Loan Assistance

Loans are an option to help cover your education costs and there are several types of loans available. Research your options before making a choice of a loan program to pursue. It is important that you exhaust all other options for aid before pursuing loans, especially from private lenders. If you want to ensure a full understanding of any loan agreement you are signing, please contact our office for assistance.

To accept/decline your loans online:

  • Select the Financial Aid tab in BannerWeb
  • Select View Your Award by Aid Year and select the aid year (e.g. Sum 2023/Fall 2023/Spring 2024)
  • Select Accept Award Offer
  • Indicate if you plan to accept or decline your loan offer(s) and submit your decision
  • Guide to Accepting Student Loans via BannerWeb (PDF)

If you decide to accept your Federal Direct Loans (Subsidized and/or Unsubsidized), you will need to complete the following requirements online at studentaid.gov:

Learn More

Federal Direct Subsidized Loan

Federal Direct Subsidized Stafford Loans are made available to students through the Department of Education.

  • Fixed interest rate of 5.49% for loans disbursed on or after July 1, 2023.*
  • Only available to undergraduate students (effective July 7, 2012)(1)
  • U.S. Federal Government subsidizes this loan (pays the interest on the loan) while you are in school, and during any eligible deferment period, and reinsures the loan.
  • You must apply annually by completing the FAFSA and demonstrate financial need.
  • UIW determines whether you are eligible and originates the loan application.
  • Complete Loan Entrance Counseling electronically at StudentAid.gov.
  • Sign the Master Promissory Note (MPN) for the loan electronically at StudentAid.gov.
  • Complete Annual Student Loan Acknowledgment at StudentAid.gov.
  • The loan has a 1.057% origination fee, which is taken from the loan at the time of disbursement.
  • Available to undergraduate students, (Main Campus and School of Professional Studies) enrolled at least half-time (6 hours for undergraduates).
  • Repayment of principal and interest begins 6 months after you graduate or you are no longer enrolled at least half-time.
  • You have up to 10 years to repay this loan.
  • This loan may be consolidated with other Federal education loans.

Students taking out Federal Direct Stafford loans for the first time with UIW will need to complete the Federal Direct Loan Entrance Counseling requirements; and will need to complete a Federal Direct Loan Master Promissory Note. Students will also need to complete the Annual Student Loan Acknowledgment each year. Graduating students will need to complete the Federal Direct Loan Exit Counseling requirements. New graduates should also review the various Loan Repayment Programs that are available to assist in paying off student loans.

*Rates will continue to change yearly for new loans made on or after July 1 of each year based on Federal legislation.

(1) The Budget Control Act of 2011 eliminates the eligibility for Subsidized Direct Loans for Graduate/Professional Students (Public Law 112-25).


Federal Direct Unsubsidized Loan

Federal Direct Unsubsidized Stafford Loans are made available to students through the Department of Education.

  • Fixed interest rate of 5.49% for undergraduate level students and 7.05% for graduate level students for loans disbursed on or after July 1, 2023.*
  • The loan continues to gather interest while you are in school as well as during deferment periods.
  • You must apply annually by completing the FAFSA and you do not have to demonstrate financial need.
  • UIW determines whether you are eligible and originates the loan application.
  • Complete Entrance Counseling electronically at StudentAid.gov.
  • Sign the Master Promissory Note (MPN) for the loan electronically at StudentAid.gov.
  • Complete Annual Student Loan Acknowledgment at StudentAid.gov.
  • The loan has a 1.057% origination fee, which is taken from the loan at the time of disbursement.
  • Available to undergraduate and graduate/professional students enrolled at least half-time (half-time is defined as 6 hours undergraduate; 3 hours graduate).
  • Repayment of principal and interest begins 6 months after you graduate or you are no longer enrolled at least half-time.
  • You have up to 10 years to repay this loan.
  • This loan may be consolidated with other Federal education loans.

Students taking out Federal Direct Stafford loans for the first time with UIW will need to complete the Federal Direct Loan Entrance Counseling requirements; and will need to complete a Federal Direct Loan Master Promissory Note. Students will also need to complete the Annual Student Loan Acknowledgment each year. Graduating students will need to complete the Federal Direct Loan Exit Counseling requirements. New graduates should also review the various Loan Repayment Programs that are available to assist in paying off student loans.

