Loans are a reality for most students, and we will help you navigate the borrowing process from application to repayment. We encourage you to be a responsible consumer and to borrow only what is necessary. We urge you to seek advice from our Student Financial Services team whenever needed.
Please keep in mind that with loans, lenders often deduct loan fees before monies are disbursed, which can impact the amount you need to borrow. You should calculate loan fees prior to finalizing loan requests. Please see Federal Loan Fees for more information.
The U.S. Department of Education offers low-interest loans to eligible students to help cover the cost of college. Direct Subsidized and Unsubsidized Loans are available depending upon your financial need and enrollment status. For both types of loans, UNE will determine the amount you can borrow based on your Cost of Attendance and annual limits. Visit the Federal Student Aid website for information on loan borrowing limits and on the current interest rates for Direct Loans.
Direct Subsidized Loan
The U.S. Department of Education pays the interest on the Direct Subsidized Loan while you are in school, as well as during your grace period or elected deferment period. This loan is available to students demonstrating financial need.
Direct Unsubsidized Loan
The Direct Unsubsidized Loan is available to all students regardless of need. Interest accrues from the date of disbursement.
To apply for Federal Direct Loans you must file the FAFSA. As a first-time federal direct loan borrower, you will need to sign a Master Promissory Note (MPN) and Complete Entrance Counseling which will provide information about terms of borrowing, interest accrual and repayment options These requirements can all be completed online. For all Federal Loans, you will also need to complete Exit Loan Counseling when you are no longer enrolled at least half-time.
The Federal Perkins Loan is a federal loan program in which schools choose to participate. It offers low-interest federal student loans for undergraduate students demonstrating greater financial need. The Nursing Loan is available to undergraduate students enrolled in a nursing program who demonstrate exceptional financial need.
UNE’s Perkins Loan and Nursing Loan funds are limited, and payments are ultimately made to UNE’s loan servicer. A separate Entrance Counseling process and Master Promissory Note need to be completed and will be sent to you via email if you are awarded these funds (the email will come from email@example.com). These loans are typically awarded early in the process so access to these funds is limited as the year progresses.
If you have been awarded a Perkins Loan and plan to utilize this fund, please note that there are certain requirements IN ADDITION to requirements for Direct Loans.
Previous Perkins Loan Borrowers:
- Please complete the online “Entrance Counseling” requirement posted to your U-Online account. The Promissory Note previously completed is valid for 10 years. Then Entrance Counseling must be completed annually.
First-Time Perkins Borrowers:
- Go to https://www.ecsi.net/promZM.
- Provide your social security number, name and date of birth in order to validate your identity.
- If you are able, complete the Promissory Note and Entrance Counseling process online.*
- *If ECSI is unable to validate your identity, you will not be able to complete the online process for the Promissory Note and Entrance Counseling. In this case, please print, complete and mail your Promissory Note to Student Financial Services, 11 Hills Beach Road, Biddeford, ME 04005 (or deliver in person).
- Complete the Entrance Counseling requirement posted to your U-Online account.
This program is a competitive, merit-based, forgivable loan program for Maine students pursuing careers in teaching, including speech pathology and child development or childcare. The application is available in February on the FAME website and is due May 1st.
The Federal Parent PLUS Loan is a credit-based loan, subject to credit approval by the lender, for parents who wish to contribute to their dependent child’s college education. PLUS loans help pay for expenses up to the Cost of Attendance (COA) minus all other financial assistance. The application is available online and parents will need the FAFSA ID to apply. If you wish for the PLUS Loan to cover origination fees, please let us know so we can adjust the COA accordingly.
If credit is denied for the PLUS Loan, your parents can pursue an endorser, appeal the denial, or request additional unsubsidized funding of up to $4,000 or $5,000 based on your year in school. The request for this additional funding must be sent in an email to the Financial Aid Office or parents can select this option via the online application.
Because of the flexible and forgiving nature of federal, state and institutional aid, we recommend that you exhaust all of these sources before applying for private or alternative loans. Alternative loans are privately-funded loans available to students who qualify based on their credit history. The terms and conditions of alternative loans vary based on the loan program and lender criteria. You may request an amount up to your Cost of Attendance minus all other financial aid.
Selecting an Alternative Loan program
If you are new to borrowing an alternative loan, we recommend that you familiarize yourself with each program before making a selection. Please contact the lender for the most up to date information. If your previous lender is not listed, and you wish to continue to use this lender for your alternative loan needs, please contact your lender.
Consider asking the following questions:
- Is a co-signer required? Does the lender offer a co-signer release option after a certain number of on-time payments?
- What is the interest rate? Does the lender offer fixed and variable rates? Is there a cap?
- Does the lender charge fees, either up front or at the back end?
- Will the lender sell the loan to another company?
- Does the lender offer flexible repayment options?
- Does the lender offer any repayment incentives?
- Does the lender offer deferments if continuing on to graduate school? If yes, is there a limit to the number of years it can be deferred?
See UNE’s Recommended Lender List for more information on private loans.