Heller MBA Fellowships and Scholarships

STAFFORD LOANS

STAFFORD LOANS ARE LOW-INTEREST, government-sponsored loans authorized under Title IV, Part B of the Higher Education Act of 1965, designed to assist students in meeting the costs of higher education and education-related expenses. Stafford Loans are available to U.S. citizens and eligible permanent residents.

Full-time MBA students may be eligible for subsidized and unsubsidized Stafford Loans of up to $37,000 for the 16-month program. Part-time MBA students may be eligible for subsidized and unsubsidized Stafford Loans of up to $20,500 per academic year (including the summer semester). However, candidates may not be eligible for loans if their other funding sources (scholarships, stipends, grants, etc.) meet the total cost of attendance.

STAFFORD LOAN Q&A

  • What's the maximum Stafford Loan amount I can receive in an academic year?
    In my lifetime?

    The maximum annual loan amount is $8,500 subsidized and $12,000 unsubsidized, for a total of $20,500 per annum.

    The lifetime maximum loan amount is $138,500, graduate and undergraduate loans inclusive.

  • What is the interest rate on Stafford Loans?

    The interest rate is a variable rate, adjusted annually on July 1, not to exceed 8.5%. The rate for each 12-month period is set at the June 1st 91-day T-bill rate plus 3.1%. The in-school interest rate for the 2006-2007 academic year is 6.8%.

  • What fees are associated with Stafford Loans?

    There is a 1.5% net origination fee and interest rebate deducted from each Stafford loan before disbursement to the student account. The fee applies to both subsidized and unsubsidized loans.

  • What is the difference between subsidized and unsubsidized Stafford Loans?

    For subsidized loans, the government pays the interest while the loan holder is enrolled at least half-time in an institution of higher education. For unsubsidized loans, the loan holder is responsible for paying all interest that accrues after disbursement. Unsubsidized loan holders have the option of capitalizing the interest during the in-school and deferment periods, or paying the interest monthly.

  • When does repayment begin for Stafford Loans?

    Repayment begins six months after completion of the degree program or after dropping to less than halftime enrollment status.

  • How are Stafford Loans credited to my account?

    Stafford funds are disbursed in two equal payments, one payment per semester. Full-time and part-time M.B.A. students generally receive equal payments in fall and spring.

  • When will my Stafford Loan be credited to my account?

    The pending Stafford Loan will be posted as a credit to your account as soon as your eligibility has been determined, generally two to three weeks after completing the application and providing all required documentation.

  • When can I get my money?

    Students who have been awarded financial aid in excess of tuition, fees and other charges may apply for a refund to assist with the cost of off-campus living expenses and books, which are not charged to the student account. Refunds will be available no sooner than 10 days prior to the first day of classes. However, new students must meet several documentation requirements before they can receive a refund. If awarded Stafford Loans, students will be required to complete an entrance interview and loan counseling in addition to signing the Stafford Loan Promissory Note before receiving a refund. In addition, students must have registered for classes. For new students, registration will generally not take place until orientation.

    PLEASE NOTE: Students should plan to bring enough personal funds to cover all living expenses for at least one month until all necessary registration and loan paperwork has been completed.

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APPLYING FOR A STAFFORD LOAN:
A Step-by-Step Guide

  1. Contact the Heller Admissions Office and speak with a representative to obtain the Stafford Loan application materials: a copy of the FAFSA (the Free Application for Federal Student Aid), which determines your eligibility for federal loans, and a Brandeis Stafford Loan Request Form.

  2. Fill out the FAFSA and mail it to Federal Student Aid Programs in the enclosed envelope. Students with Internet access can conserve paper and speed up the application process by applying online at www.fafsa.ed.gov.

    FAFSA Tips: the Title IV school code (Section H) is 002133 and all graduate students are considered independent and do not need to provide their parents' financial information.

  3. Approximately four weeks after submitting the FAFSA, the Department of Education will mail you a Student Aid Report (SAR). When the SAR arrives, carefully check it for accuracy and make any necessary corrections.

  4. Complete the Brandeis Stafford Loan Request form and return it to the Heller Financial Aid Office. You may request up to $20,500 in Stafford Loans per year for the full-time or part-time MBA program.

  5. If you are selected for verification, you may be asked to complete additional paperwork or submit supporting documentation such as proof of citizenship or income tax forms. You will be notified by the Financial Aid Office should you be required to do so.

  6. Once you have been approved for Stafford Loans, the Heller Financial Aid Office will send an award letter to you outlining the amount and disbursement schedule for your Stafford Loans.

  7. The Student Loan Office will notify you regarding the loan counseling, entrance interview and signing the promissory note. Once you have fulfilled all loan and course registration requirements, you may then file for a refund of your credit balance.