*Rates will continue to change yearly for new loans made on or after July 1 of each year based on federal legislation.


Federal Direct Subsidized and Unsubsidized Loan Limits

Annual Borrower Limits

Annual Borrower Limits
Borrower's Grade Level Dependent Students *Subsidized + Unsubsidized Independent Students** Subsidized + Unsubsidized
Freshman (0-29 credits) $5,500 (not to exceed $3,500 from Subsidized funds) $9,500 (not to exceed $3,500 from Subsidized funds)
Sophomore (30-59 credits) $6,500 (not to exceed $4,500 from Subsidized funds) $10,500 (not to exceed $4,500 from Subsidized funds)
Junior and Senior (60+) $7,500 (not to exceed $5,500 from Subsidized funds) $12,500 (not to exceed $5,500 from Subsidized funds)
Graduate Students (Master's and Ph.D. programs) n/a $20,500 (unsubsidized only)
Professional Students in the School of Optometry n/a $40,500 (unsubsidized only)
Professional Students in the School of Pharmacy n/a

$33,000 (unsubsidized only)

*For dependent students whose parents cannot borrow under the Federal Direct PLUS Program, the amount a student can borrow under the unsubsidized program is the same as for an independent student.

**Independent students who are not eligible for a full subsidized federal Stafford loan may borrow their remaining subsidized eligibility under the unsubsidized program.

The maximum outstanding total Stafford loan debt (Subsidized + Unsubsidized) allowed is:

  • $31,000 for a dependent undergraduate student
  • $57,500 for an independent undergraduate student
  • $138,500 for graduate students (including loans taken for undergraduate study) and
  • $224,000 for professional students in the School of Pharmacy or School of Optometry (including loans taken for undergraduate study).

Lifetime Limit Aid Options (pdf)

Federal Direct Parent Loan for Undergraduate Students (PLUS)

Federal Direct Parent Loans are made available to students through the Department of Education.

  • Fixed interest rate of 8.05% for loans disbursed on or after July 1, 2023*
  • Available to parents of dependent undergraduate students enrolled at least half-time (6 credit hours)
  • Parent must submit a Parent PLUS Loan Request to begin the eligibility determination process.
  • Student does not have to demonstrate financial need. However, a valid FAFSA is required before a Parent PLUS loan can be processed.
  • Parent must not have an adverse credit history. If the parent is denied due to adverse credit, they have the option to appeal the denial, seek an endorser, or the student may borrow Unsubsidized Stafford loans up to the independent student academic year limits.
  • Once the credit review is passed, UIW determines how much you are eligible to borrow and originates the loan. The annual loan limit is the total Cost of Attendance minus other aid.
  • The loan has a 4.228% origination fee, which is taken from the loan at the time of disbursement.
  • No aggregate limit
  • Repayment begins 60 days from the date of the final disbursement; however, parents may choose to defer principal payments while the student is enrolled at least half-time. A parent deferment or a forbearance will increase the total amount of interest paid over the life of the loan.
  • Interest begins to accrue on the day of the first disbursement.
  • Once the loan application is approved, the parent must sign the Master Promissory Note (MPN) for the loan online at StudentAid.gov using your FSA ID. To retrieve or create an FSA ID, visit StudentAid.gov.
  • The parent borrower will have up to 10 years to repay this loan.

*Rates will change annually for new loans made on or after July 1 of each year based on Federal legislation.

How do I apply?

Parents can apply for a Direct Parent PLUS loan by completing the Direct Parent PLUS Loan Request. The parent borrower must consent to a credit check (which will be conducted by the Department of Education) as part of the application process. The student does not have to demonstrate financial need. However, a valid FAFSA is now required before a Parent PLUS loan can be processed.

When applying for a Parent PLUS loan, a credit check will be performed on the borrower to screen for adverse credit history. If a borrower is found to have an adverse credit history, the borrower may be denied the PLUS loan.

What if I am denied based on credit?

Options for Parent PLUS Loan Denial (PDF)


Federal Graduate PLUS Loan

Federal Direct Graduate Loans are made available to students through the Department of Education.

