Types of Loan
There are different loans available depending on whether you are an undergraduate or postgraduate student.
Any loans that you take plus any additional financial aid (awards, bursaries, scholarships etc.) must not exceed the yearly cost of attendance (US regulations).
Subsidized Loans and unsubsidized loans
Direct Subsidized Loans are available to undergraduate students with demonstrated financial need. The U.S Department of Education pays the interest on subsidized loans while a student is in school for at least half time, whilst in the grace period (the first 6 months after you leave school) and during a period of deferment.
Direct Unsubsidized Loans are available to undergraduate and graduate students and there is no requirement to demonstrate financial need. Students are responsible for paying the interest on an Unsubsidized Loan during all periods.
To receive either type of loan, you must be enrolled at least half time on to an eligible program of study.
A Direct PLUS Loan is referred to as a Parent PLUS loan when made to a parent and as a Grad PLUS loan when made to a graduate or professional student
Parent PLUS Loans are available for parents of undergraduate students who are classed as dependent. Parents can borrow up to the total estimated Cost of Attendance as issued by the RWCMD. A credit check will be performed as part of the application process. Parent PLUS loans are the responsibility of the parent and not the student.
Grad PLUS loans are available for postgraduate students (graduates). A graduate student may borrow up to the total estimated Cost of Attendance as issued by the RWCMD.
Private Loans
The only private loan currently available to students at foreign schools is the Sallie Mae Student Loan. To apply for a private loan, you must apply directly to the lender.
Please note that Direct Loans maybe more favourable than private loans. It is the student’s responsibility to explore all options available to them before making a decision.