Additional Loan Options
Butler University is pleased to offer several opportunities to
help all families maximize the resources they have set aside to
invest in a Butler education. Payment options and educational loans
allow families to make personal choices regarding the balance that
remains after financial aid.
Education Loans
- Students and parents who wish to borrow from any of the loan
programs must determine their borrowing needs for the entire
academic year before beginning the application process. The
entire process must be repeated if additional borrowing is later
desired
- Families should exhaust all Federal Direct Loan
eligibility before borrowing private education loans and Federal
Direct PLUS Loans as the terms and conditions are more
favorable.
- Education loans must be applied for each academic year.
- Educational loans can only be processed by the school in the
academic year or semester for which they are intended. Loans will
be processed by Butler University up to the last day of classes.
For example: Fall 2012, the last day of classes is December 7,
2012; Spring 2013, the last day of classes is April 29, 2013.
- Once the loans are approved and certified by the Office of
Financial Aid, funds will be credited to the student's account
after the fifth day of class each semester provided all required
documents have been completed and the student meets all eligibility
requirements. Loan funds will be applied to fall and spring
semester enrollments, with half of the annual value crediting to
the student account each semester.
Federal Direct PLUS Loan
A fixed-interest loan available to credit-worthy parents of
dependent students enrolled at least half-time at Butler University
in a degree seeking program. Through this program families may
borrow additional funds to meet educational expenses and
maximize family resources.
- The interest rate on this loan is currently fixed at 7.9
percent. Interest rates adjust each year on July 1. Refer to
www.studentloans.gov for
updates.
- As of March 1, 2013, an origination fee of 4.2
percent will be assessed by the lender at the time of
disbursement. This fee is subject to change; refer to www.studentloans.gov for
updates.
- Repayment of the loan typically begins 60 days after the loan
is fully disbursed. There is no grace period; therefore interest
begins to accrue after the first disbursement is made. Deferment
options are available.
- Families are required to file the FAFSA at www.fafsa.gov and apply for
the Federal Direct PLUS Loan at www.studentloans.gov.
- The Office of Financial Aid will process a Federal Direct
PLUS Loan upon notification of credit approval.
- The Master Promissory Note (MPN) must be signed by the parent
prior to funds being credited to the student's account.
- Students must be enrolled in a minimum of 6 credit hours to be
eligible for the loan.
Using the parent's federal PIN - Apply for the
Federal Direct PLUS Loan
Federal Direct PLUS Loan for Graduate Students
Under the Federal Direct PLUS Loan program, graduate students
may borrow up to the difference between the cost
of attendance and all other financial aid, including
Federal Direct Loans. The loan is not based on need and the
graduate student must have a good credit history.
- The interest rate for the Federal Direct PLUS Loan for Graduate
Students is currently fixed at 7.9 percent. Interest
rates adjust each year on July 1. Refer to www.studentloans.gov for
updates.
- As of March 1, 2013, an origination fee of 4.2
percent will be assessed by the lender at the time of
disbursement. This fee is subject to change; refer to www.studentloans.gov for
updates.
- Repayment of the loan typically begins 60 days after the loan
is fully disbursed. There is no grace period; therefore,
interest begins to accrue after the first disbursement is
made. Deferment options are available.
- Students are required to file the FAFSA at www.fafsa.gov and apply for the
Federal Direct PLUS Loan at www.studentloans.gov.
- The Office of Financial Aid will process a Federal Direct PLUS
Loan for Graduate Students upon notification of credit
approval.
- The Master Promissory Note (MPN) and Loan Entrance Counseling
must be completed and signed prior to funds being credited to the
student's account.
- Students must be enrolled a minimum of 4.5 credit hours to be
eligible for the loan, beginning with the Fall of 2012.
Using the student's federal PIN - Apply for the
Federal Direct PLUS Loan for Graduate Students
Private Loans
- Families should exhaust all Federal Direct Loan eligibility
before borrowing private education loans as the terms and
conditions are more favorable.
- Private loans are based on the borrower's (and co-borrower's)
credit and financial history.
- Select a lender based on the terms and benefits you find most
appealing as terms, conditions and interest rates vary with each
lender.
- A private loan is not based on financial need and the
combination of all financial aid including loans may not exceed
the cost
of attendance for the academic year.
- The Office of Financial Aid will process a private loan
application after it has been approved by the lender. Until the
application is complete and approved by the lender, the Office of
Financial Aid is not aware of, nor able to certify eligibility for
the loan.
- New laws now require students to complete the Private
Education Loan Applicant Self-Certification Form in order to
ensure borrowers understand the risks of private student loans and
how to exhaust their federal loan eligibility before borrowing
private loans. This form is available through the lender's
website.
- Students will need to promptly complete and return any
disclosures sent to them by their lender.
- You are not required to borrow from one of the loan programs
listed below.
Primary Private Loan
Lenders for the 2013-2014 academic year:
Discover Bank (Lender Code: 831312)
Disclosure Statement for Discover Bank
Fifth Third Bank (Lender Code:
508780)
Disclosure Statement for Fifth Third Bank
Sallie Mae (Lender Code: 900905)
Disclosure
Statement for the Sallie Mae Smart Option Loan
Wells Fargo for Undergraduates (Lender Code:
807176)
Disclosure Statement
for the Wells Fargo Loans
Wells Fargo for Graduate and Professional Students
(Lender Code: 807176)
Disclosure Statement
for the Wells Fargo Loans
Primary Private
Loan Lenders for the 2012-2013 academic year:
Sallie Mae (Lender Code: 900905)
Disclosure
Statement for the Sallie Mae Smart Option Loan
Wells Fargo for Undergraduates (Lender Code:
807176)
Disclosure Statement
for the Wells Fargo Loans
Wells Fargo for Graduate and Professional Students
(Lender Code: 807176)
Disclosure Statement
for the Wells Fargo Loans
Eli Lilly Federal Credit
Union (Lender Code: 500415)
Disclosure
Statement for the Eli Lilly Federal Credit Union Private Education
Line of Credit
Butler University is pleased to offer students and families the
opportunity to compare private education loan programs by lender at
www.fastproducts.org/choice/butler.
FASTChoice is a comparison tool families may use
to assist with their lender and private loan program
selection. FASTChoice will also assist
the student and family in better understanding the long term costs
of the loan programs being considered.
*Loans are based on the borrower's (and co-borrower's, if
required) credit and financial history. While Butler University may
recommend these programs, approval of any loan will be based on
information each lender has obtained and their specific credit
criteria.
Direct-to-Consumer Student Loan Marketing
As you plan for the academic year, we continue to caution
you when considering lenders or loan products that market directly
to you via the mail or the internet through direct to consumer
(DTC) solicitation. With these programs you may not receive the
same personal attention or care in the processing of your loans
that you would receive should you choose to use a carefully
selected lender. You can view our primary lenders
at
www.simpletuition.com to review the terms and
benefits of the different loan programs.
Butler
University Code of Conduct Statement