  • Fixed interest rate of 8.05% for loans disbursed on or after July 1, 2023*
  • Student does not have to demonstrate financial need.
  • Student must be admitted into the Graduate program at UIW.
  • Student borrower must not have an adverse credit history (or have an endorser who does not have an adverse credit history).
  • Once the credit review is passed, UIW determines how much you are eligible to borrow and originates the loan. The annual loan limit is the total Cost of Attendance minus other aid.
  • The loan has a 4.228% origination fee, which is taken from the loan at the time of disbursement.
  • No aggregate limit
  • Repayment begins at the time of the final disbursement, although you may apply for an in-school deferment if you are enrolled at least half-time.
  • Please note, the loan continues to accrue interest during deferment or forbearances. A student deferment or a forbearance will increase the total amount of interest paid over the life of the loan.
  • Interest begins to accrue at the day of the first disbursement.
  • Once the loan is approved, the student must sign the Master Promissory Note (MPN) for the loan online at StudentAid.gov. To retrieve or create an FSA ID, visit StudentAid.gov.
  • Available to graduate students enrolled at least half-time (half-time is defined as 3 hours Graduate, 3 hours Ph.D. (must be admitted as a Ph.D. student), or 1 hour Ph.D. in Dissertation.
  • You have up to 10 years to repay this loan.

*Rates will change annually for new loans made on or after July 1 of each year based on Federal legislation.

How do I apply?

Students apply online at StudentAid.gov. Student does not have to demonstrate financial need. However, a valid FAFSA is required before a Graduate PLUS loan can be processed.

What if I am denied based on credit?

Options for Graduate PLUS Loan Denial (PDF)

State of Texas Alternative Loan (College Access Loan)

  • Fixed interest rate of 5.85%*or variable interest rate as determined by the Texas Higher Education Coordinating Board (the variable rate is set annually and will never be higher than four points above the rate at which the loan is made).
  • Students must be Texas residents and must turn in a Texas Residency Questionnaire to establish state residency.
  • Students must be enrolled at least half-time in a course of study leading to an associate, bachelor or graduate degree or be enrolled in an approved Alternative Educator Certification Program.
  • Students must receive a favorable credit evaluation or provide a cosigner who has good credit standing and meets other requirements.
  • Students may borrow an amount up to the cost of attendance, less Stafford loan eligibility and other financial aid, even if the student will not accept their Stafford loans.
  • Important Note: State regulations now require the Texas Higher Education Coordinating Board (THECB) to perform a "reasonable debt" calculation after UIW signs off on the loan. The results of this calculation could cause the College Access Loan to be reduced or denied by THECB. This reduction/denial cannot be appealed, and would result in the student needing to find alternative funding.

Students may apply online at the Texas Higher Education Coordinating site.

*Interest rates change each year - please verify the current interest rate on the THECB site, above.


Alternative (Private) Loans

UIW's Private Lender List

If you need additional funds to meet your education costs, alternative loans may be an option for you. Alternative loans are private loans made through private lending institutions (banks, credit unions or other, private educational lenders). These loans are not part of the federal government loan programs – they are credit-based and may require a cosigner. Alternative loans are generally more expensive than federal government guaranteed loans and should only be used when all other options have been exhausted.

Research all possibilities for scholarships, grants, work-study and federal loan programs before borrowing from an alternative loan program. If you determine you need an alternative loan, research lenders carefully before making a decision. Interest rates will vary based upon lender and credit eligibility. Students who qualify without a cosigner may still want to add a cosigner to their loan in order to secure a lower interest rate and/or lower origination fees. School-certified alternative loans will usually have better interest and repayment terms than non-school-certified loans.

Lender choice is up to you. Some lenders offer borrowing incentives, such as rebates on the principal loan balance or opportunities for interest rate reductions. Visit your lender's website for more information. Choose the loan that best suits your needs and remember to borrow only what you need.

To view an online list of lenders UIW students have worked with in the past, check out the Private Loan Lender List (to view, choose the applicable program for your student type).

Lenders may ask for you to sign a form called a Private Education Loan Self-Certification Form. The information you need to complete the form can be found on your award letter, or in BannerWeb, under Financial Aid Status. They will be asking for your Cost of Attendance, the total amount of aid you have already been awarded, and the difference between the two numbers. Do not count aid that you are declining as part of the aid you are already receiving. If you need assistance with this form, please stop by or contact our office.

