Frequently Asked Questions About Student Loans

Where can I acquire aa Application form for Federal Student Aid (FAFSA)?

The form is now available on-line here: www.fafsa.ed.gov. You are now encouraged to apply online, however if you would like to send a good old fashioned paper version of the form and you can still do so. You will need to contact your high school guidance or financial aid office for your paper form.

My parents are divorced, whose income should I put on the FAFSA form?

You should always use the income of the parent who has custdody of you. If your parents have joint custody, you need to state the income of the parent you lived with over the previous year. If the parent has now remarried you now also have to include the spuses income.

How can I apply for the Federal Direct Stafford Loan?

You will need the Free Application for Federal Student Aid (FAFSA). This form tells your college whether or not yo9u are eligible for a loan . Once you have found out if you are eligible for the Federal Direct Stafford Loan, you then need a Direct Stafford Loan Master Promissory Note (MPN).

What is the maximum I can borrow?

Dependent student maximum is $5,500 as a Freshman, $6,500 as a Sophomore, and $7,500 as a Junior and Senior. Independent student maximum is $9,500 as a Freshman, $10,500 as a Sophomore, and $12,500 as a Junior / Senior.

What is the transcript? Can I see it?

This is your official high school record. It contains a list of most of your courses and grades with an explanation of the school grading system or scale as well as a list of the school course offerings.

You need to find out with your school counselor how to send your transcript out to potential colleges. There will be a small charge for sending them out, make sure that you allow enough time to get them posted off.

What do I do if I was homeschooled? I have no student record.

The typical testing is different for the homeschooled: you will have to show a portfolio of your work and college credits earned before applying. Make sure you check with the colleges you are applying to first so you follow their procedure.

I am unsure if I am classed as an independent student, how do I know?

The criteria is as follows, you should be classed as an independent student if you are any of the following:

• 24 or over
• A graduate student
• Are married
• Have children
• A Veteran

If you are still unsure then check with your school counselor. It is recommended that you speak to your local authority and get as much information as you can for your circumstances before applying.

Are there other loans I can apply for?

There are other options available, you could apply for a Private loan. Apply for a Student Loan now and get out of a default guarantee. You may need a guarantor or cosigner to secure a private loan. Make sure you do your research.

Can my parents take out a loan for me?

Yes, for dependents and undergraduates your parents could apply for the Federal Direct PLUS Loan.

I will be studying in a foreign country. What can I borrow?

Depending on the college you are planning to attend, you could apply for a Federal Student Loan. Many colleges abroad participate in both the Federal Direct Stafford Loan program and the Federal Direct PLUS Loan program.

Do I need to apply for financial support every year?

Yes. You have to complete the FAFSA form every year. Every year you receive a new financial aid award letter from your college.

Do I need to complete a Master Promissory Note every year?

These forms are usually okay for ten years. However, if you change your circumstances or school, please check and make sure.