News About Loans
Loan Program Updates
Merrimack College has some great news for students and families who are considering loans for 2010-2011.
Beginning July 1, 2010, Merrimack College will be processing all federal student loans and parent PLUS loans through the U.S. Department of Education William D. Ford Federal Direct Loan Program.
The Direct Loan program provides federally insured funds of up to a maximum of $3,500 for first year students, $4,500 for second year students, and $5,500 for third and fourth year students. In addition, all undergraduate students are eligible to borrow up to $2,000 in an unsubsidized Stafford Loan in addition to the annual loan limits listed.
The interest rates for the undergraduate Direct Stafford student loans are 4.5% for the subsidized Stafford and 6.8% for all unsubsidized Stafford Loans. There is also a 1.0% origination fee deducted from each loan disbursement. Students must complete online Entrance Counseling and electronically sign a Master Promissory Note at www.studentloans.gov before school begins. A link to the 2010-2011 Direct Student Loan Processing Guide can be found on the right side of the screen.
Students must file the Free Application for Federal Student Aid (FAFSA) at www.fafsa.gov to be eligible for the Stafford loans.
Direct parent (PLUS) loans are not based upon financial need and parents may borrow up to the cost of attendance minus financial aid annually for each dependent, undergraduate student. Funds are available to credit-worthy parents of dependent students through the federal government. The current interest rate is fixed at 7.9% with a 4.0% origination fee deducted from the original loan amount. Students whose parent is denied the PLUS loan may contact the Office of Financial Aid for further instruction. Parents interested in the Federal Direct PLUS loan can apply online at www.studentloans.gov. To assist families with students coming to Merrimack for the first time this fall, a parent loan estimator worksheet can be downloaded.
Additional loan information will be provided after May 24, 2010 to our confirmed and returning students. Information will also be posted on this page as well as the myMack portal.
Private loans are an option for students and families to assist them in paying for educational expenses that are not covered by other types of financial aid. It is strongly recommended that you apply through the federal loan program first, as historically they often have more favorable terms than private loans.
Information for private loans can be accessed on Merrimack College’s website: www.merrimack.edu/finaid.
A financial aid resource for loan calculations and loan consolidations is www.finaid.org.
Tuition payment plans are available. More information can be found at www.afford.com and through the Merrimack College Bursar's web page.
For More Information
Please contact the Office of Financial Aid via email at Financialaid@merrimack.edu or telephone: 978-837-5186.