Alternative Loans for Balances from a Previous Semester

The following lenders have verified that a loan can be requested for a semester that is over. Be sure to apply using the correct loan period dates (e.g., 1/13/2020 to 5/8/2020 for Spring 2020). If the lender’s application indicates that you have entered an invalid date, you’ll know immediately that the loan will not be approved.

This information was verified as of 6/1/2020. You should also verify with the lender that they are allowing loan requests for a previous semester.


The Minnie Stevens Piper Foundation

1250 N.E. Loop 410, Ste. 810, San Antonio, TX 78209-1539
studentloan@mspf.org

  • 3% Annual Percentage Rate Loans
  • Not a credit-based loan
  • Must be a U.S. Citizen or Permanent Resident.
  • Must be a Texas resident.
  • Must demonstrate financial need as determined through Financial Aid application.
  • Must be a college Sophomore, Junior, Senior or graduate/professional student.
  • Must be enrolled full-time.
  • Maximum loan amount of $2,500 per semester.

Apply Online


The Rowe Fund

If you are an F-1 or J-1 visa holder from a Latin American or Caribbean country, and are currently studying or been admitted to a U.S. university, you may qualify for an interest-free loan of up to $15,000 dollars. In existence for over seventy years, the Rowe Fund’s financial aid is intended to help cover a portion of the tuition and/or living expenses of your last two years of undergraduate or graduate studies.

Rowe Fund loans include:

  • Deferred repayment while in school.
  • No application or processing fees.
  • Applications are accepted and reviewed year-round and at any time during their studies in the U.S.
  • Funding is sent directly to the student after approval.
  • Easy access to Loan Application Forms and instructions.

For more information, please see the Frequently Asked Questions for Prospective Applicants or, if you have already been awarded a Rowe Fund loan, please visit the Frequently Asked Questions for Current Beneficiaries.


The Nettie Mae Millhollon Educational Trust

P.O. Box 643, Stanton, TX 79782
(432) 756-2261
millhollon@millhollon.com

  • Maximum loan amount of $2,000 per semester (fall and spring), not to exceed the aggregate amount of $16,000 for the student's school career.
  • Loans may be made to any student, subject to the availability of funds, who meets the foundation's requirements.
  • Must be a legal Texas resident.
  • Must be under age twenty-five (25).
  • Must be attending a Texas college or university which has been accredited by the Commission of Colleges of the Southern Association of Colleges and Schools (SACS).
  • Must be able to come to Stanton, Texas for a personal interview with one of the Board of Trustees members at a time set by the Trustee.
  • Selected applicants will be chosen from those interviewed based primarily on financial need as determined by the Trustees.
  • All applications and attachments must be received in the Trust's office by the deadlines of July 1 for the fall semester and January 2 for the spring semester.
  • The note and application must be signed by the student applicant. The note must also be notarized guaranteeing repayment of all loans made to the student by the Trust.
  • All supporting data will become part of a permanent loan file and will not be returned to the student.
  • Applications that are not accepted will be destroyed along with all attachments.
  • Students must renew loans each semester by contacting the Trust for a new note and application. No interview is required for renewal.
  • To renew a loan, the student must have completed at least 12 semester hours with at least a 2.5 GPA during the previous semester.

Information on applying is available online at the Nettie Millhollon Educational Trust.


The Bill Raskob Foundation, Inc.

P.O. Box 507, Crownsville, Maryland 21032-0507
(410) 923-9123
ed@billraskob.org

  • Interest-free loan, not credit-based
  • Undergraduate and graduate students may apply.
  • Applicants must be U.S. Citizens.
  • Students must have completed at least one year of student at an accredited institution.
  • Borrowing range of $1,000 - $3,000
  • Repayment begins 6-12 months after graduation, depending on student's major.
  • Application period is January 1 - May 1 of each year.

Information is available online at the Bill Raskob Foundation.


The Evalee C. Schwarz Charitable Trust

4265 San Felipe, Ste. 1100, Houston, TX 77027-2913
(713) 960-6616
pfs@privatefoundationservices.com

  • Interest-free loan, not credit-based
  • Offered to students showing exceptional performance and significant financial need.
  • Undergraduate and graduate students may apply.
  • Applicants must be U.S. Citizens at the time of application.
  • Students must be enrolled in a school in the state in which the student resides.
  • Borrowers must have an Expected Family Contribution (EFC) of less than $5,293 based on FAFSA Student Aid Report.
  • Borrowing range based on need
  • Repayment period set by lender
  • Application period is Jan. 1 - April 15 of each year.

