A student's financial aid award will likely include one or
more student loans. Both the Stafford and
Perkins Loan programs are Federal loan programs. These loans are taken in the
student's name. Included below are details concerning the various loan
programs, along with applicable interest rates for the academic year.
Federal student loans
Loan - Interest does not accrue while student is enrolled at least
half-time. Fixed interest rate of 5% for the life of the loan. Repayment begins
9 months after student graduates or ceases attending school at least half-time.
This program has very limited funding.
Subsidized Stafford Loan - Interest does not accrue while the student is enrolled at least
half-time. Repayment begins 6 months after student
graduates or ceases attending school at least half-time. For the 2013-14
academic year, the interest rate is scheduled to be 6.8%. Graduate students are not
eligible for this loan. For additional information, please access the
following website: http://studentaid.ed.gov/types/loans/subsidized-unsubsidized.
Unsubsidized Stafford Loan - Interest does accrue while student is
enrolled in school. Fixed interest rate of 6.8%. Repayment begins 6 months after student graduates or
ceases attending school at least half-time.
apply for Federal Stafford Loans please follow the instructions below:
- ALL borrowers will need to complete a Master Promissory Note
with the Direct Loan Program.
- First-time borrowers at RISD will need to complete a loan entrance counseling
session, even those who have borrowed at a previous institution.
Borrowers should go to www.studentloans.gov to complete both
Federal Direct GradPLUS
Loans - GradPLUS loans are intended for graduate students in need of
additional resources in order to finance their education. Approval of
GradPLUS loans is based in part on the determination that the applicant does
not have any adverse credit. Fixed interest rate of 7.9%.
PLUS Loans - A creditworthy parent
of a dependent undergraduate can apply for a Federal
PLUS loan. Federal PLUS loans are not based on demonstrated need and may
be used to replace all or part of the calculated family contribution for
students who have completed a FAFSA. Fixed interest rate of 7.9%. RISD will not certify a PLUS loan until a
student has been accepted and paid a commitment deposit to attend RISD.
Loans - Private student loans are consumer loans that
should only be considered after first exhausting your federal loan
eligibility. Typically, federal loans provide students with more beneficial
terms and conditions. Some of these federal loan benefits may
include a lower annual percentage rate, fewer and lower fees, and
more favorable repayment options. A number of private educational loans
are available to students who need extra funding to assist in managing the
expected family contribution. You must apply for private
educational loans directly with the lender/agency. Borrowers must be creditworthy to participate in these programs. Students who are not creditworthy by program guidelines may still be eligible to participate IF they can find a creditworthy person to co-sign their loan application. Families are free to choose any lender which best serves their needs. You should visit each potential lender's website to fully evaluate the benefits that they offer before making a final choice of a lender for your loans. For more information on private education loans please go to www.elmselect.com