying officials who act as a liaison between the Department of Veterans Affairs and the veteran student. This involves assisting with a variety of processing and information needs such as documentation requirements, correspondence, and the certification benefits.
Discharged servicemen, reservists, those currently in the armed forces, or qualified dependents who plan to attend Delgado must apply for certification to the regional Veterans Administration through Delgado’s Veterans Affairs Office. Services which are provided to qualified recipients include:
- Counseling-academic
- Tutoring
- Liaison with personnel from the Veterans Administration
For additional information, contact a Delgado Veterans Affairs counselor or contact the GI Bill staff directly at 1-888-442-4551.
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