Information is available online at the Evalee C. Schwartz Trust.


The Abe and Annie Seibel Foundation

c/o The Frost Bank - Trust Department
P.O. Box 8210
Galveston, TX 77553-8210
(409) 770-5665

  • Interest-free, not a credit-based loan
  • Must be a U.S. Citizen, Texas resident, and have graduated from a Texas high school.
  • Must enroll full-time at a Texas college/university accredited by the Southern Association of Colleges and Schools (SACS)* with the intention of completing requirements toward a first bachelor's degree.
  • College-level applicants must maintain a 2.75 GPA overall.
  • Applicants with the above MINIMUM scores will be given consideration for approval; however, this is not to be defined as automatic approval.
  • High school seniors must submit a transcript reflecting SAT/ACT scores and rank in class.
  • Applications and transcripts will be presented to the directors in the order in which they are completed.
  • Funds are limited and it is advisable to submit requests as early as possible.
  • Students may contact the Foundation by telephone or mail after November 1 each year to be placed on the mailing list for the upcoming fall/spring long-term school year.
  • Application packets are accepted Jan. 1 through Feb. 28 of each year.
  • Entering freshmen must meet one of the following sets of scores to apply:
Entering freshmen must meet one of the following sets of scores to apply
Class Ranking Minimum SAT Minimum ACT
Top 10% of Class any score any score
Top 15% of Class 1500 22
Second Quarter 1650 25
Third and Fourth Quarter 1800 27

PEO International

Adrienne Russell, arussell@sunshinecottage.org
P.E.O. International

  • For women only and must be selected for this loan by the loan PEO contact, Adrienne Russell
  • 4% Annual Percentage Rate loans
  • Not a credit-based loan
  • Must be a U.S. or Canadian Citizen or Permanent Resident.
  • Must demonstrate financial need as determined through Financial Aid application.
  • Must be enrolled at least half-time.
  • Maximum loan amount of $9,000
  • Contact Adrienne Russell for more information.

Federal Nursing and Ralston Loans

Students accepted into the UIW Ila Faye Miller School of Nursing and Health Professions may apply for these need-based loans. Loan amounts will range from $2,500-$4,000. Funding is limited, and priority will be given to students who are enrolled full-time in the Nursing program.

You may contact the UIW Office of Financial Assistance (OFA) at finaid@uiwtx.edu or (210) 829-6008 to see if you are eligible.

Federal Nursing and Ralston Loan Information

  • Loan interest rate of 5%
  • You can borrow up to $4,000 per year, depending on need.
  • Funding is limited – priority will be given to full-time nursing students.
  • Repayment begins 9 months after you graduate or are no longer enrolled half-time.
  • You must complete a Promissory note - go to Signmyloan.com.
  • If you are graduating, you will need to complete the online Exit Counseling.
  • Contact the Finance Loan Officer at the Business Office (210) 829-6043 if you have any questions or experience any technical difficulties. More information can also be found on the Business Office's Ralston, Nursing, and Perkins Loan page.

Income Share Agreements (ISAs)

An Income Share Agreement (ISA) provides an alternative funding option to supplement a student's financial aid and federal loans. ISAs provide funding for certified tuition and fees in exchange for a student's promise to pay a fixed percentage of their future income for five years following graduation.

ISA Providers

  • Stride Funding provides ISA funding options to students enrolled in eligible programs at UIW, who are achieving a 3.0+ GPA and are in the final two years of their degree program. With an ISA from Stride Funding, you do not need a cosigner or current income, as they look at where you’re going (future income), not where you’ve been. All Stride students automatically become a member of the Stride Community, giving you access to career support (e.g., monthly content, exam prep, interview guidance) and a broader community of peers who can support you as you begin your professional journey. U.S. citizens and permanent residents are eligible to apply. NOTE: While Stride may be willing to serve students across UIW, this is targeted to ABSN candidates at the current time

