Additional steps to receive the student loan(s) you were awarded
Step 1: Complete Entrance Counseling
If you have already completed Entrance Counseling while at Metropolitan Community College, you can skip this step. Not sure if you’ve completed this already? Check Financial Aid Self-Service by logging into My Way using your school login and password; select the purple Student Self Service link, and select Financial Aid. If you have not already completed this, you can link to Entrance Counseling from the Required Documents drop down selection in Financial Aid Self-Service.
Step 2: Sign a Master Promissory Note
If you have already signed a Master Promissory Note while at MCC, you can skip this step. Not sure if you’ve completed this already? Check Financial Aid Self-Service by logging into My Way using your school login and password; select the purple Student Self Service link, and select Financial Aid. If you have not already completed this, you can link to the Master Promissory Note from the Required Documents drop down selection in Financial Aid Self-Service.
Step 3: Accept Your Student Loans
Financial Aid Self-Service allows you to accept a loan for the full amount awarded, accept a loan for less than the amount awarded or decline a loan. If you were awarded two loans and you want to accept one but not the other, this can also be done using Self-Service.
Yes, I want to receive student loans
Follow this path to see the loan(s) you were awarded:
- My Way
- My Services
- My Services for Student
- Financial Aid
- Self-Service Fin Aid
- My Awards (Admin)
- Under each loan you were awarded is a link labeled Accept or Decline. Click on the link.
- To accept the full amount of loan funds you were awarded for a quarter, simply check the box for each quarter you will attend, and then click on Accept this Loan.
- To accept a lower loan amount than what you were awarded for any given quarter, click the box for each quarter you will attend, change the loan amount in the loan amount box, then click on Accept this Loan.
Note: New MCC students will be able to access Financial Aid Self-Service 24 hours after they have registered for their first class.
Other information regarding federal student loans
A student loan is money you borrow for educational purposes that you must pay back with interest.
The specific sum of money you borrow is called the principal. Interest is a percentage of the principal which you pay as a fee for borrowing. When it comes time to pay back the principal and interest, you usually pay in monthly installments. If you fail to repay (or default), the government may penalize you.
All qualified financial aid students may borrow through the Federal Direct Stafford Loan Program (Direct Loans). Federal Direct Stafford Loans allow the student to borrow money from the U.S. Department of Education via the Direct Loan Program to help pay for education costs. Under this program, Direct Loans will make a loan directly to you through the school. The Federal Direct Stafford Loan Program includes subsidized loans and unsubsidized loans.
Federal Stafford Student Loan
To apply for a Federal Direct Stafford Loan, you must complete the following steps:
Online Student Loan Entrance Counseling
Online Direct Loan Master Promissory Note (MPN)
This federal program provides low interest loan(s) to the student from the federal government via the Direct Loan Program.
According to HEA Sec. 479(A)(c), 34 CFR 685.301(a)(8), DCL GEN-11-07; MCC has the authority to refuse to certify a loan(s) for an individual borrower, or may certify a loan for an amount less than the borrower’s maximum eligibility, on a case-by-case basis.
Loan certification criteria and eligibility acknowledgment is as follows:
- Student must be enrolled in at least six credit hours per quarter that are required for an associate degree.
- Student must maintain Satisfactory Academic Progress in order to remain eligible for loan certification.
- Student may cancel all or a part of their loan by notifying the Financial Aid office in writing no later than 14 days after the date of notification that their loan funds have been received and applied to their account by the college.
- The Financial Aid Office will certify loan(s) based on registered credits. Student loan(s) will be subject to adjustment each quarter based on student’s actual enrollment when Cost of Attendance is less than original certified amount.
- The Financial Aid Office will first maximize Subsidized Stafford Loan eligibility before adding an Unsubsidized Stafford Loan.
- The Financial Aid Office will reduce requested loan amount to fit within the budget for the quarter(s) student is awarded.
- The Financial Aid Office may need to reduce requested loan amount if it becomes aware that student is receiving outside financial assistance that was not disclosed at the time of awarding loan(s).
- Transfer student eligibility may be affected by prior or subsequent enrollment at other institutions.
