Federal Perkins Loan
Available to students who demonstrate exceptional financial need. Loan amounts range from $200 - $4,000. The interest rate is fixed at 5%, and interest does not begin to accrue until repayment begins 9 months after the student leaves the University or drops below half-time enrollment. Students should have all of their application materials complete by the May 1st priority deadline in order to be considered.
Nursing Student Loan
Available to students enrolled in an associate or bachelor's degree program in nursing who demonstrate exceptional financial need. The interest rate is fixed at 5%, and interest does not begin to accrue until repayment begins 9 months after the student leaves the University or drops below half-time enrollment. Students should have all of their application materials complete by the May 1st priority deadline in order to be considered.
Educators for Maine Program
This is a forgivable loan program available to Maine residents who are undergraduate education majors or teacher certification students. Awards are based on academic achievement. Award amounts are up to $3,000 per year for full-time undergraduate students and up to $1,500 per year for post-baccalaureate students in a teacher certificate program. These renewable loans can be forgiven by teaching in a Maine public elementary or secondary school upon graduation; otherwise, repayment will be at a 9% interest rate. For additional information and applications, contact the Finance Authority of Maine (FAME) or call (800) 228-3734.
Federal Subsidized Stafford Loan
Available to students demonstrating financial need who are enrolled at least half time in eligible degree and certificate programs. The interest rate is fixed at 6% (effective as of July 2008 on subsidized stafford loans only, through June 30, 2009). The Federal Government subsidizes interest on this loan until the repayment period begins, usually six months after the student leaves the University or drops below half-time status. The lender may deduct up to 2% in fees. Annual loan amounts vary by grade level (see below).
Federal Unsubsidized Stafford Loan
The interest rate is fixed at 6.8%. The student is responsible for any accrued interest from the time of the first loan disbursement. The student has the option of paying the interest while in school or during other periods of deferment, or having the accrued interest capitalized when the loan repayment period begins. Capitalized interest is added to the student's principal loan balance. Repayment begins six months after the student leaves the university or drops below half -time status. The lender may deduct up to 2 % in fees.
Dependent undergraduate students who do not demonstrate financial need for a full Subsidized Stafford Loan may borrow through this program. Loan limits and fees are the same as the Subsidized Stafford Loan program. Combined Subsidized and Unsubsidized Stafford Loans may not exceed the established annual loan limits (see above). Dependent students whose parents cannot qualify for a PLUS loan will be considered independent for purposes of borrowing an Unsubsidized Stafford Loan and qualify for additional loan amounts (see below).
Independent undergraduate students who demonstrate sufficient need may borrow through the Subsidized Stafford Loan program and an additional annual amount through the Unsubsidized Stafford Loan program (see below).
Disbursement of Loan Funds
The UNE Financial Aid Office determines the disbursement date of student loan proceeds.
Funds will not be disbursed earlier than ten days prior to the start of a semester. The dates listed here are recommended disbursement dates for lenders to release the funds to the school. This is not the date that you will receive a refund from the university. The UNE Disbursement Schedule lists the disbursement dates for each program.
UNE's Recommended Stafford Loan Lenders for Undergraduate Students
Incoming undergraduate students who elect to borrow through the Federal Stafford Loan programs will receive their funding through the William D. Ford Direct Loan program. This is a program whereby the U.S. Department of Education acts as the lender to the student. First time borrowers are required to complete an electronic master promissory note (E-MPN) and the required Stafford Loan Entrance Counseling.
Parent Loans for Undergraduate Students (PLUS)
PLUS loans are available to parents of dependent students through participating lenders. Eligible borrowers may borrow an amount up to the cost of attendance minus any financial aid and outside resources received by the student. The interest rate is fixed at 7.9% for the Direct Loan Program .
Repayment begins once the loan has been fully disbursed, normally during the spring semester. The borrower may contact the lender for the option of making interest only payments while the student is in school. Most lenders offer this option at the borrower's request.
UNE recommends the Direct PLUS Loan Program. There are two steps required to apply for the Direct PLUS Loan.
Parents may also select another lender of their choice. The interest rate for the PLUS Loan through individual lenders is fixed at 8.5%
If you are the parent of a returning student and borrowed a PLUS Loan for the 2007/2008 academic year, you will want to apply for a preapproval through the lender from which you borrowed previously. You must indicate an amount that you wish to borrow through the PLUS Loan when you go through the preapproval process.
If the parent is denied the PLUS loan, the dependent undergraduate student would be allowed to borrow an unsubsidized Stafford Loan. The dollar amount is based on their grade level. Parents should forward a copy of their PLUS denial to the Financial Aid Office so that we can process the unsubsidized Stafford Loan.
Alternative Loans
Students often turn to alternative loans as a means of providing additional financial resources for living expenses while attending the University. In general, these loans do not have interest rate "caps", nor can they be consolidated with federal student loans like Stafford Loans.
Another important difference between alternative loans and other types of student loans is the need for the borrower to have satisfactory credit. In some cases, applicants who do not meet the lender's credit criteria may have the option of applying with a credit-worthy co-borrower. It is highly recommended that all potential borrowers examine their credit report prior to applying for an alternative loan. The following credit reporting agencies can provide you with a copy of your credit report. (Residents of some states will be assessed a fee from the credit reporting agency.)
Equifax
P.O. Box 105496
Atlanta, GA 30348-5496
(800) 997-2493
Website
Experian
P.O. Box 2104
Allen, TX 75013-2104
(888) 397-3742
Website
Trans Union
P.O. Box 2000
Chester, PA 19022
(800) 888-4213
Website
If you wish to borrow an alternative loan, click on Alternative Loan Programs for a comparison of each program's terms and conditions. Students wishing to apply for an Alternative Loan are strongly encouraged to apply for a pre-approval (no earlier than 90 days prior to the start of classes) through one of our recommended Alternative Loan programs. Students may apply on-line or over the telephone. Paper applications are also available by contacting the lender. Once you have applied, allow 4-6 weeks for processing time.
UNE Ten Pay Payment Plan
Rather than have to pay lump sum tuition payments all at once, UNE offers its undergraduate students and parents the ability to pay educational expenses in monthly installments over a ten-month period. For additional information or to obtain an enrollment form, contact the Student Accounts Office at (207)602-2457.