Loan Options : Student Financial Services : Simmons College

Loan Options

Need-Based Loans

These federal loans are based on your Expected Family Contribution (EFC), which is a measure of your or your family's financial position. The EFC is used to determine your eligibility for federal student aid. To determine your EFC, complete the The Free Application for Federal Student Aid" (FAFSA). We've provided details on completing the FAFSA on our "How to Apply" page.

Federal Perkins Loans

The Perkins loan is a federally funded, low-interest educational loan. It carries no interest while the student is enrolled at least half time. Interest accrual and repayment begin nine months after the student graduates, withdraws, or otherwise ceases to carry at least a half-time course of study. The repayment of principal may be extended over a period of 10 years with interest at a rate of 5% per year.

Please note:

Recipients are required to sign promissory note prior to the Perkins Loan being disbursed each semester. The promissory note will be made available to you in paper by Student Financial Services. If you are eligible, the note will either be mailed to you, or you will be asked to visit Student Financial Services to sign the note. Failure to sign the promissory note will result in cancellation of the loan.

Federal Subsidized Stafford Student Loan

The Stafford Loan is a federally funded educational loan available through private lenders. The federal government pays the accruing interest rate while the student is enrolled on at least a half-time basis and for up to 6 months after the student graduates or ceases to be enrolled on at least a half-time basis.

Please note:

Recipients are required to sign a Master Promissory Note (MPN) prior to the Stafford Loan being disbursed each semester. Failure to sign the promissory note will result in cancellation of the loan.
In addition, you will need to complete Stafford Loan Entrance Counseling before loan funds can be credited to your account.

Non-Need-Based Loans

Students who do not demonstrate sufficient need for a subsidized loan may receive the following loans.

Federal Unsubsidized Stafford Student Loan

This is a federally funded educational loan available through private lenders. The current rate of the Unsubsidized Stafford Loan is fixed at 6.80%. The accruing interest may be paid on a quarterly basis of capitalized interest while the student is enrolled on at least a half-time basis.

Please note:

Recipients are required to sign a Master Promissory Note (MPN) prior to the Stafford Loan being disbursed each semester. Failure to sign the promissory note will result in cancellation of the loan.
In addition, you will need to complete Stafford Loan Entrance Counseling before loan funds can be credited to your account.

Alternative Loans

Alternative loans should be the loan of last resort for students and their families. The Simmons College Financial Aid staff strongly recommends that all students utilize all federal loan options before obtaining a private or alternative loan.

Almost all private lenders use a variable interest rate, and the rate is determined on the student's/parent's credit history. Interest rates can also vary widely from lender to lender for the same borrower. We recommend that students interested in a private loan compare rates carefully and know what their monthly repayment schedule will be.

We offer a list of questions you should be asking of a potential lender and a loan comparison calculator to help you in this process. There are many lenders available who offer alternative loans. We recommend reviewing a website put together by Electronic Loan Management (ELM) that offers a comprehensive list of lenders. Click on the "Lenders" tab on ELM for an alphabetic listing of lenders

NOTE: Simmons College does not recommend any particular lender or group of lenders to its students and families.

How to Sign Your Federal Loan Promissory Note

Once you've been awarded a loan, go to studentloans.gov and click the link to complete a new Master Promissory Note (MPN). Then, follow the instructions and prompts on each page until you are given the message "SUCCESS! Now Print Your MPN."

To sign the Master Promissory Note, you will need several pieces of information:

The borrower's PIN (a PIN can be obtained, or a duplicate requested, at www.pin.ed.gov)
The borrower's driver's license number
The names, completed addresses, and phone numbers for two references living at two separate addresses. One should be a family member.