FAQs

  • Are ISAs loans?
    • ISAs are real obligations though they are different than loans. They do not have a fixed principal amount or an interest rate. Rather, students commit to paying a fixed percentage of their earned income after graduation. Unlike a private loan, there is no guaranteed amount of money that a student will pay monthly or total during the life of an ISA, as this will vary with earned income.
  • What are the key risks of an ISA?
    • ISAs have a fixed income percentage which means that you will pay less in months where you earn less and more in months where you earn more. This means that you could pay more or less than your funding amount, and more or less than you would with a loan if you enter into an ISA.
  • Will an ISA affect my financial aid?
    • ISAs are treated like private student loans and are generally available up to the full cost of attendance of your program, subject to maximums put in place by each ISA provider.
  • Will my ISA funding be paid directly to me?
    • Just like private student loans, your ISA funding will be paid to UIW directly by your ISA provider on your behalf.
  • Are there any eligibility requirements?
    • Each provider will have different requirements to be eligible for an ISA. Many providers will consider your degree program, the portion of your degree already completed, your citizenship, and your GPA or academic progress. You should review the specific eligibility requirements for your ISA provider should you choose to apply for an ISA.

Additional ISA Resources

Recommended Order of Loan Options

We recommend that you utilize loan options in the following order, depending upon eligibility for the loan and funding availability:

  1. Federal Direct Subsidized Stafford Loans
  2. Federal Direct Unsubsidized Stafford Loans
  3. Low Interest/Zero Interest Loans (from private foundations/trusts)
  4. Federal Direct Parent PLUS or Direct Graduate PLUS Loans
  5. State Alternative Loan (College Access Loan)/Alternative Loans

View Loan Options


Borrowing Responsibly

  • Educational loans exist to help you pay for your cost of attendance at UIW.
  • Carefully consider the amount you really need before you decide how much to borrow.
  • Student loans are borrowed money that must be repaid, with interest, just like car loans and mortgages.
  • Read the fine print on your application and promissory note carefully. You need to know:
    • the full amount of the loan you are taking out.
    • the current interest rate on the loan, how the interest rate is calculated and how often it will change.
    • the date you must start repayment.
    • whether there are any charges you must pay (loan origination fees/guarantee fees) and how those fees will be collected.
    • the maximum amount you can borrow each year.
    • the maximum time for repayment and the estimated repayment amounts.
    • the circumstances that will result in default and the consequences should you default, and
    • your available options for deferment, forbearance and loan consolidation.
  • Keep track of your lenders. It is your responsibility as the borrower to stay in touch and notify your lender if you graduate, withdraw from school, drop below half-time enrollment, change your name or transfer to another school.

Student Loan Borrower Assistance Project

Do you already have college loans and want more information on how to manage them effectively? The National Consumer Law Center’s Student Loan Borrower Assistance Project is a free resource for borrowers, their families and advocates representing student loan borrowers.

If you already have student loans and want to know more about your options and rights, visit the Student Loan Borrower Assistance Site.


Federal Direct Loan Entrance Counseling

We require all students who receive federal loans to complete the Direct Loan Entrance Counseling Session. This online loan counseling session is designed to help the borrower understand his/her rights and responsibilities as they pertain to loan borrowing. The Direct Loan Entrance Counseling session must be completed before any loan funds may be disbursed to the student’s account.

  • Go to StudentAid.gov.
  • Choose the session appropriate to your classification (Undergraduate or Graduate).
  • Begin a new Entrance Counseling session.*
  • Read the information provided carefully.
  • You must successfully complete the quiz at the end of the session to complete your requirement.
  • Upon completion, print out the confirmation page for your records.

The UIW Office of Financial Assistance will receive electronic confirmation within two-three business days of completing your session successfully.

*If you have previously completed this counseling, you may click on “Review previous results,” add UIW as a school, and reprint your confirmation. Please bring a copy of this confirmation to the UIW OFA.


Federal Direct Loan Exit Counseling

Direct Stafford Loan Exit Counseling is required for all students who have received loan funds while attending UIW when they are graduating, dropping below half-time, withdrawing or will not return to UIW. A hold will be placed on the student’s graduation if this requirement is not satisfied.

  • Go to StudentAid.gov.
  • Begin a new Exit Counseling session.
  • Read the information provided carefully.
  • You must successfully complete the quiz at the end of the session to complete your requirement.
  • Upon completion, print out the confirmation page for your records.

