Types of Aid Available

Loans

There are three types of loans available to students and families. Loans must be repaid. Separate applications/promissory notes are required for each. This page outlines the differences and will walk you through the application steps.

Follow the instructions below to apply for, choose a lender, and complete Promissory Notes for Student or Parent Loan(s):

 

Federal Direct Student Loan and the Master Promissory Note:

There are two types of Federal Direct Student loans: Subsidized and Unsubsidized. The differences are outlined below and identify the required application steps.

First, you must have filed a FAFSA and submitted any additional documentation required by the US Department of Education or the University of Northwestern Ohio. After receiving an Award Notice, if you wish to use the Federal Direct Student loan eligibility displayed you will need to complete an additional process.

All students at the University of Northwestern Ohio who have not previously used the Federal Direct Student Loan will have to sign a Master Promissory Note (MPN) and complete Entrance Counseling for Federal Direct Student loans. You will need to electronically sign and date your MPN with your FSA User ID. Entrance Counseling is another step that requires the student to answer questions about your loan obligations. When the US Department of Education has your MPN and the Entrance Counseling has been satisfied, they will be able to send funds to your account on the date the University may request them. The MPN and Entrance Counseling covers all of your Federal Direct Student loans during your attendance at the University of Northwestern Ohio and can be completed on-line. It is valid for a period of up to 10 years if your FAFSA is filed each year. In order to complete the MPN, you'll need to provide addresses and other contact information for two references, as well as demographic information about yourself.

Loan processing fees which may be deducted by the government are up to 1.069% for Federal Direct Student loans disbursed after October 1, 2016.

  • Subsidized Direct Student Loans are available to students who demonstrate financial need. The Federal government pays the interest on these loans while the student is enrolled in college. A first-time borrower's eligibility for Direct Subsidized Loans will be limited to a period not to exceed 150% of the length of the borrower's education program. A first-time borrower is one who did not have an outstanding balance of principal or interest on a Direct Loan or on a FFEL Program Loan on July1, 2013. If you have not completed your degree program and you reach your 150% subsidized eligibility limit and either continue in the same program or enroll in another program you will lose your interest subsidy on subsidized loans. Additional information can be found here.
  • Unsubsidized Direct Student Loans are non-need-based loans. The student is responsible for the interest that accrues starting when the government disburses the loan. However, students may elect not to pay the accrued interest on these loans while they are in school, but in that case, the interest would be capitalized, or added to the principal balance of the loan in repayment.
    The Office of Financial Aid will certify the maximum loan amount noted on Your Electronic Award unless written notification is provided to us. A Loan Amendment Form is available on your Award Notice if you wish to reject your student loans or reduce the loan amount you would like to use.

Click the following link to complete your Master Promissory Note and Entrance Counseling: Federal Direct Student Loan

Federal Direct Loan Requirement

Students who are first-time borrowers of the Federal Direct Student Loan are required to have their first-term disbursement no earlier than 30 days after the start of your academic program.

In addition, when any Federal Direct loan period during a student’s program of study must be set up to cover only one term of attendance, the Federal government requires that the loan funds are to be disbursed twice during the term. Half of the loan amount will be at the normal disbursement time and the over half of the disbursement will be at the mid-point of the term.

Federal Parent Direct PLUS Loan and the Master Promissory Note:

The Federal Direct Parent PLUS Loan is a low interest loan that parents of undergraduate, dependent students may borrow. Loan processing fees which may be deducted by the government are up to 4.276% for Federal Direct Parent Plus loans disbursed after October 1, 2016. A family can fund the entire cost of their child's education per year from this program minus other financial aid.

If a parent wishes to use a Federal Direct Parent PLUS Loan, they will have to both sign a Master Promissory Note (MPN) and request an amount on the Federal Direct Loan Web site by starting the PLUS application process. The parent will need to electronically sign and date the MPN with their FSA User ID. When the US Department of Education has the parent's MPN, they will be able to send funds to the student's account on the date the University may request them. The MPN covers all of the Federal Parent PLUS loans during your student's attendance at the University of Northwestern Ohio and can be completed on-line. It is valid for a period of up to 10 years if the FAFSA is filed each year. In order to complete the MPN, you'll need to provide addresses and other contact information for two references, as well as some general information about yourself.

  • Parents can click the following link to e-sign the MPN with their FSA User ID and request an amount on the Federal Direct Loan web site: Federal Direct Parent Loan

 

Private Loan and the Promissory Note:

For students seeking a private loan to pay the remaining cost after financial aid, a separate application and promissory note will be required by the lender. There are two different types of Private Loans available: A Student Private Loan and a Parent Private Loan. It is the borrower's responsibility to contact a lender and complete their application and promissory note. A family can fund the entire cost of their child's education from this program minus other financial aid.

At the University of Northwestern Ohio, a student can complete these requirements on-line through lenders presented on FASTChoice or any lender of choice if eligibility requirements are met to cover any remaining educational costs. These loans generally are based on creditworthiness of the borrower and cosigner and may not be automatically approved.

Attention College of Technology Students:

Each academic year when applying for your initial Private Student Loan, please request the amount needed for the first four sessions of your attendance.

In order to continue receiving Private Student Loan funds please note there is a "Private Loan Review" which will be required during the fourth session. This review allows students to determine if lesser or additional amounts will be needed from the Private Student Loan program for the remaining portion of the academic year. You will receive a letter of notification when it is time to apply for the second Private Student Loan. The application procedure for this second Private Student Loan will be the same as your initial Private Student Loan.

Student Private Loan Applications

  • For students who wish to apply for a Private Student Loan(s) with benefits as noted from lenders presented on FASTChoice Loan programs website, please click here: Electronic Private Student Loan.
  • For students who wish to apply for these funds from other lenders, please contact the lender and follow their application procedure. Please make sure you meet their eligibility requirements before applying.

Parent Private Loan Applications