Grade Level One: 0 - 44.99 completed credit hours
$5,500 - dependent student (maximum Subsidized Stafford is $3,500)
$9,500 - independent student (maximum Subsidized Stafford is $3,500)
Grade Level Two: 45+ completed credit hours
$6,500 - dependent student (Maximum Subsidized Stafford is $4,500)
$10,500 - independent student (Maximum Subsidized Stafford is $4,500)
The student enrolled in a certificate program is not eligible for $6,500.
The student must be registered for a minimum of six credits for the entire loan period to be eligible for either type of loan and his/her eligibility for a Federal Pell Grant must be determined prior to submitting a loan application. A separate Master Promissory Note (MPN) must be completed by the student after Federal Pell Grant eligibility is determined. Repayment of the loan begins at the end of a six-month grace period after the student either graduates, stops attending or is registered for fewer than six credits per quarter.
- A Subsidized Federal Direct Stafford Loan is based on financial need. "Need" is determined by subtracting the Expected Family Contribution (determined by federal formula) and all other forms of aid from the Cost of Attendance (COA). The federal government pays the interest for you while you are enrolled in school at least half-time, during the six-month grace period after you stop attending school at least half-time and during periods of authorized deferment. The maximum amount a student may borrow in Subsidized Stafford Loans at Grade Level One is $3,500 and at Grade Level Two is $4,500.
- An Unsubsidized Federal Direct Stafford Loan is not based on financial need and is available to you regardless of income. Because this loan is not subsidized by the government, you are responsible for all interest which accrues during in-school, grace and deferment periods. You may choose to make periodic interest payments to the lender or opt to have the accrued interest capitalized (added on to) the principal loan amount.
The interest rate is fixed at 2.75 percent for undergraduate subsidized and unsubsidized loans with the first disbursement of loans on or after July 1, 2020 and before July 1, 2021—meaning, loans received for 2020-21 Award Year.
Undergraduate subsidized and unsubsidized loans with the first disbursement of loans on or after July 1, 2019 and before July 1, 2020 have a fixed interest rate of 4.53 percent—meaning, loans received for 2019-20 Award Year.
All Federal Direct Loans are assessed a loan fee by the federal government. This fee helps reduce the cost of making these low-interest loans. The federal government will deduct the fee from the loan before the borrower receives any loan money; therefore, the loan funds received by the borrower may be less than the amount they will repay. For Subsidized and Unsubsidized loans originated October 1, 2020 - October 1, 2021 the loan origination fee is 1.057 percent.
Direct Plus loans originated October 1, 2020 - October 1, 2021 the loan origination fee is 4.228 percent.
To be eligible for these loans, you must:
- Have a completed Financial Aid file including determination of Pell Grant eligibility
- Complete and return a valid Master Promissory Note (MPN)
- Be enrolled in an eligible degree or certificate program
- Be attending at least half-time (six credit hours per quarter) for the entire loan period
- Not be in default on any type of federal student loan
- Not owe a repayment on a federal grant
- Be in compliance with the College's Financial Aid Standards of Progress
- Complete Loan Entrance Counseling
Federal regulations require that you be counseled with regard to your Federal student loan.
Counseling is available online by clicking the links below:
Complete loan entrance counseling
Complete loan exit counseling
Repayment Estimator/Loan Simulator
A Federal Stafford loan is a loan, not a grant. You must repay the money you borrow, any fees associated with the loan and any interest that accrues on the loan.
SAMPLE DIRECT STAFFORD LOAN REPAYMENT SCHEDULES BASED ON THE STANDARD REPAYMENT PLAN
||# of payments
||Total repayment amount
There are alternatives to the Standard Repayment Plan. For more information, visit Repayment Plans on the Federal Student Aid website.
This loan program is designed to assist the parent(s) who wants to borrow money to help pay for the educational expenses for each child who is a dependent undergraduate student.
The student must be registered for a minimum of six credit hours for the entire loan period in order for a parent to be eligible for a PLUS loan. Students must first complete a FAFSA so that their eligibility for federal student aid can be determined prior to processing this application for the student and parent.
Alternative loans are private loans through a lending institution and are not part of the federal government programs. Alternative loans are 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.
Students must first complete a FAFSA so that their eligibility for federal student aid can be determined. If a student is not eligible for federal student aid, then their application for an alternative loan will be considered.