The UIW Office of Financial Assistance will receive electronic confirmation within two-three weeks of completing your session successfully


B-on-Time Loan Resources


Repaying Your Student Loans

Any funds you borrow must be repaid. Repayment terms vary depending on the type of loan the student has, and the terms the student agreed upon at the time the loan was initiated. In general, students who have federal loans (Direct Stafford Loans, Perkins Loans, Nursing Loans, Ralston Loans or Graduate PLUS Loans) and parents who have federal loans (PLUS Loans) will enter a repayment status at the point of either (a) the student's enrollment drops below half-time in any given semester, (b) the student leaves school, or (c) the student graduates.

Deferment or forbearance options for federal loans may be available depending on the student's or parent's individual circumstances and the terms of the loan. To find out if you qualify, contact your servicer (the company handling your loan repayment). If you need contact information or if you are uncertain who currently holds your loans, you can obtain this information on StudentAid.gov or call the UIW Office of Financial Assistance for help.

**You will need your FSA ID to log into StudentAid.gov. If you do not remember your FSA ID or need to create one, visit StudentAid.gov.

Students and parents who have private loans, regardless of source, should visit with their lender regarding specific repayment requirements; and additional options (such as deferment or forbearance) if payment cannot be made at the time it is due.

If you want to learn more about your options and rights, visit the Student Loan Borrower Assistance Site.


Federal Loan Deferment


Loan Repayment for Veterans/Service members

Veterans and Service members may have special options that help with loan repayment:


Loan Repayment/Forgiveness Programs

Loan Repayment Programs (LRP) are programs sponsored by national, state and local governments, and some private organizations, where professionals (teachers, nurses, etc.) are recruited to practice in designated professional shortage areas. Participants may be provided with living stipends and funds to repay educational loans. Most contracts require a two to four-year commitment, but individual program information should be consulted. Benefits may also include tax relief, scholarship opportunities and in the case of the military programs, enlistment as an officer in the Armed Forces.


Total Permanent Discharge for Veterans (TPD)

In August 2019, an executive order was signed discharging federal student loan debt for totally and permanently disabled veterans. The executive order alters the Higher Education Act of 1965 and its 2008 amendment, which already discharged federal student loans for veterans. The new order states that “it shall be the policy of the Federal Government to facilitate – in a manner that is quick, efficient, and minimally burdensome – the discharge of Federal student loan debt for totally and permanently disabled veterans.”

Below is some helpful information in regards to those whose previous student loans and/or TEACH grant balance(s) were affected by the executive order, and for those TPD recipients who wish to continue borrowing federal student loans and/or TEACH grants going forward:

  • The Department of Veteran Affairs determines who qualifies for TPD status, and in turn communicates who those individuals are to the Department of Education. The Department of Education then automatically discharges previous federal student loan and/or TEACH grant balances at that point in time, for those specific borrowers. You can check your federal student loan balance anytime with your FSA ID at studentaid.gov.
  • UIW is notified that previous federal loans and/or TEACH grants were discharged (via TPD status) when the Department of Education sends an updated FAFSA record to UIW with a TPD indicator.
  • If loans were disbursed between the time the TPD status became active, and the new FAFSA record arrives, you will be responsible for repaying those loans to their lender that the Department of Education did not discharge. For questions regarding federal student loans and/or TEACH grants that were not covered by TPD, you may contact the lender/servicer who holds the note for your loans.
  • If you decide to continue borrowing federal student loans and/or TEACH grants, you must submit a FAFSA for the aid year you are wishing to receive a disbursement for.
  • In addition to submitting a FAFSA, you must annually submit the “Student Eligibility Verification for Previously Discharged Loans” form (for the appropriate aid year) to the UIW Office of Financial Assistance, to include a physician’s signature indicating that you are “able to engage in substantial gainful activity, including working and attending school,” in order to repay the new federal student loans and/or TEACH grants.
  • Any federal student loans and/or TEACH grants that are disbursed after the Department of Education discharge loans via TPD status, must be repaid to the lender and are not subject to TPD status going forward.
  • If you received a TPD discharge previously, and submit a FAFSA application going forward, loans will automatically be awarded based on your eligibility status and federal loan aggregate limits. It is your responsibility to successfully decline the loans annually with the UIW Office of Financial Assistance, if you do not wish to receive a federal loan and/or TEACH grant disbursement within that aid year.