Financial Aid - How to Apply for Loans

FEDERAL STAFFORD LOAN (FSL) PROGRAM

FALL 2008 - SUMMER 2009 SEMESTER

You should consider a student loan only after your eligibility for all other types of financial aid has been determined.  All students requesting a FSL using MCC's electronic loan process must complete the following steps: 

1. If this is your first loan at MCC, complete the online "Entrance Loan Counseling.  Allow 30 minutes to complete this step. Return to this page after completing Loan Counseling.

2. Complete an online "Stafford Loan Request Application". You will need to create a user account in order to access this process.  Please record your user name and password for future use. 
   Several lenders will no longer provide Federal Stafford loans to students attending MCC (see below).  The following lenders have agreed to offer loans to MCC students for the next school year.  *Please note, you may choose any FSL lender that will process loans for MCC. 

   1. Apply with Nelnet Academic Loan, Lender Code: 824573

   2. Apply with Union Bank & Trust Co, Lender Code: 808543

   3. Apply with Zions Bank as ELT for Nelnet, Lender Code: 829489

   4. Apply with Fifth Third Bank, Lender Code: 808780

   5. Apply with Sallie Mae Education Trust, Lender Code: 802218

   6. NO, I want to contact my own lender to apply for a loan and they have approved MCC to receive the loan.  I also understand that I need to complete the "Student's Lender - Stafford Loan Request Application". 

3. All students will need to complete and E-Sign an online Stafford Loan Master Promissory Note (MPN) with your lender.   You will need to create a second user account in order to access this process.  Please record your user name and password for future use.
   If you applied with one of the lenders above, you may link to the MPN from the last page of the loan request application (step 2) or link to the MPN here.
    
   

   1. Complete the MPN for Nelnet Academic Loan

   2. Complete the MPN for Union Bank & Trust Company

   3. Complete the MPN for Zions Bank as ELT for Nelnet

   4. Complete the MPN for Fifth Third Bank

   5. Complete the MPN for Sallie Mae Education Trust

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 Changes in the lender's policies and/or legislation no longer allow us to certify serial loans with any prior MCC lenders.

*If you don't wish to use one of the lenders listed above, please contact your lender for instructions on how to apply for a loan.  You will also need to complete the MCC "Student's Lender - Stafford Loan Request Application".
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FEDERAL PARENT "PLUS" LOAN PROGRAM

1. Print, complete and submit MCC's 2008-09 PLUS Loan Application
2. Complete an Online PLUS Master Promissory Note if you are using Nelnet Academic Loans. Click on the "APPLY" button for an Instant PLUS  Pre-Approval from NELNET.

MAXIMUM LOAN AMOUNT
   Dependent Student

• Freshman (0-29 MCC credits):  $3500 Base Stafford  + up to $2000 Additional Unsub
• Sophomore (30 MCC credits and above):  $4500 Base Stafford + up to $2000 Additional Unsub

   Independent Student

• Freshman (0-29 MCC credits):  $3500 Base Stafford + up to $6000 Additional Unsub
• Sophomore (30 MCC credits and above):  $4500 Base Stafford + up to $6000 Additional Unsub

Note: Since MCC offers no degree beyond the Associates, no borrower will be classified higher than "sophomore" level. This loan may not be used to purchase or lease an automobile.  You may not borrower more than twice at any one grade level. If you have less than 30 credit hours completed at MCC, you cannot exceed $7,000 in total base Stafford Loans.  If you have 30 credit hours or more completed at MCC, you cannot exceed $16,000 in total base Stafford Loans. 

Average processing time for a student loan is six weeks.  Processing time may exceed six weeks during peak times.  The deadline for a Fall 2008 loan application to be processed by the first day of class is Friday, August 1, 2008.  However, final loan approval is dependent upon the lender and guaranty agency.
If your loan request is received after the deadline dates listed below, the application might not be able to be certified at all:

• Fall: October 15
• Winter: March 1
• Summer: June 1

OTHER

• You must first have a completed financial aid file and be in good academic standing before you can apply for a loan.
• You must enroll and pass at least 6 credit hours during each semester of the loan period.  If not, your loan will be cancelled.  If you don't establish at least half-time attendance, any monies paid on your account could be refunded to the lender and you may be responsible to repay any refunds received.
• Monies for first semester freshman at MCC will be delayed 30 days after the semester begins.
• Loans will be sent to MCC in at least two disbursements. 
• You must have a grade point average (GPA) at MCC of 2.0 or better.
• Exceptions to the MCC Loan Policy may be appealed in writing to the Director of Financial Aid, with extenuating circumstances specifically stated and supported with documentation.

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From the Office of Jennifer M Granholm:
"Due to the ongoing turmoil in the capital markets the Michigan Higher Education Student Loan Authority (MHESLA) is forced to suspend its participation in the Federal Family Education Loan Program (FFELP) beginning April 21, 2008. Michigan's situation is not unique. A number of other states have already curtailed their financing of student loans because it has become effectively impossible to raise new capital."

Unfortunately, this development has forced MCC to suspend our electronic loan processing with MHESLA, Charter One Bank, Comerica Bank, Chase, 5/3rd Bank-Nelnet, National City, Lasalle and all Credit Unions.  All students requesting a loan will need to complete a new Master Promisory Note (MPN).
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